PSPIB and Sun Life participated in a US$205-million round for San Francisco-based Collective Health, which offers software that helps U.S. employers manage their health insurance programs, including financial reporting and administration. Employees can use Collective Health to review claims and spending and chat with customer service on one platform. SoftBank led the round; Collective Health will use the funds on product development and growing its engineering team. (The Logic)

Talking point: The investment comes as other Canadian pension funds are ramping up their tech investments; the Canada Pension Plan Investment Board is planning to invest up to $1 billion in venture capital funds to understand how tech investments can shape or disrupt its existing portfolio. And, in May, it participated in the US$350-million close of Radical Ventures, a new Canadian artificial intelligence fund. The Ontario Teachers’ Pension Plan appointed Olivia Steedman in April to lead a new investment department dedicated to tech companies. For Sun Life, it’s an opportunity to have a stake in another tech company, as it navigates the disruption in the insurance industry; in 2018, Sun Life launched Lumino, an online portal that has ratings and costs of Canadian health providers in a marketplace that resembles the first iteration of League, which allows employers to manage health insurance for employees.