The Changing Security and Procurement Landscape

ALTERNATIVE PERSPECTIVES | DEFENCE IN FOCUS • APRIL 29, 2026

 

Key Takeaways

  • Defence investment is entering a sustained expansion phase, with governments committing significant capital to national security across multi-year policy frameworks.
  • Innovation is increasingly originating in commercial markets, with dual-use technologies becoming central to defence capability development.
  • As spending scales and procurement evolves, capital is being deployed across a broader ecosystem of technology, industrial and supply chain participants, expanding the investable universe beyond traditional contractors.

Defence is often viewed as a distinct and specialized sector, defined by government procurement and a small set of prime contractors. That framing is becoming increasingly incomplete.

Today, many of the technologies shaping national security, including artificial intelligence, autonomous systems and advanced manufacturing, are developed first in commercial markets and later adapted for defence applications. Ongoing conflicts have accelerated this shift, highlighting both the strategic relevance of commercially developed technologies and the need to deploy them more rapidly at scale.

In response, governments across North America and Europe are increasing investment and adapting procurement models to better integrate dual-use innovation into defence capability. As these changes are embedded within multi-year policy frameworks, they point to a structural realignment rather than a temporary response to current events, expanding the set of companies participating in defence and reshaping how capital can be deployed to capture this evolving opportunity. 

Download the Full Article

About AGF Capital Partners

AGF Capital Partners is AGF’s multi-boutique alternatives business with diverse capabilities across both private assets and alternative strategies. Clients can benefit from the specialized investment expertise of Affiliate Managers combined with the organizational support and breadth of resources of AGF Management Limited (AGF). With over 18 years average experience, AGF Capital Partners Affiliate Managers’ Kensington Capital Partners Limited, New Holland Capital, LLC and AGF SAF Private Credit manage approximately C$14 billion in alternative AUM and fee-earning assets on behalf of institutional and retail clients. Affiliate Manager AUM may not be consolidated into AGF Management Limited’s reported AUM. The term ‘Affiliate Manager’ refers to any partner regardless of relationship structures or revenue sharing agreements. The form of AGF’s structured partnership interests in Affiliate Managers differs from Affiliate Manager to Affiliate Manager. The structure of the relationship with a particular Affiliate Manager, or the revenue that AGF agrees to share in, may change. Affiliate Managers only provide investment advisory services or offer products in the jurisdiction where such firm, individuals and/or product is registered or authorized to provide such services. Products in Canada are distributed through registered dealers on a private placement basis, including by AGF Capital Partners’ affiliate, AGF Investments Inc.

The views expressed are those of the author and do not necessarily represent the opinions of AGF, its subsidiaries or any of its affiliated companies, funds, or investment strategies.

The commentaries contained herein are provided as a general source of information based on information available as of April 21, 2026. It is not intended to address the needs, circumstances, and objectives of any specific investor. The content of this commentary is not to be used or construed as investment advice, as an offer to buy or sell any securities, and is not intended to suggest taking or refraining from any course of action. Every effort has been made to ensure accuracy in these commentaries at the time of publication, however, accuracy cannot be guaranteed. Market conditions may change and AGF and Affiliate Managers accept no responsibility for individual investment decisions arising from the use or reliance on the information contained herein.

This document may contain forward-looking information that reflects our current expectations or forecasts of future events. Forward-looking information is inherently subject to, among other things, risks, uncertainties and assumptions that could cause actual results to differ materially from those expressed herein.

AGF entities only provide investment advisory services or offers investment funds in the jurisdiction where such firm, individuals and/or product is registered or authorized to provide such services.

® ™ The “AGF” logo and all associated trademarks are registered trademarks of AGF Management Limited and used under licence.

Published: April 29, 2026. RO: 20260423-5376230-17074690