Item - 2026.IB16.6

The Toronto Investment Board:

1. Received the report prepared by the investment consultant (Aon) contained in Confidential Attachments 1 and 2 to the report (March 1, 2026) from the Director, Capital Markets for information.

2. Directed that the confidential information contained in Confidential Attachments 1 and 2 to this report (March 1, 2026) from the Director, Capital Markets remain confidential in their entirety, as they contain information that involves the security of property belonging to the City or one of its agencies or corporations.

3. Requested the Interim Director, Capital Markets and Treasury, in consultation with the investment consultant (Aon), to proceed with a pre-screening, interviews, and evaluation for the selected short list of infrastructure investment managers, and to report back with recommendations at the September 25, 2026 meeting of the Toronto Investment Board.

Flaminio Carelli, Interim Director, Capital Markets and Treasury gave a verbal update on Real Assets Update - Infrastructure.

The Toronto Investment Board recessed its public session to meet in closed session to consider this item as it relates to the security of property belonging to the City or one of its agencies or corporations. 

The purpose of this report is to update the Toronto Investment Board (Board) on the progress to date regarding the search for external investment managers for the Infrastructure portion of the Real Assets category. 

At its December 2025 meeting, the Board received a presentation from the investment consultant (Aon) entitled "Investing Infrastructure Education " which outlined the rationale to consider Infrastructure investments.  In addition, the Board also requested the investment consultant (Aon), in consultation with the Director, Capital Markets, to proceed with a manager search and evaluation for the infrastructure asset class, within the guidelines of the Council-approved Investment Policy.

The process, analysis, and the list of firms considered are provided in Confidential Attachment 1.  These documents are confidential as they contain commercial and financial information supplied by the investment consultant to the Board in confidence, which if disclosed could reasonably be expected to prejudice significantly the competitive position or other negotiations the Board may have in selecting the investment managers.

It is recommended that the Board select a short list of potential investment managers from the listing provided in Confidential Attachment 1. Following this, City staff will proceed with pre-screening, interviews, and evaluation of the selected short list of investment managers and report back to the Board the staff recommendations for the infrastructure category.