Canada's massive pension investor is changing how it approaches the rapidly expanding global infrastructure investment market.

CPP Investments has increasingly turned to partnerships with major private-capital firms including Blackstone, KKR and EQT to participate in larger infrastructure transactions.

The shift comes as infrastructure deals become increasingly expensive and complex, particularly in areas connected to artificial intelligence, energy security and digital infrastructure.

Rather than relying exclusively on direct investments, CPP Investments has committed capital to infrastructure funds managed by major private investment groups and can then participate alongside them in individual transactions.

The strategy gives the Canadian pension manager access to opportunities requiring enormous amounts of capital while maintaining its role as a major long-term institutional investor.

The move also highlights how AI is creating demand far beyond software. Data centres require large amounts of electricity, while power generation, transmission networks and other supporting infrastructure are becoming increasingly important investment targets.

CPP Investments has committed hundreds of millions of dollars to infrastructure funds managed by private-capital firms, including €500 million to EQT and $750 million to KKR, according to the Financial Times.

For Canadian investors and businesses, the development shows how pension capital is increasingly being positioned behind the infrastructure required for the next phase of the digital economy.

As demand for computing power and reliable energy continues to grow, infrastructure could become one of the most important investment themes for Canadian institutional capital.