Message from the
Chair and Vice-Chair

"OPTrust is well positioned to deliver pensions today and for generations to come, despite market challenges and global events experienced throughout 2022. Like many other investors and pension plans, we experienced a one-year negative return in 2022. Nevertheless, the overall effect of higher interest rates on the Plan's asset and liability mix means the Plan remains fully funded and the margin to protect against negative experiences is improving. The Plan is stronger than ever before."

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Lindsey Burzese

Lindsey Burzese

Richard Nesbitt

Richard Nesbitt

Message from the
President and Chief Executive Officer

Peter Lindley, President and Chief Executive Officer, OPTrust

"Together, we have a clear vision to deliver peace of mind in retirement for our members, to invest sustainably for the long-term health of the Plan, and to create an inclusive and fulfilling work experience for our people."

Peter Lindley
President and Chief Executive Officer

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OPTrust remains fully funded for the 14th consecutive year

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Laid out our direction for the next five years with a strategic plan that will enhance the Plan's sustainability, invest in our people and strengthen our operational capabilities

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Member service rating of 8.7/10

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-2.2% one-year net investment return

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5.00% nominal discount rate

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Almost $25 billion in net assets

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7.8% 10-year average net investment return

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Implemented the first year of the three-year IDE strategy

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Welcomed our employees back to the office in a flexible hybrid work model

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Released our enhanced climate change strategy

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The Plan is sustainable if it continues to deliver a valuable benefit within an acceptable range of contributions in the short, medium and long terms. That means members' contribution levels will remain relatively steady through the years they are making those contributions to the Plan, and they will be paid their pensions when they retire. As of December 31, 2022, the Plan has been fully funded for 14 consecutive years, yet ongoing challenges remain, including: the investment environment, high inflation, plan maturity and longevity risk.

Under the primary schedule, pensions that are being paid and deferred pensions are granted automatic annual cost-of-living adjustments (COLA) based on inflation. Under OPTrust Select, on an annual basis at the discretion of the Board, pensions that are being paid may be granted COLA, and active members may be granted accrued benefit upgrades to adjust for inflation. The inflation assumption used for Plan valuations is based on long-term expectations. If the actual rate granted to members for COLA and benefit upgrades is higher than the Plan's assumption, an experience liability loss occurs, and vice versa. In 2022, we saw inflation rates rise to their highest levels in almost 40 years. As a result, we have adjusted our COLA assumption for the 2022 valuation to incorporate what we expect to be short-term increases in inflation.

The investment environment continues to be tumultuous with a challenging macroeconomic and market environment. We note that a sustained period of high inflation with low economic growth will put pressure on the Plan's funded status.

The demographics of the Plan are challenging because the proportion of inactive members relative to active contributing members remains high. This situation means funding risk is borne by a smaller group of contributing members, which constrains the amount of risk the Plan can bear.

There are several methods to help maintain the funded status: our Member-Driven Investing (MDI) strategy, the risk tolerance specified in our Risk Appetite Statement and our funding tools. As challenges continue for longer periods of time, the tools at our disposal are applied differently. This includes the way we use risk within the MDI strategy. Plan sustainability is directly influenced by how we manage challenges and the amount of risk we are willing to assume. For instance, the discount rate includes a margin to protect the Plan from future adverse events. The level of margin in our discount rate at the end of 2022 has increased. The significant rise in yields during 2022 has reduced the strain on the discount rate used to value the Plan's obligations.

In 2022, we conducted an experience study to review the Plan's demographic assumptions. This is another tool we employ to help maintain our funded status by ensuring our valuation assumptions remain appropriate. Based on the results of the study and expectations of future trends, several of the demographic assumptions have been updated including retirement and termination rates. The main findings of the study revealed that there is a higher incidence of termination for younger members and that members are generally delaying their retirement. In addition, we are always looking into the future so we can attempt to foresee any upcoming challenges that could potentially affect our sustainability. We perform projections under varying economic environments, such as high inflation and low economic growth, or market collapses and rebounds, to help prepare for outcomes that may affect the level of future contributions and/or benefits.

