Radical Ventures announces the largest venture capital fund in Canadian history

With a focus on investing and partnering with AI companies scaling into global champions, well over US$1 billion has been committed to the strategy by PSP Investments, CPP Investments, HOOPP, TD Bank Group, BMO Financial Group, CI Global Asset Management, and OPTrust, alongside other leading global investors.

TORONTO, Sept. 15, 2026 /PRNewswire/ -- Radical Ventures today announced the first close of the Radical Breakouts Fund, the largest-ever venture capital fund in Canada. Radical's new late-stage strategy secured over US$1 billion in commitments, with investment from Public Sector Pension Investment Board (PSP Investments), Canada Pension Plan Investment Board (CPP Investments), HOOPP, TD Bank Group, BMO Financial Group, CI Global Asset Management and OPTrust, alongside other leading global investors. The announcement was made at the inaugural Canada Investment Summit in Toronto.

The multi-billion dollar Radical Breakouts Fund will invest in AI scale-ups on a path to becoming the next trillion-dollar businesses. It is designed for a market in which the most valuable companies stay private far longer than they once did, raising successive large private rounds and reaching the public markets already worth $100 billion or more. Capturing that value requires private capital at a scale that has, until now, existed almost exclusively in the United States.

Canada has produced some of the world's most significant AI and deep tech companies, including Cohere, Waabi, Xanadu, Veeda and Aspect Biosystems, each backed by Radical Ventures. To keep growing, Canadian champions have consistently had to look outside the country for late-stage capital. The Breakouts Fund gives Radical greater capacity to back leading AI companies globally, including in Canada, while providing Canadian companies with a domestic source of late-stage capital at the scale they require.

"We compete to invest and partner with the best AI founders and companies in the world, and we win," said Jordan Jacobs, Co-Founder and Managing Partner of Radical Ventures. "We have invested in Discovery Loop, Cohere, Waabi, World Labs, Veeda, Xanadu, Etched, Crusoe, Generalist, Prime Intellect, Decart, Latent Labs, Muon Space and Aspect Biosystems, just to name a handful of the Radical portfolio companies that are rapidly scaling. The world's most important AI founders often choose Radical to incubate their startups and lead their investment rounds, from the first to the last. The result is a Canadian firm investing in Canada and globally, with the returns coming home."

"Canada has never had a shortage of world-class AI companies. What we have lacked is capital at the scale required to keep them here as they grow," Jacobs added. "For decades that meant our best companies looked to the United States to fund their most important years, and much of the value they created went with them. The Radical Breakouts Fund closes that gap."

For Canadian pension funds and institutional investors, anchoring the Radical Breakouts Fund offers exposure to a category of value creation that has largely accrued to investors outside the country.

"Canada has emerged as a global leader in AI innovation, with exceptional talent, world-class research institutions, and companies that are setting new standards on the world stage. PSP Investments has been an anchor investor in Radical since the launch of their first institutional fund. We are proud to invest alongside a manager with the expertise, access and track record to identify and support the companies shaping the future. Ultimately, investments like these are about creating long-term value and supporting the retirement of those who protect and serve Canada."
–  Deborah K. Orida, President and Chief Executive Officer, PSP Investments

"We have partnered with Radical Ventures since its first institutional fund in 2019, when we developed conviction in the team's strategy, network and deep expertise in AI. With deep roots in Canada's AI ecosystem, Radical has built access to promising companies both here and globally. The Breakouts Fund gives CPP Investments an opportunity to extend that partnership into later-stage companies as they scale, to deliver attractive long-term returns for the CPP Fund."
– John Graham, President and Chief Executive Officer, CPP Investments

"Radical Ventures demonstrates the value of a Canadian company competing successfully on the global stage. Building on our existing partnership, the Radical Breakouts Fund gives HOOPP an opportunity to generate strong long-term returns for our members, deepen our exposure to and understanding of transformative AI technologies, and support Canadian companies with the potential to become global leaders."
–  Annesley Wallace, President and Chief Executive Officer, HOOPP

"Canada has the talent and ambition to lead in AI; what we need is capital to scale Canadian companies into global champions. Led by AI experts, skilled investors and visionary entrepreneurs, the Radical Breakouts Fund will back leading AI companies at home and abroad, creating value for Canadians. We've partnered with Radical Ventures from the very beginning and are excited by its ability to help power Canada's AI sector."
–  Raymond Chun, Group President and Chief Executive Officer, TD Bank Group

"Canada has the talent and the resources to be an innovation leader across the board: from discovery to commercialization and adoption – helping to build the next era of world-class companies and the technologies that power them. As Canada's first bank, we've been investing in innovation for centuries and are proud to support this next generation."
–  Darryl White, Chief Executive Officer, BMO Financial Group

"Our extensive global search for a venture capital partner for Canadian investors in our private markets funds started with this question: 'Who is at the epicentre of AI development?' It quickly became obvious that a Canadian firm – Radical Ventures – was attracting exceptional talent and opportunities. We're excited to continue working with the company to finance world-leading Canadian companies in this critical sector."
– Marc-André Lewis, President and Chief Investment Officer, CI Global Asset Management

"Canada continues to produce world-class innovators and entrepreneurs. We are proud to invest in Canada's next generation of success stories, generating value for our members while participating in the growth of an innovation economy that continues to compete on the world stage."
– Peter Lindley, President and Chief Executive Officer, OPTrust

Radical Ventures has invested at every stage of company growth since its founding, from day-zero/incubation (Cohere, Waabi, World Labs) through pre-IPO. Alongside its Canadian portfolio, Radical has led rounds and invested in global AI companies, including Discovery Loop, World Labs, Etched and Crusoe.

The announcement was made as part of the official programming of the Canada Investment Summit, the first-ever gathering of global investors, chief executives and business leaders hosted by the Government of Canada in partnership with CPP Investments and PSP Investments to attract investment into Canada's economy.

ABOUT RADICAL VENTURES
Radical Ventures invests and partners with the AI visionaries who will define the future, investing from day-zero incubations and seed through growth and pre-IPO scaling. Radical has offices in Toronto, San Francisco, London and New York. www.radical.vc

ABOUT PSP INVESTMENTS
The Public Sector Pension Investment Board (PSP Investments) is one of Canada's largest pension investors with $320.6 billion of net assets under management as of March 31, 2026. It manages a diversified global portfolio composed of investments in capital markets, private equity, real estate, infrastructure, natural resources, and credit investments. Established in 1999, PSP Investments manages and invests amounts transferred to it by the Government of Canada for the pension plans of the federal Public Service, the Canadian Forces, the Royal Canadian Mounted Police, and the Reserve Force. Headquartered in Ottawa, PSP Investments has its principal business office in Montréal and offices in New York, London and Hong Kong. For more information, visit investpsp.com.

ABOUT CPP INVESTMENTS
Canada Pension Plan Investment Board (CPP Investments™) is a professional investment management organization that manages the Canada Pension Plan Fund in the best interest of the more than 22 million contributors and beneficiaries. In order to build diversified portfolios of assets, we make investments around the world in public equities, private equities, real estate, infrastructure, fixed income and alternative strategies including in partnership with funds. Headquartered in Toronto, with offices in Hong Kong, London, Mumbai, New York City, São Paulo and Sydney, CPP Investments is governed and managed independently of the Canada Pension Plan and at arm's length from governments. At June 30, 2026, the Fund totalled C$863.6 billion. For more information, please visit www.cppinvestments.com or follow us on LinkedIn, Instagram or on X @CPPInvestments.

MEDIA CONTACT
Aaron Brindle, Communications Lead, Radical Ventures
[email protected]

SOURCE Radical Ventures