M&G and Ontario Teachers’ Pension Plan announce €200 million strategic investment in CLO platform
London, 27th July 2026: M&G Investments (M&G) and Ontario Teachers’ Pension Plan (Ontario Teachers’) - a leading global institutional investor - have agreed to a joint venture to support the scaling of a multi-billion European collateralised loan obligation (CLO) platform. The investment supports M&G’s ambition to be a leader in European private assets for institutional investors globally through its €93 billion Private Markets business¹.
Ontario Teachers’ has agreed to provide investment capacity of up to €200 million for equity investments in future M&G Margay CLO issuances as well as participate in the long-term economics of M&G’s European CLO business and support the continued growth of the platform.
By combining M&G's track record, in-house credit research and investment expertise in European broadly syndicated loans with Ontario Teachers’ institutional CLO investment experience and capital, the joint venture will support disciplined platform growth while delivering attractive risk-adjusted returns across market cycles. Capital will be deployed on an investment-by-investment basis in accordance with the agreed investment framework.
M&G has a 25-year track record investing in structured and private credit with a platform that has grown to €27 billion, which includes the Margay CLO programme. M&G’s Margay platform is led by Head of Private Corporate Credit, Fiona Hagdrup, supported by a team with extensive experience in European corporate credit and structured finance. It currently manages €1.6 billion of CLO assets within a broader €10 billion loan platform, complemented by M&G’s wider structured credit capabilities. The platform also benefits from capital from M&G’s Life business, which has invested more than £1 billion in structured credit strategies over time.
James King, Head of Private & Structured Credit at M&G Investments, said:
“This investment reflects the strength of our approach and track record in CLOs across market cycles. Our European platform is underpinned by disciplined credit selection and a long-term investment approach. Access to aligned long-term capital and the expertise of Ontario Teachers’ provides a strong foundation to scale the Margay programme over time, broadening our investor base and enabling us to deploy into opportunities as they arise, while continuing to deliver attractive risk-adjusted returns for our clients.”
Michael Merkoulovitch, Senior Managing Director, Credit, Ontario Teachers’ Pension Plan, said:
“M&G is a valued partner to Ontario Teachers’ within the structured credit space. We share a common investment philosophy and disciplined approach to risk. We believe the European CLO equity market is an attractive asset class that complements and diversifies our existing CLO equity programme and are pleased to expand our relationship with M&G. With a strong alignment of interest and shared conviction in the opportunity, we look forward to working closely with M&G to grow Margay into one of Europe's leading CLO platforms."
Fiona Hagdrup, Head of Private Corporate Credit at M&G Investments, said:
“The European CLO market continues to offer compelling opportunities for long-term investors, supported by a large and diverse pool of underlying senior loans. While market conditions may evolve, a disciplined, selective approach to credit remains key. Our focus on fundamental analysis, ESG risk mitigation, relative value and portfolio construction positions us well to navigate different phases of the cycle and deliver resilient outcomes.”
Note to editors: ¹M&G as of 31 March 2026