The pension commitment spans many decades. In keeping with that long-term time horizon, short-term market events, whether positive or negative, should not lead to contribution and/or benefit changes. Contributions and/or benefits should only be changed when economic conditions or member demographics and/or behaviours change the long-term expected cost of the benefit. In setting the funding policy, we seek to maintain a balance between four different goals: benefit security, contribution rate stability, fairness between the two schedules of benefits and intergenerational equity. Intergenerational equity means that every generation of members will pay a fair amount for the benefits they receive — not that every generation should pay the same contributions for the same benefit. Of all these goals, the security of accrued benefits is the most important, which is why we strive to keep our commitment to members that they will receive their accrued benefits.

The funding valuation is used to determine the adequacy of the contribution rate and the funded position of the Plan and is filed with regulators at least once every three years, as per regulatory requirements. The financial statements valuation is used for disclosure for the purpose of this report. Both actuarial valuations require many different assumptions about future economic conditions and events. "Best estimate” assumptions are unbiased and are based on Plan experience and the consideration of potential future outcomes.

A funding valuation presents the Plan's financial information in a manner approved by OPTrust's Board of Trustees and in accordance with standards and regulations. It determines whether the Plan's assets, together with expected investment income and projected future contributions in respect of current members, are sufficient to fund members' expected benefits. This valuation approach is known as the modified aggregate method. It identifies any gains and losses that have occurred since the last funding valuation and confirms the overall contribution requirements until the next valuation. The funding valuation uses best estimate assumptions with the exception of the discount rate, which includes a margin of conservatism, which helps the Plan meet its funding goals.

OPTrust's financial statements rely on an actuarial valuation prepared in accordance with Canadian accounting standards for pension plans. The financial statements valuation is prepared using our best estimate assumptions. The valuation recognizes the increase in value of future obligations over time, and pension-related receipts and disbursements. Experience gains or losses (i.e. when actual experience differs from what we assumed) are recognized in the year incurred.

OPTrust engages independent actuaries to perform regular valuations of the Plan to ensure there are enough assets to meet the projected cost of members' lifetime pensions. OPTrust's 2022 valuation shows the Plan remained fully funded as of December 31, 2022. The funding valuation also showed deferred (or smoothed) investment gains of $349 million, which will be recognized over the next four years, further supporting the Plan's funded status in the years to come. The Plan's real discount rate for the 2022 funding valuation was increased to 3.00 per cent, net of inflation, up from 2.85 per cent in 2021. The effect of this change decreased the total fund liabilities by $709 million. The effect of the change in the COLA assumption increased the total fund liabilities by $615 million, and the effect of changes to the demographic assumptions based on the experience study performed in 2022 decreased the total fund liabilities by $194 million. Changes in the Plan's actuarial assumptions can have a major impact on the projected cost of members' pensions and the Plan's funded status. The table shows the impact of a 0.5 per cent change in certain key assumptions on the Plan's funded status.

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Serving Our Members

Our members tell us they appreciate the service they receive from OPTrust, giving us a service rating of 8.7 out of 10 in 2022. They contact us for information and guidance about their pensions throughout their membership and the considerations are different depending on whether they are new to the Plan, taking a leave of absence or readying themselves for retirement. We help members understand their options and the implications of each choice, to deliver peace of mind for retirement.

Vashtie Ramnarain

"It was important for me to buy back two years of service while I worked on contract with Service Ontario. I knew by increasing my years of pension service, I would increase my pension and could retire sooner.”

Vashtie Ramnarain
Program Assistant, Centre East Health Care Team
Ministry of Labour, Immigration, Training and Skills Development

Meiko Bae

"Once I retired and the pension kicked in, I felt the power of the benefit. I would've been in a completely different life situation if I didn't have this benefit. Having a pension gives me healthy confidence, security and independence as a senior.”

Meiko Bae
OPTrust Retiree
Ontario Science Centre

Olajumoke (Ola) Adenigba

"It means so much to me to be a member of OPTrust Select. I was so happy when I learned that my employer joined the Plan, and that I would receive the benefits of having a pension once I retire. It's something that I've always dreamt of having.”

Olajumoke (Ola) Adenigba
Manager, Program Services
North York Harvest Food Bank

Gordon Johnson

"The retirement process was seamless from start to finish – from my last pay cheque to my first pension payment. The communications that I receive from the team at OPTrust continues to keep me well informed about my pension.”

