UK’s Nest Hires J.P. Morgan’s Campbell Global for Timberland Fund

The fund will seek timberland investments that promote sustainable forestry practices.




U.K. workplace pension plan Nest Pensions has hired Campbell Global, J.P. Morgan Asset Management’s timberland investment advisory firm, to provide a global portfolio of direct investments focusing on timberland. Financial terms were not disclosed.

“There are many potential benefits to investing in timberland, including stable returns with a cash yield, a natural inflation hedge and portfolio diversification,” Nest officials said in a statement, adding that Campbell Global will look for timberland investment opportunities in the U.S., Australia, New Zealand, and Chile.

The pension said it is seeking timberland investments that promote sustainable forestry practices, responsibly manage forest resources, preserve biodiversity, and maintain ecosystems. The pension said well-managed forests can provide services such as carbon capture, water filtration, soil preservation, and wildlife habitats. It also said timberland investments provide a renewable resource for construction materials to biodegradable packaging.

“We believe the importance of preserving natural capital will only increase in the coming years,” Stephen O’Neill, Nest’s head of private markets, said in a statement. “Many aspects of our ecosystem such as forestry, water and agriculture are closely linked to climate change mitigation and adaptation. Achieving net zero emissions by 2050 will require natural capital preservation.”

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Campbell Global was among 12 fund management firms to compete to provide Nest with a timberland investment strategy.

“Campbell Global is one of the largest and longest established timberland investment advisory organizations,” O’Neill said in a statement. “We were particularly impressed by the sophistication of their operations, responsible investment philosophies, and ability to work at scale to minimize operating costs.”

Nest, which has 12 million members, launched the procurement process for a timberland manager in September 2023 as part of an effort to include natural capital investments in the portfolio.


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UK Chancellor Reeves Meets With Maple 8 Bosses on Implementing ‘Canadian Style’ Investing in British Plans

Reeves wants to learn lessons from Canadian plans on investing.

Photo: Kirsty O’Connor / HM Treasury

The U.K.’s chancellor of the exchequer, Rachel Reeves, this week met with leaders of some of the largest Canadian pension funds, colloquially known as the Maple 8, in Toronto as part of a broader North America trip that includes meetings with investment leaders in the U.S. and Canada in an effort to boost investments and partnerships.  

The goal of the meeting with the pension fund leaders is to examine how the U.K. could adopt some of the investment styles used by the large public Canadian funds.  

The Maple 8 refers to some of the largest Canadian pension funds: 

  • Alberta Investment Management Corp. (C$160.6 billion); 
  • BCI (C$250.4 billion); 
  • Caisse de dépôt et placement du Québec (C$434.2 billion); 
  • CPP Investments (C$632.3 billion); 
  • Healthcare of Ontario Pension Plan (C$112.6 billion); 
  • Ontario Municipal Employees Retirement System (C$36 billion); 
  • Ontario Teachers’ Pension Plan (C$247.5 billion); and 
  • Public Sector Pension Investment Board (C$264.9 billion).  

These funds also boast strong returns. PSP Investments reports one-, five- and 10-year annualized returns of 7.2%, 7.9% and 8.3%, respectively, as of March 31. CPP Investments reports one-, five- and 10-year returns of 8.0%, 7.8% and 9.2%, respectively, as of March 31

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These investors are renowned for their investment style, which emphasizes direct investments, internal management of assets and higher allocations to asset classes such as private equity and infrastructure. 

“I want British schemes to learn lessons from the Canadian model and fire up the U.K. economy, which would deliver better returns for savers and unlock billions of pounds of investment,” said Reeves in a statement. 

Most pension funds in Canada are in a funding surplus because they have more pension assets than they have in liabilities that have to be paid out to beneficiaries.  

In Toronto, Reeves also met with several stakeholders in clean energy and infrastructure, as the U.K. is in the process of setting up a sovereign wealth fund focused on energy transition investments and infrastructure projects in the country.  

In New York, Reeves met with the CEOs of multiple banks and institutions, including Citi’s Jane Fraser, Barclays Americas’ Richard Haworth and executives from Blackstone, BNY and other firms. 

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Why Canada’s Pension Plans Are in Such Good Shape 

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