IMCO Releases Inaugural Environment, Social and Governance (ESG) Report

We are pleased to let members know that OPB’s investment manager, the Investment Management Corporation of Ontario (IMCO), has released its inaugural ESG Report, titled Adapting to a changing world this week. This is a key milestone that provides additional transparency around how IMCO is integrating ESG into its investment practices and the progress they’ve made so far.

The inaugural report outlines IMCO’s ESG strategy, including their commitment to achieve a net-zero emissions portfolio by 2050 or sooner. The report also provides details as to how their investment process integrates climate-related risks and opportunities, and includes IMCO’s first disclosure, in line with the Task Force on Climate-Related Financial Disclosures (TCFD) recommendations. IMCO and OPB are committed to continuing to work together to advance our ESG practices.

Visit IMCO's website(opens in a new tab) to read the full report.

How OPB and IMCO work together on ESG

IMCO considers all material ESG factors when it manages OPB’s investments, including climate-related risks. We expect IMCO to not only integrate ESG considerations in the investment process, but also to influence investee companies through engagement and shareholder voting to improve corporate practices and to avoid investments with problematic ESG issues. We also expect IMCO to consider divesting from investments where insufficient action is taken to address those issues.

“OPB and IMCO are aligned in their commitment to Responsible Investing. Together, we believe that companies and investment managers who effectively address ESG issues, including climate change and diversity, equity and inclusion, are better positioned to deliver long-term shareholder value – which benefits pension plan members.” – Chris Kautzky, Chief Investment Officer, OPB

Visit OPB’s Year-in-Review(opens in a new tab) website to learn more about our approach to ESG.