Gordon Johnson
OPTrust Retiree
Ministry of Transportation


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OPTrust remains fully funded for the 14th consecutive year

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Member service rating of 8.7/10

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Top 10 CEM Benchmarking Inc. global ranking

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10 new employers in OPTrust Select, growing membership to over 3,200

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Over 123,000 on-line transactions and electronic communications

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Supported members through approximately 48,000 life events

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Over 1,500 members attended on-line pension information sessions

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Over $1.2 billion total entitlements paid

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Supported members through over 45,500 telephone counselling events

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140% increase in digital correspondence

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Over 338,000 visits to our website

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At OPTrust, we rely on the strength of our people — a team of smart, talented and diverse employees — who fuel our success with a passion for pensions. In London, Sydney and Toronto, every member of the team goes beyond to meet our members' expectations and deliver a secure, predictable pension in retirement.

We remain focused on ensuring OPTrust is a great place to work for our team. Together we are united by a shared set of values that define the way we live, work and hold each other accountable:

  • Collaboration and Teamwork
  • Integrity
  • Respect
  • Flexibility
  • Excellence and Continuous Improvement
Anishnawbe Health Foundation logo

The OPTrust team gives back to the community through OPTrust Cares, a grassroots employee-led charitable giving program that raises funds for nonprofits as well as supports organizations that are meaningful to them and to our communities.

In 2022, OPTrust Cares supported a local Indigenous organization focused on improving the health and well-being of the Indigenous community in Toronto. The team held several fundraising and educational events with broad participation to learn more about the truth and reconciliation process and 94 Calls to Action, land rights, traditional healing practices and the experiences of Indigenous Elders. During another campaign, the team raised awareness about men's health and suicide prevention supporting a foundation with projects around the world.

At OPTrust, our values are reflected in the way we work together and in the way we serve members. In order to realize our values, we respect one another's diverse backgrounds and points of view. Our values depend on inclusion, diversity and equity, which supports OPTrust's vision to create an inclusive and fulfilling work experience.


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Partnership with the Canadian Council of Aboriginal Business and provided insight into the economic footprint of Canada's Indigenous business community and allowed us to pilot a new supplier diversity program and equip OPTrust to create a reconciliation plan to improve our ability to support the Indigenous community.

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Participation in Employee Resource Groups include 29 members for the Black Employees and Allies Network, 28 members for Women and Allies for Gender Equity and 16 members for the LGBTQ2S+ community.

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Our inaugural community outreach in the 2022 Pride Toronto Street Fair with over 30 employees, including majority of the Executive Team, raised awareness about OPTrust Select and promoted being an employer of choice with the LGBTQ2S+ community and allies.

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Workshops with the Canadian Council on Rehabilitation and Work and the Canadian National Institute for the Blind provided awareness and skills training for our Member Experience Team to meet the changing needs of our members.

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Tomiwa Oladapo

"As a young person seeking to better understand how investments work, I am very privileged to work with experienced investment professionals who are passionate about delivering pensions to our more than 100,000 members.”

Tomiwa Oladapo
Senior Analyst, Office of the Chief Investment Officer

Sozanny Chea

"I consider myself extremely lucky to be a member of a defined benefit pension plan. My parents sacrificed a lot so that I could have better opportunities and working for an organization that provides a pension is definitely one of them.”

Sozanny Chea
Digital Media Advisor

Chantelle Twomey

"I am part of a talented and diverse team that goes above and beyond for each other every day. Our positive workplace culture is one of the many reasons why I enjoy working at OPTrust.”

Chantelle Twomey
Human Resources Administrator

Kenny Cheng

"I am fortunate enough to work with OPTrust's top-notch investment team on a day-to-day basis and know that my pension is in good hands. I appreciate the value of having a defined benefit pension and the security that comes with it.”

Kenny Cheng
Director of Investment Operations

Laura Chow

"I am proud to work at OPTrust because of the culture we have. From the top-down, I would describe the people I work with as inclusive, hardworking, professional and considerate.”

