How the board makes investment decisions

Your pension is protected by legislation and key investment policies. Learn how they work together.

Investment beliefs

Responsible investing is a key part of the plan’s investment approach. Responsible investing means considering environmental, social and governance (ESG) factors when making investment decisions.

For example, environmental factors may consider how companies safeguard the environment and mitigate their impact on climate change. Social factors may look at how companies manage their business with employees, suppliers and the communities where they operate. Governance factors may address company leadership, executive pay and shareholder rights.

The board and BCI believe responsible investing is key to managing the opportunities and risks of long-term investments, and to meeting the mandate to grow and protect the plan fund.

Environmental, social and governance factors for investment

Strong corporate governance
A high-performing and diverse board with good governance practices works to enhance company performance and long-term value for the plan.

Strong environmental stewardship
Companies that take measures to protect the environment are better able to provide long-term value to the plan’s portfolio.

Active ownership
Through active ownership in some companies, the board (either directly or through BCI) influences companies to align with its beliefs. The board also works with BCI to exercise its shareholder voting rights.

Policy advocacy
Public policy and financial market regulations have an important influence on long-term investment returns. The board and BCI (or the board in collaboration with other investors) will promote public policies that support long-term investment returns and strengthen the fair and transparent regulation of financial markets.

Transparency and disclosure
Companies that are transparent and disclose all relevant and significant information enhance BCI’s ability to assess and manage ESG risks and opportunities.

Responsible treatment of workers and communities
Companies that provide opportunities for stakeholder engagement, and provide their employees with fair wages, benefits and working conditions, are more likely to create long-term value for investors and achieve long-term success.

Related document for How the board makes investment decisions

Statement of Investment Policies and Procedures