Land acknowledgment
Fengate acknowledges that we live and work on the land of traditional territories of Indigenous Peoples from across Turtle Island, which is also known as North America, and is home to many diverse peoples, cultures, languages, and territories including First Nations, Inuit and Métis people. Fengate acknowledges and pays respect to Indigenous Peoples who have been stewards of the land for generations and hold unique perspectives, knowledge, and rights to ecosystem conservation and climate change. Fengate strives to find opportunities to partner with, consult, and promote Indigenous People in our business and our investments. We also commit to continuously educate our employees on Indigenous history, culture, rights, and the ongoing process of reconciliation.
INTRODUCTION
Message from our President and CEO
"As market conditions evolve, our focus remains consistent: deploying capital into essential assets and businesses that support communities, strengthen economies, and deliver durable, risk-adjusted returns."
Lou Serafini Jr.
President and Chief Executive Officer
I am pleased to present Fengate’s 2025 Sustainability Report. As we continue to grow and deliver strong returns for our expanding base of global institutional investors, responsible investment remains central to our approach. Across North America, structural trends are shaping where private capital can make the greatest impact, and Fengate is well positioned to respond.
We made meaningful progress in 2025. We expanded our U.S. healthcare platform to more than 70 facilities, supporting a growing and aging population, and continued investing in battery storage capacity in the U.S. to strengthen grid reliability. We also advanced housing delivery, breaking ground on five residential communities to deliver over 1,900 homes across Canada, addressing the critical housing supply gap. In private equity, we deployed more than $100 million across four platform investments, further scaling our exposure to essential sectors, including business services, consumer staples, and healthcare.
We are building on this momentum in 2026 with the successful first close of Fengate Infrastructure Fund V and our participation in what will be the largest hospital project in Canada’s history.
The launch of Fengate Communities earlier this year marks the next phase of our residential strategy, while our new Social Opportunities Fund will extend our real estate platform into the U.S. We also continue to deepen relationships across the North American labour community through advancing responsible labour practices to support strong project outcomes, generate high-quality jobs, and create lasting economic benefits.
As market conditions evolve, our focus remains consistent: deploying capital into essential assets and businesses that support communities, strengthen economies, and deliver durable, risk-adjusted returns. I am proud of the progress we have made, and deeply value the continued support of our investors and partners as we work to be North America’s most trusted partner for private investments—by putting our people, clients, and communities first.
INTRODUCTION
Message from our Director of Responsible Investment
"Managing capital today requires anticipating tomorrow’s risks under various scenarios – and positioning portfolios to withstand them while continuing to deliver sustainable returns."
Della Nice
Director, Responsible Investment
At Fengate, our primary responsibility is to position our investment portfolios for resilient long-term performance while safeguarding investor interests from downside risk. Responsible investment practices are one of the core expressions of our fiduciary duty. In recent years, amid ongoing market and geopolitical volatility, evolving regulatory expectations, climate-related disruptions, and workforce pressures, this responsibility became even clearer. Managing capital today requires anticipating tomorrow’s risks under various scenarios – and positioning portfolios to withstand them while continuing to deliver sustainable returns.
We’re also seeing sustainability emerge as a meaningful driver of value creation. Initiatives such as energy and resource efficiency, resilience planning, and strong workforce practices not only mitigate downside risk, but can also enhance commercial performance and support stronger valuations.
The following principles continue to guide our approach:
1. Responsible labour: The assets we manage are only as strong as the people who build, operate, and maintain them. Safe worksites, skilled labour, fair practices, and inclusive opportunity are not only social imperatives, but are material to execution risk, operating performance, and long-term asset value. Our responsible labour approach emphasizes proactive engagement with contractors, labour partners, portfolio companies, and communities to promote strong labour standards and high-quality jobs.
2. Sustainability and resilience: Climate risk, energy transition dynamics, and physical hazards increasingly shape asset performance, insurance costs, regulatory exposure, and long-term viability. We integrate sustainability considerations across the entire investment lifecycle – from diligence and risk assessment to asset management and oversight – because resilient assets are better positioned to perform across cycles. Investments that account for resource efficiency, climate readiness, and regulatory change are not only more resilient, but also more attractive to tenants, partners, and end-users over time.
3. Reporting and risk management: Investor expectations continue to rise regarding materiality, disclosure, and credibility. We continue to prioritize disclosures for such issues that meaningfully affect financial performance, tailor our approach to asset-specific risk profiles, and continuously strengthen how we measure progress.
This report reflects our progress in 2025 – and our commitment to continued improvement. Stewardship is not static; it requires ongoing adaptability and collaboration. We are grateful to our investors and partners for their engagement and trust, and we remain focused on stewarding capital responsibly to deliver resilient assets, aligned interests, and long-term value.
INTRODUCTION
About Fengate
Fengate is a leading alternative investment manager with more than $12 billion of capital commitments, focused on infrastructure, private equity, and real estate strategies. With offices and team members across Canada and the United States, Fengate leverages more than 50 years of entrepreneurial experience to deliver excellent investment results on behalf of our clients.
Our responsible investment values are reflected in both our investment choices and our project partnerships. We understand the privilege of being part of our communities’ fabric and strive for thoughtful delivery through partnerships with responsible labour groups, reputable design-builders and operators, and meaningful engagement with local communities.