Laura Chow
Technology Specialist

Yaseen Karmali

"I'm proud to be part of a team that provides peace of mind to our members. We answer thousands of phone calls and process thousands of transactions centred around members' life events."

Yaseen Karmali
Manager, Member Services

Peter Preradovic

"I enjoy working towards our mission of paying pensions today and preserving pensions for tomorrow. It shows we have a near and long-term commitment to our members. It is a commitment that helps our members live with dignity in retirement.”

Peter Preradovic
Senior Project Leader

Queenie Li

"I'm happy to be part of the actuarial team that provides technical data advice and support to the organization. My team helps to ensure that the Plan maintains its fully funded status.”

Queenie Li
Senior Actuarial Advisor

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Investment Strategy and Performance

  • We adopt a Total Portfolio Approach (TPA), which emphasizes an integrated approach to investing in which management and the Board work toward shared objectives, namely preserving the fully funded status of the Plan over the long term.
  • Our Member-Driven Investing (MDI) strategy is our application of a TPA. MDI aims to earn the returns we require to keep the Plan fully funded while not exposing it to excessive risk. This is aligned with our members' interest — to improve pension certainty.
  • Improving pension certainty means striking the right balance between these two objectives:
    • Sustainability – generating sufficient returns to keep the Plan fully funded, and
    • Stability – keeping contributions and benefits as stable as possible throughout time.
  • The three key components of this balance are contributions and investment returns on one side, and benefits on the other. We need to take risks to ensure the sustainability of the Plan, but not so much that we jeopardize the stability of contributions and benefits.
  • MDI emphasizes managing the risk drivers of our liabilities to reduce the volatility of our funded status, earning diversified investment returns and adding value in asset classes where we have a competitive advantage.
  • We allocate risk where we have the best potential for value creation, and we then use public market strategies to obtain our desired total fund risk exposure.
  • We strive to construct our portfolio to be resilient to different economic and market environments to the extent possible, while delivering attractive risk-adjusted returns over the long term.
Assets: Investment Returns + Contributions vs. Liabilities: Benefits
  • We continue to deliver on our plan sustainability objective and have retained our fully funded status for the 14th consecutive year.
  • In 2022, illiquid asset classes performed well and helped partially offset total portfolio losses from public market assets, reflecting the diversification we have in our portfolio. Our infrastructure, real estate and private equity portfolios delivered net returns of 21.1 per cent, 15.0 per cent and 4.8 per cent respectively.
  • We are a long-term investor and our longer-term results remain strong. Our net 10-year annualized return is 7.8 per cent, while the net annualized return since inception is 8.0%. This has exceeded what is required to fund the Plan and puts us in a good position to weather short-term volatility.
  • Total Fund Investment Performance
  • Our investment teams remained active this year and, despite the difficult environment, continued to find opportunities to make investments that we believe will serve our members well over the long term.
  • We also released our enhanced climate change strategy and continued to build out our Responsible Investing program.

Our total fund delivered a net return of -2.2 per cent in 2022, driven mostly by declines in the value of fixed income and public equity securities. Positive returns for illiquid assets helped to offset negative returns for public market asset classes.

Total Fund Investment Performance

More details on our total fund, sub-portfolio and asset class performance can be found in the 2022 Funded Status Report.

We Are a Global Investor

We invest globally to pursue a broader set of investment opportunities. Investing globally can offer diversification and return enhancement benefits to the total fund and is an important part of our investment program.

Our Internal Approach

In 2016, we embarked on an internalization initiative and are currently running our internally managed programs at over 65 per cent of the total fund. In addition to internally managed assets in our real estate, infrastructure and private equity portfolios, areas of internal investment management include our liability hedging, risk mitigation and funding portfolios, as well as our passive return-seeking strategies. We focus our internal resources on investment activities where we believe we have the skills and scale to be cost effective, otherwise investment activities are outsourced to external managers. Moving forward we will continue to seek out opportunities to internally manage investment strategies where appropriate.

Focus on Active Management

Active management is best deployed in areas where value creation potential is the greatest. We believe this is best achieved in the illiquid asset classes, such as real estate, infrastructure and private equity. Within public markets, we have focused our active management strategies on multi strategy investing, credit and emerging market public equities. The focus of our passive programs is on gaining the exposure we need to balance out our total fund risk profile as cost effectively as possible.

