Our sustainability approach

Our sustainability approach

At PSP Investments, we define sustainability-related risks broadly to encompass governance, social and environmental topics that may influence an entity's ability to create value over the short, medium, and long term.

 

We aim to integrate climate-related risks and opportunities into our investment strategy, portfolio construction, risk management, investment decisions, and asset management activities supporting disciplined decision-making and long-term value creation.

Our sustainability journey

  • 2001

    Adopted our first Social and Environmental Responsibility Policy and Proxy Voting Guidelines.

  • 2005

    Joined the Canadian Coalition for Good Governance.

  • 2007

    Launched a formal sustainability engagement program with public issuers. Became a signatory to the CDP (formerly Carbon Disclosure Project).

  • 2014

    Became a signatory to the United Nations’ Principles for Responsible Investment.

  • 2016

    Created a dedicated Responsible Investment group to help us include sustainability into our investment decision-making.

  • 2018

    Issued our inaugural Responsible Investment annual report.

  • 2020

    Joined the CEOs of Canada's eight leading pension investment managers in calling on companies and investors to help drive more sustainable and inclusive economic growth.

  • 2022

    Launched our Climate Strategy Roadmap and Green Asset Taxonomy. Released our Green Bond Framework and issued our first climate-related financial disclosures.

  • 2023

    Issued our first Green Impact Report.

  • 2024

    Joined leading Canadian pension investment managers to support CSSB standards.

  • 2025

    Issued our first integrated climate-related financial disclosure.

  • 2026

    Completed our 2022-2026 Climate Strategy Roadmap. Published our first integrated financial and climate disclosures.

Evolving our climate approach

As a long-term investor, PSP Investments continues to assess and manage the climate-related risks and opportunities within our investment strategy amid evolving macroeconomic, geopolitical, regulatory and market conditions.

 

Building on both the areas of progress achieved and the lessons learned through our 2022 – 2026 Climate Strategy Roadmap, we are continuing to advance our climate approach, shifting toward deeper institutional integration, anchored in actions within our scope and mandate.

 

We are also transitioning to a more embedded model for managing sustainability risks and opportunities and introducing a new climate risk framework to guide how climate-related risks and opportunities are identified, assessed, and managed across the investment lifecycle.

 

For additional information on PSP Investments’ approach, please consult the “Focus on Sustainability” and the Climate-Related Financial Disclosures sections of our 2026 annual report.

2026 Annual Report
Date: March 31, 2026
Size: 6.2 MB

Integrating sustainability in private investments

We aim to conduct an in-depth sustainability risk and opportunity analysis during the due diligence process for our private investments in Real EstateInfrastructureNatural ResourcesPrivate Equity and Credit Investments. As owners, we monitor assets and where appropriate, engage with boards and management of our investee companies on material sustainability risks and opportunities, with a view to protecting and enhancing long-term financial value.

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Photo of a harbor at dusk

Integrating sustainability in public investments

As part of our investment analysis and decision-making processes, we identify material sustainability factors that may impact the long-term financial performance of our public market investments. Through direct dialogue, collaboration, and proxy voting, we seek to influence governance, risk management, and sustainability disclosure aligned with our long-term mandate.

Integrating sustainability in our Green Bond Framework

Through the issuance of Green Bonds, PSP Investments aims to enable capital raising and investment for new

and existing projects that promote the development of environmental and climate benefits in order to support sustainable development.. Net proceeds from  the issuance of Green Bonds are allocated to eligible assets that support or enable the transition to a low-carbon economy. 

Our Debt Programs

Setting a high bar for external managers

For externally managed investments,our investment framework aims to integrate financially material climate-related risks and opportunities, alongside other sustainability-related risks and opportunities, and we strive to survey, where relevant, the climate change approaches in the investment activities of new general partners and external managers. Before allocating capital to any external managers for public market investments or committing to private investment funds, we use an in-house framework to objectively evaluate their sustainability practices. By reporting back to them on our findings, we share our sustainability vision and open the door to discussions about sustainability best practices and how to adopt them.

Standing by our beliefs

Proxy voting

We strive to vote at all shareholder meetings organized by companies in which we invest. Our Corporate Governance and Proxy Voting Principles serve as our guide and focus on nine themes.

 

Our proxy voting record

PSP publishes its voting records for shareholders' meetings on a website hosted by Institutional Shareholders Services (ISS).


Voting records can be searched by issuer name or by date starting from November 1, 2017.

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Partner organisations

We partner with institutional investors, industry associations, NGOs and others on issues that matter to capital markets.