Principles for Responsible Investment (PRI)

PRI logo

UTAM is a signatory, on behalf of the University of Toronto, to the United Nations–supported Principles for Responsible Investment (PRI) – a set of commitments adopted by institutional investors around the globe as they integrate ESG considerations into their investment processes. The PRI framework has guided the development of our Responsible Investing Policy and informs the regular deliberations of our Responsible Investing Committee. Doug Chau, our Chief Risk Officer, is on the PRI’s Asset Owner Advisory Committee, which provides advice, tools and support to asset owners implementing the PRI.


PRI Principles

Guided by the PRI framework in our approach to responsible investing, UTAM undertakes, where relevant and material, the following non-exhaustive list of actions:

01

PRI Principle

We will incorporate ESG issues into investment analysis and decision-making processes.

UTAM Actions

  • Evaluate ESG-related risks across all portfolios.
  • Integrate consideration of ESG factors into our investment and operational due diligence policies, and into other policies.
  • Incorporate ESG considerations into our manager selection and monitoring processes.
  • Support development of ESG-related tools, metrics and analyses.
  • Encourage academic and other research on ESG integration.
  • Provide and promote ESG training for our investment professionals.

02

PRI Principle

We will be active owners and incorporate ESG issues into our ownership policies and practices.

UTAM Actions

  • Adopt a proxy voting policy that integrates ESG considerations and, where possible, apply this integrated policy to all public equity segregated account mandates, as well as to public equity funds in which our client’s portfolios are the only investors.
  • Encourage our investment managers to adopt voting policies that integrate ESG considerations.
  • Support corporate and regulatory proposals that contribute to improved governance practices and more effective boards.
  • Participate in collaborative engagement initiatives.

03

PRI Principle

We will seek appropriate disclosure on ESG issues by the entities in which we invest.

UTAM Actions

  • Discuss ESG risks in our managers’ portfolios and in relation to particular securities that those managers hold.
  • Ask managers to undertake and report on ESG-related engagements with companies in their portfolios.
  • Ask managers to report on ESG incidents in their portfolios.
  • Support collaborative initiatives promoting ESG disclosure by companies.

04

PRI Principle

We will promote acceptance and implementation of the Principles within the investment industry.

UTAM Actions

  • Encourage managers to become signatories to the PRI.
  • Communicate our ESG expectations to managers.
  • Support the development of tools for benchmarking ESG integration.
  • Support regulatory or policy developments that enable implementation of the Principles.

05

PRI Principle

We will work together to enhance our effectiveness in implementing the
Principles.

UTAM Actions

  • Support and participate in networks and information platforms in order to share tools and pool resources.
  • Address relevant emerging issues collectively with other asset owners and managers.
  • Identify and support appropriate coalitions whose beliefs are aligned with the Principles.

06

PRI Principle

We will each report on our activities and progress towards implementing the Principles.

UTAM Actions

  • Disclose how ESG issues are integrated within our investment process.
  • Disclose active ownership activities (e.g., voting, engagement and policy dialogue).
  • Communicate with stakeholders on ESG issues and the Principles.
  • Report on progress and achievements relating to the Principles.
  • Make use of reporting to raise awareness among a broader group of stakeholders.

Our First PRI Scorecard

In 2018, we participated in our first formal assessment as a signatory of the PRI. Responding to a series of asset-specific modules in the PRI’s reporting framework, we provided data on UTAM’s activities relative to various responsible investing indicators. The resulting report evaluated our progress in implementing responsible investing practices over time, across asset classes and compared to peers at the national and global levels.

As the scorecard below shows, UTAM received four A+ marks and one A for our responsible investing activities in managing the University of Toronto’s Pension and Endowment assets. We scored higher than the median PRI signatory in all relevant categories.

Module NameOur ScoreMedian Score
Strategy & GovernanceA+A
Indirect – Manager Selection, Appointment & Monitoring
Listed EquityA+B
Fixed Income – Supranational, Sub-Sovereign and AgencyA+B
Private EquityA+B
Direct and Active Ownership Modules
Listed Equity – Active OwnershipAB

Principles for Responsible Investment Reports

2018 PRI Transparency Report:

U of T Pension Plan

View 2018 Report
2018 Assessment Report:

U of T Pension Plan

View 2018 Report
2018 PRI Transparency Report:

U of T Endowment

View 2018 Report
2018 Assessment Report:

U of T Endowment

View 2018 Report
View All Reports