Internal/External and Active/Passive breakdown

Cost Effectiveness and Value Added Performance

According to the latest results from a CEM Benchmarking Inc. analysis, OPTrust delivered strong risk-adjusted performance using a sophisticated asset mix that was implemented cost effectively. Some highlights from CEM:

  • We are in the top decile of global peers based on the combination of both value added performance relative to benchmarks and investment costs for the five-year period ending in 2021.
  • Our 2021 value added performance was in the top one percentile of global peers' single-year outcomes in the last 20 years.
  • Our five-year value added performance was in the top quartile of Canadian peers for the period ending in 2021.

Case Study

Rendering of the Sen'ákw project, located on the edge of the Kitsilano neighbourhood bounded by the waterfront of False Creek and adjacent to the Burrard Street Bridge

In July 2022, OPTrust invested in Sen'ákw (sen-AWK), a purpose-built, multi-family rental project in Vancouver, British Columbia. The investment is a partnership with Westbank and the Squamish Nation.

With 20 per cent of homes being designated as affordable rental, the Sen'ákw development will generate significant affordable housing. Sen'ákw is the largest net-zero operational carbon residential project in Canadian history and also encompasses the largest federal financing to date, with a construction loan provided through the Canada Mortgage and Housing Corporation's Rental Construction Financing Initiative. As the largest non-resource private partnership with a First Nation, Sen'ákw will help further reconciliation in Canada and generate economic and social benefits for the Squamish Nation.

Upon completion, phases one and two of the project, which OPTrust has invested in, will consist of about 3,000 multi-family rental homes across seven buildings, alongside a district energy plant and ancillary commercial space, all totaling over two million buildable square feet. Subsequent phases of the project could encompass over 3,000 additional homes.

OPTrust is committed to continuing to grow its real estate portfolio sustainably and responsibly. Sen'ákw represents a compelling investment and is expected to enhance the quality, functionality and sustainability of OPTrust's real estate portfolio for the long term.

Rendering of the Sen'ákw project, located on the edge of the Kitsilano neighbourhood bounded by the waterfront of False Creek and adjacent to the Burrard Street Bridge. Rendering and design architect: Revery Architecture; Architect of Record: Kasian Architecture, Interior Design and Planning

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Responsible Investing Report

Our Responsible Investing (RI) program plays a key role in making more informed investment and risk management decisions, creating value and securing pensions for our members for decades to come. Recognizing that environmental, social and governance (ESG) factors can materially impact investment risk, return and our reputation, every investment professional at OPTrust is responsible for integrating ESG risks and opportunities in their decision-making and portfolio management.

Responsible Investing Highlights

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Released our enhanced climate change strategy with an ambition to create a more climate-resilient portfolio, aligned with reaching net zero by 2050.

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Completed our Responsible Investing Partner Evaluation framework on 100% of new externally managed investments; monitored and engaged with partners on their ESG practices.

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Engaged 524 companies on key environmental, social and governance (ESG) issues.

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Revised our Proxy Voting Guidelines to keep up with evolving best practices in corporate governance, climate strategy and labour standards.

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Continued to be an active voice in investor collaborative initiatives, including UNPRI's Asset Owner Technical Advisory Committee, the Thinking Ahead Institute's climate change working group, and the Ceres and UNPRI private equity working groups.

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Voted at 1,721 company meetings in 49 countries.

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Piloted COMPAS (Capturing OPTrust's Management and Progress Around Sustainability), our internally developed ESG data program, to establish a baseline and better track and understand our RI performance across the total fund.

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As stewards of our members' capital, our role is to look far ahead at challenges and opportunities that could affect members' retirement security across multiple generations. Chief among these is climate change. A defining issue of our time, it presents a real, measurable risk to our members that cannot be ignored in our investment approach.

In 2022, we released our enhanced climate change strategy, outlining our plan to manage the risks and opportunities from a transitioning economy. Our ambition is to successfully navigate the global transition towards net zero through:

Five climate change beliefs underpin our strategy and they guide our decision-making and the strategy's implementation and evolution:

  1. We recognize addressing plan sustainability requires addressing climate sustainability.
  2. We must anticipate change and evolve.
  3. We will find opportunities across transition pathways.
  4. We are active owners and will engage with companies and in investor collaborations.
  5. We will be transparent to preserve the trust of our members and stakeholders.

