French insurer Axa is setting up a E1.5 billion private equity fund with Canada's biggest pension fund manager Caisse de depot et placement du Quebec focused on north America, Europe, and Asia.

The agreement between Axa Private Equity and Caisse, signed in Paris, involves investing E1.5 billion in American and Asian funds, contributing half each. Both groups have also agreed to swap market intelligence and share personnel. The deal marks Axa’s first entry to the private equity market in Asia.

According to Henri-Paul Rousseau, president and CEO of Caisse, this agreement will be beneficial for the institution. Together, our two institutions have the ability to provide substantial amounts of capital and respond quickly to business financing needs.