The Public Investment Fund (PIF) is Saudi Arabia’s sovereign wealth fund, created in 1971. The fund’s headquarters are in Riyadh and it has offices in Hong Kong, London and New York. It invests in several sectors, including telecommunication, media and technology, real estate and financial services.
In terms of its approach to senior leadership accountability, Public Investment Fund could link the remuneration of its executive or management teams to sustainability performance criteria. Moreover, it has an opportunity to describe its engagement approach on sustainability themes and impact topics with clients and investees. Furthermore, Public Investment Fund has an opportunity to publicly commit to gender equality and women’s empowerment and reach at least 40% female representation in senior leadership positions. In terms of female representation in leadership positions, women are underrepresented on the board of directors where none of the board members is a woman. Public Investment Fund could also disclose the ratio of basic salary and remuneration of women to men in its total direct operations workforce for each employee category and the actions taken to address any pay gaps.
Public Investment Fund has an opportunity to disclose a target to reach net-zero financed emissions by 2050 and the key sectors and companies it has identified as priorities to engage with on climate change, specifically on the alignment with the Paris Agreement. Moreover, it could disclose its financing activities devoted to climate solutions. Regarding nature and biodiversity, Public Investment Fund has an opportunity to demonstrate how it is committed to minimising its negative impacts or financing regenerative solutions. No evidence was found regarding Public Investment Fund’s approach to fossil fuels that spans across the fossil fuel value chain, such as the amount or share of finance it directs towards fuels, or its stance on financing companies with new fossil fuel projects.
Public Investment Fund could provide a publicly available policy statement committing it to respect human rights laid out in the UN Guiding Principles and the ILO declaration on fundamental rights at work. It also has an opportunity to describe a comprehensive process for identifying its human rights risks and impacts across all its activities, especially its financing activities. Additionally, it has an opportunity to establish a grievance mechanism accessible to all workers, external individuals and communities to raise human rights complaints or concerns. Furthermore, Public Investment Fund could disclose the proportion of its total direct operations workforce for each employee category by age group and gender. To provide transparency on financial inclusivity, the Public Investment Fund has an opportunity to disclose the amount of finance directed towards, for example, women-owned businesses, small- and medium-sized enterprises (SMEs) or low-income developing countries.