The strategy is built on four pillars designed to integrate climate considerations across OPTrust's investment portfolio and operations: investment strategy and selection, asset management, portfolio analytics, and advocacy and disclosure.

Further details on our enhanced climate change strategy and associated commitments can be found here.

Within the investment strategy and selection pillar, a key commitment in driving progress towards resiliency is stress-testing our portfolio construction using climate scenarios. Building on our 2018 partnership with Ortec Finance that integrated various global warming scenarios into the Plan's asset-liability modelling, we published an updated report in 2022 reflecting advancements in this area of climate scenario analysis. Having tracked the evolution in this space over several years, we are pleased to share our learnings as a resource for the industry as we all navigate the complexities of climate integration. While there remain challenges in translating the findings into actionable next steps, the exercise has proved helpful in positioning the risks of climate change to our funded status and setting the foundation for our enhanced climate change strategy.

As an asset owner with a long-term investment horizon, we view active ownership as a key lever for value creation and risk management that is essential to sustainable investment success. Exercising our governance rights through activities such as proxy voting and corporate engagement enables us to shape our investee companies' ESG strategy and hold them accountable for managing material issues effectively.

2022 Proxy Voting Highlights

OPTrust voted at 1,721 meetings in 49 countries.

Note: meetings voted by geography

  • Voted with management on 87 per cent of proposals and voted against management on 13 per cent of proposals
  • Voted in support of 28 proposals to improve climate risk management at portfolio companies
  • As part of our commitment to improve diversity in our portfolio companies, we voted against 362 director nomination proposals due to inadequate board gender balance.

Corporate Engagement

A core component of our commitment to active stewardship is our corporate engagement program, which supports our ability to manage emerging ESG issues and enhance long-term value. We believe that such engagement is generally preferable to divestment as it enables us to maintain a seat at the table, using the investor voice to effect positive change. In partnership with our engagement provider and other investor associations, including the Canadian Coalition for Good Governance, Climate Action 100+ and the 30% Club, we take part in dialogue with investee companies to advocate for improved practices and robust risk management around material sustainability issues. In our direct private markets investments, we leverage our more substantial ownership positions to play an even more active role in advancing our assets' ESG practices.

2022 Engagement Milestones

  • Climate change: While Waste Connections has historically focused on emissions offsets as part of its climate action plan, engagement with the company advocating for actual emissions reductions yielded a new target of reducing absolute Scope 1 and Scope 2 emissions by 15%.
  • Labour standards: Tesco committed to paying the living wage gap to their banana producers and sourcing bananas only from producers who pay a living wage to all workers beginning in 2024.
  • Environmental stewardship: BHP launched a 2030 objective to create nature positive outcomes by having at least 30% of its land footprint under nature positive management practices by 2030, supported by a comprehensive implementation strategy and an ambition to develop natural capital accounts.
  • Corporate governance: Following several years of dialogue with SCSK Corporation, the company appointed additional independent directors, raising the number of outside directors to six out of 12.
  • Public health: Unilever set a new benchmark for the consumer goods industry in disclosing the healthiness of its sales against six government-endorsed nutrient profiling models and their own internal model.
  • ESG governance: We supported the development of ESG policies and ESG frameworks for board reporting at several of our private markets assets.


Data quality is a well-known challenge in RI. ESG metrics are generally subjective, challenging to quantify, inconsistently measured and reported, and difficult to audit. The lack of widespread, high-quality information, both quantitative and qualitative, can lead to difficulty in rigorously evaluating ESG factors and effectively managing them in our portfolios. In the absence of standardized regulatory disclosures or an off-the-shelf ESG data framework applicable to our diverse asset classes and strategies, OPTrust's Responsible Investing Leaders Group (RLG) is creating one for the Investment Division.

Building on the successful integration of our Responsible Investing Partner Evaluation (RIPE) in 2021, the COMPAS (Capturing OPTrust's Management and Progress Around Sustainability) initiative is designed to further enhance the Investment Division's ability to track and assess our RI activities over time. COMPAS will enable us to consistently capture longitudinal, quantitative ESG data on our investments, supplemented with qualitative insights from investment teams.

