PSP Investments Canada

The financial institution discloses specific actions taken to align its lobbying and public policy engagement with its sustainability strategy.

The financial institution has the opportunity to disclose its methodology for determining a living wage in its operational regions. While it permits individual political contributions, a public policy statement clarifying that it does not make political contributions is advisable. Moreover, it currently discloses some sustainability-related risks and opportunities but should transparently identify and prioritise its material sustainability impacts across its value chain using objective criteria.

Further recommendations include disclosing third-party assurance for target reporting, linking senior executive remuneration to sustainability targets, and establishing a stewardship policy aligned with its sustainability strategy. Moreover, a comprehensive list of trade association memberships should be disclosed. While the financial institution has targets devoted to green assets and sustainable bonds, it has the opportunity to disclose the share dedicated to climate mitigation solutions.

The financial institution is further encouraged to disclose a transition plan for its operations, supply chain, and portfolio, and ensure that scope 1-3 emissions align with interim targets. Furthermore, it should also provide a breakdown of clients by income group and outline processes to avoid divestment from low-income countries due to sustainability strategies. Additionally, their risk assessment process should include the ILO fundamental rights risks, with mitigation strategies in place. Finally, the institution should identify social risks related to the net zero transition and provide examples of actions taken regarding salient human rights issues from assessments conducted in the last three years.

This scorecard refers to information in English which was publicly available by July 15 2024. AuM and Total assets are stated in USD for comparability and have been calculated based on reported local currency values multiplied by applicable IMF currency converter values.