Our vision
To be North America’s most trusted partner for private investments by putting our people, clients, and communities first.
Our purpose
Exceeding our clients’ objectives while improving the world through our investments.
Total commitments(2)
Assets under management(3)
Institutional clients
Employees(4)
All figures in this report are represented in Canadian dollars unless otherwise stated. USD figures converted to CAD at $1.40. Figures as of December 2025 unless otherwise stated.
(2) Capital commitments to Fengate managed vehicles from third-party investors and General Partner as of April 2026.
(3) Figures as of December 2025, adjusted for Fengate Infrastructure Fund V capital commitments closed through April 2026. Assets Under Management represents enterprise value adjusted for Fengate’s ownership (Infrastructure and Private Equity assets) and project gross asset value (Real Estate assets), plus undrawn commitments and recallable distributions.
(4) Includes corporate and shared resources including finance, HR, IT, and investor relations.
Our investment platform
Investing in what matters.
Fengate builds lasting value through our infrastructure, private equity, and real estate investments across North America.
Infrastructure
One of North America’s most active and trusted infrastructure investors and developers in the energy transition, digital, social, and transportation sectors.
Private equity
A trusted partner to lower middle-market businesses across North America, leveraging transformative capital and operational expertise to unlock long-term value.
Real estate
A leader in investment, development, and asset management across the full real estate lifecycle in North America.
INTRODUCTION
2025 Responsible investment highlights5
megawatt-hours of renewable energy generated
total installed renewable capacity
tCO2e absolute avoided carbon emissions from energy transition assets
employee volunteering hours
capital invested in green buildings certified by LEED or BOMA BEST
employee engagement score
stars achieved on policy, governance and strategy for the 2025 PRI assessment period
union labour hours generated from construction projects completed from 2019 to 2025, representing over 14 different trades across 27 investments
Fengate was proud to receive the following awards and recognition in 2025:
(5) As of December 31, 2025.
INTRODUCTION
Our firmwide approach to responsible investment
Fengate’s responsible investment mission statement
For over 50 years, Fengate has led with purpose and remains committed to responsible investment practices. By investing responsibly and thoughtfully, we will deliver lasting value and meaningful outcomes for our clients and communities.
Firmwide responsible investment objectives
Responsible Investment Framework
Fengate’s Responsible Investment Framework6 incorporates ESG considerations at each stage of the investment lifecycle. The framework sets out the strategy, governance and policy, process, and tools for RI integration all of which are subject to adaptation as strategies and priorities evolve. Although tailored approaches are implemented within individual business units, Fengate has established standardized elements to facilitate the uniform application of best practices across all phases of investment.
(6) Previously referred to as the Lifecycle ESG Engagement Program.
Responsible investment process
Screening and due diligence
Fengate’s RI due diligence is applied to all investments and covers standard ESG topics and sector-specific issues from the Sustainability Accounting Standards Board (SASB) Materiality Map. The due diligence includes a climate scenario risk analysis conducted using Mitiga EarthScan starting at the investment screening stage, with preliminary findings documented in the Investment Screening Memo.
mandatory ESG due diligence topics
Investment committee review
The investment team prepares a summary of the RI due diligence findings, including material risks, mitigants, and opportunities to include in the proposed transaction’s Investment Committee Memo. Fengate’s Director, Responsible Investment, provides an in-depth review and signoff on the results of the RI due diligence assessment before an investment is presented to the Investment Committee (IC) for final approvals.
Onboarding and development
Post-closing, the investment team transitions the RI diligence findings and mitigation plan to the asset management team. Assets are also onboarded to Fengate’s centralized ESG data management program. Where Fengate can exercise influence through its contractual rights, onboarding meetings with the relevant parties are established to align on key ESG risks and opportunities, identify data collection requirements, and establish expectations for the management teams.
Asset management and monitoring
Fengate collects and monitors key ESG metrics on an annual basis and engages with the management teams on performance improvement opportunities and addresses any data gaps. For assets where Fengate has limited operating control or financial interest, Fengate engages in stewardship activities within commercial reasonability to encourage positive sustainability outcomes.
assets under monitoring
Reporting
Finally, Fengate’s Responsible Investment Framework aims to deliver transparent reporting and disclosures to our internal and external stakeholders. We align ourselves with robust reporting frameworks such as ISSB, Sustainable Finance Disclosure Regulation (SFDR), and ESG Data Convergence Initiative (EDCI) to provide clear, detailed, and timely information about our RI activities and performance.
Governance
Responsible investment governance is a collective responsibility across all business units and corporate service functions. Roles are clearly assigned and incorporated into our RI governance.
Responsible investment governance structure
We believe in the importance of diversity within the Executive Leadership Team
(7) Senior Leadership values represent Fengate’s Executive Leadership team as of Q1 2026.
Exclusions
In principle and fundamental to our core investment strategy, Fengate conducts an exclusionary screening that prohibits investment in assets or entities whose principal operations and revenue generation are in sectors deemed unethical, harmful to society, or in breach of laws or regulations including but not limited to tobacco, palm oil, civilian and nuclear weapons, or thermal coal power generation.
Signatories and benchmarks
