Asset management group Sagard, part of Power Corporation of Canada’s investment ecosystem, has launched a new AI-focused investment fund with a total size of $150 million USD.
The capital commitment comes from Power Corporation alongside subsidiaries Great-West Lifeco and IGM Financial. The fund is designed to invest in companies developing artificial intelligence technologies that support adoption across financial services and other major global industries.
What The Initiative Does
The Sagard AI Fund will invest in companies building technologies across the AI stack, with a focus on solutions that enable organisations to integrate artificial intelligence into core business operations.
Its mandate includes supporting startups that are helping financial institutions and other sectors implement AI tools for automation, decision-making, analytics, and operational efficiency. In addition to capital deployment, the fund is intended to provide portfolio companies with access to Sagard’s broader corporate network, creating opportunities for commercial partnerships, pilot projects, and enterprise-scale deployment.
The initiative also gives Power Corporation and its affiliates exposure to emerging AI technologies that could be applied across insurance, asset management, and financial services operations.
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Market Context / Industry Background
Financial services firms are increasingly accelerating investment into AI as they seek to improve efficiency, reduce operational costs, and modernise legacy systems. The sector is undergoing a broader shift toward automation in areas such as underwriting, customer service, investment analysis, and compliance.
At the same time, AI adoption is becoming a competitive differentiator across industries, pushing large financial groups to build closer relationships with early-stage technology companies. Investment vehicles that combine capital deployment with strategic access to industry networks are becoming more common as corporations seek to stay ahead of rapid technological change.
Sagard’s broader platform spans venture capital, private equity, credit, and real assets, giving it exposure to a wide range of investment opportunities across the financial ecosystem.
This trend also reflects a growing convergence between traditional asset managers and technology-driven innovation hubs, where data analytics and machine learning capabilities are increasingly embedded into core investment decision-making processes.
Founder / Investor Commentary
Sagard chairman and chief executive Paul Desmarais III said the firm views artificial intelligence as a structural shift for the financial industry rather than an incremental trend.
He emphasised that firms unable to adapt to technological change risk falling behind as AI becomes embedded across core financial processes.
The fund will be led by Evan Kerr, formerly a lead investor at Georgian, who will oversee investment strategy and global deal sourcing. Kerr said the initiative will remain flexible in both sector focus and investment stage, allowing it to participate broadly across AI infrastructure, applications, and enabling technologies.
He added that meaningful AI companies will be built through active engagement rather than passive investment approaches.
Growth Plans / Use Of Funds
The $150 million fund will be deployed into global AI companies developing technologies relevant to financial services and adjacent industries. Investments will focus on early- and growth-stage companies across applied AI, infrastructure, and enterprise software.
Sagard also plans to use the fund to strengthen its internal AI capabilities and expand collaboration between portfolio companies and operating businesses within the Power Corporation group. This includes exploring pilot projects and real-world deployment opportunities across insurance, wealth management, and financial operations.
The initiative follows Sagard’s broader effort to deepen its AI expertise, including the appointment of internal leadership focused on artificial intelligence strategy and portfolio support.
About Sagard
Sagard is an alternative asset management firm based in Montreal and part of the Power Corporation of Canada group. The firm manages investments across venture capital, private equity, private credit, and real assets, with a focus on supporting companies across multiple stages of growth and providing strategic value beyond capital through its global investment network.
