Item - 2019.IB1.5

Tracking Status

This item was considered by Toronto Investment Board on April 11, 2019. The Toronto Investment Board postponed consideration of this item. Consult the text of the decision for further information on the deferral.

IB1.5 - Investment Policy - Environmental, Social, and Governance Review

Decision Type:: ACTION

Status:: Deferred

Wards:: All

Board Decision

The Toronto Investment Board:

1. Deferred consideration of the item until a future meeting of the Toronto Investment Board.

Origin

(March 28, 2019) Report from the Executive Director, Corporate Finance

Summary

City Council has directed the Executive Director, Corporate Finance, to review sections of the Statement of Investment Policy and Procedures for the City of Toronto Investment Funds (Investment Policy) pertaining to Environmental, Social, and Governance (ESG) factors and to consult with a number of relevant industry stakeholders, including the Toronto Investment Board, and report back to the Executive Committee in the first quarter of 2019.

The purpose of this report is to summarize the ESG provisions contained in the Investment Policy and to solicit advice from the Board and other stakeholders on how these provisions can be enhanced.

Background Information

(March 28, 2019) Report and Attachment 1 from the Executive Director, Corporate Finance on Investment Policy - Environmental, Social, and Governance Review
https://www.toronto.ca/legdocs/mmis/2019/ib/bgrd/backgroundfile-131340.pdf
Attachment 2 - Statement of Investment Policy and Procedures for the City of Toronto Investment Funds
https://www.toronto.ca/legdocs/mmis/2019/ib/bgrd/backgroundfile-131342.pdf
Attachment 3 - Key Considerations for Responsible Investing Initiatives (Meredith Jones, Aon)
https://www.toronto.ca/legdocs/mmis/2019/ib/bgrd/backgroundfile-131343.pdf
Presentation from Julia Langer, Chief Executive Officer, The Atmospheric Fund, and Hyewon Kong, Member, Investment Committee, The Atmospheric Fund on City of Toronto Investment Policy: Embracing Best Practices, Minimizing Downside Climate Risk, and Maximizing Upside Value from Climate Solutions
https://www.toronto.ca/legdocs/mmis/2019/ib/bgrd/backgroundfile-131516.pdf
Presentation from Gary Hawton, Senior Director, Clients Relations, North America, Sustainalytics on Application of Environmental, Social, and Governance and Carbon Research
https://www.toronto.ca/legdocs/mmis/2019/ib/bgrd/backgroundfile-131515.pdf

Communications

(April 9, 2019) E-mail from Pamela Steer, Toronto Investment Board (IB.New.IB1.05.01)
https://www.toronto.ca/legdocs/mmis/2019/ib/comm/communicationfile-93471.pdf

Motions

Motion to Defer Item moved by John Crocker (Carried)

That consideration of the item be deferred until a future meeting of the Toronto Investment Board.