What do these strategies look like in practice?
OMERS integrates ESG factors into our investment approach to achieve a more complete risk-return assessment.
In our public markets portfolio, we exercise governance through our proxy voting process, and through direct engagement, where appropriate, alongside our investing peers. We take our responsibilities as a long-term investor very seriously and believe that, by actively engaging in a constructive way, we can influence positive change.
In our private markets investments, OMERS actively engages directly with portfolio companies in various ways. As significant shareholders, we actively participate on the boards of these organizations, whether through our own employees or by appointing independent directors with specialized skills and experience.
OMERS sees significant opportunity in the next generation of clean energy. Climate change initiatives have produced attractive investment opportunities, as renewable and low-carbon energy projects gain traction.
While OMERS invests in the next generation of clean energy, we continue to carefully invest in the traditional energy industry, which remains significant in the global economy. We believe that there is a vital role for responsible and long-term investors to provide leadership on the cleaner and safer production and transportation of traditional energy.
OMERS collaborates with its pension plan peers, other institutional investors, governments and regulatory bodies on a variety of sustainability issues. For example, OMERS is involved in several climate-related initiatives, including a G7 group of institutional investors which, amongst its priorities, is committed to considering how best to implement the recommendations of the Task Force on Climate-Related Financial Disclosures. We are careful to ensure that our participation in institutional investor groups has a meaningful impact for our members.
OMERS continually reviews its practices in this area, and recognizes the evolving nature of global initiatives and regulations in sustainable investing.