The program's reporting on our ESG integration and impact will serve to:

  • Identify strengths and weaknesses in our RI processes within and across our portfolios with better monitoring of key ESG indicators, and corresponding risks and opportunities across the fund.
  • Strengthen our investment decision-making through informed analysis of material ESG factors.
  • Support the fulfillment of our responsibilities around the disclosure of RI developments and performance to our diverse stakeholders.

In 2022, the RLG piloted the collection of key ESG indicators across the fund, focusing initially on metrics pertaining to our ESG integration practices and application of our Statement of Responsible Investing Principles. These indicators are shown in the chart below.

In time, we intend for the initiative to evolve to encompass systematic monitoring of our sustainability outcomes and ESG performance (such as diversity, allocations to low-carbon investments and energy consumption) to provide a holistic, data-driven view of our RI program.

ESG data collection and disclosure remains an area of development within the investment industry and we are committed to working collaboratively with our investment partners to achieve greater transparency year over year. In 2022, OPTrust joined the ESG Data Convergence Initiative as a limited partner member to support the adoption of a standard for meaningful, performance-based ESG data disclosure in private equity and facilitate ESG data analysis in our private equity portfolios. We will stay engaged with these developments as ESG data and disclosure standards continue to evolve and gain traction across asset classes, with an eye to improving ESG data coverage, depth and quality within our organization and across our portfolios.

Investment Division's Inclusion, Diversity and Equity Toolkit

In 2021, OPTrust's Investment Division rolled out the Responsible Investing Partner Evaluation (RIPE) framework, enabling teams to more systematically identify and assess RI strengths and gaps when investing with external managers and funds. Reflecting a broadly recognized area of development in the wider investment industry, our investment partners' diversity across asset classes has been frequently flagged as having room for improvement. As a result, OPTrust developed an inclusion, diversity and equity (IDE) toolkit to assist our investment teams in advancing IDE in their portfolios and facilitate engagement and advocacy around a complex and often sensitive topic.

The toolkit contains a primer on understanding IDE in investment management, as well as four tools for investment teams to use in assessing, monitoring and managing IDE considerations in their portfolios:

  • Portfolio snapshot tool to help teams map their partners based on their IDE development and prioritize engagement.
  • Discussion guide to assist teams in conducting due diligence on an investment partner's IDE practices.
  • Compilation of best practices to support our partners in overcoming common IDE challenges.
  • Incident management framework to guide the effective management of any IDE-related incidents or controversies.
Lindsay Saldanha, Principal, Sustainable Investing and Innovation (Toolkit Development Lead) at OPTrust

"The creation of this toolkit underscores OPTrust's key corporate priority of advancing IDE across the organization and it aligns with our internal focus on building a more diverse and inclusive culture within OPTrust. The toolkit will help empower our investment professionals to collaboratively drive positive change within the industry and contribute to long-term value creation through diversity of thought, forward-thinking human capital practices and comprehensive risk management."

Lindsay Saldanha
Principal, Sustainable Investing and Innovation (Toolkit Development Lead)

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Get the full picture

Read the full report.

With net assets of almost $25 billion, OPTrust invests and manages one of Canada's largest pension funds and administers the OPSEU Pension Plan (including OPTrust Select), a defined benefit plan with over 106,000 members.

OPTrust acknowledges the land where we operate in Toronto is on the traditional territory of many nations including the Mississaugas of the Credit, the Anishnabeg, the Chippewa, the Haudenosaunee and the Wendat peoples and is now home to many diverse First Nations, Inuit and Métis peoples. We also acknowledge that Toronto is covered by Treaty 13 with the Mississaugas of the Credit.

Additionally, we acknowledge Aboriginal and Torres Strait Islander peoples as the traditional custodians of Australia, where OPTrust also operates. The Gadigal of the Eora Nation are the traditional custodians of what we now call Sydney, and we pay our respects to the Elders both past and present.

These acknowledgements remind us of our responsibilities to our relationships and the ancestral lands on which we learn, share and live.