The Financial Post reports in its Tuesday edition that Mark Carney's relationship with Brookfield Asset Management has been under the microscope since his entry into federal politics, scrutiny that may intensify as he rolls out an ambitious "transformation" of Canada's economy. The Post's Barbara Shecter writes that the Liberal party has promised to use government spending to kick-start private sector activity and "catalyze" $500-billion in new investment over the next five years, with an emphasis on infrastructure -- exactly what Brookfield specializes in. In addition to the joint spending program, details of which have not been laid out, the government is expected to eventually put the Trans Mountain expansion pipeline on the block. It has also been exploring ways to encourage large Canadian pensions to invest more within the country, a process that could lead to the privatization or development of other kinds of assets coveted by Canada's multibillion-dollar institutional investors: airports, toll roads, utilities, wind farms and ports. If Brookfield winds up vying for the new public-private investments alongside Canada's largest pension funds, conflict of interest safeguards are likely to return to the spotlight.
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