Responsible Investing



TRAF is required, as a fiduciary, to meet high standards of responsible investment behaviour. While all investments have risk, TRAF believes that entities which are mindful of, and responsive to, environmental, social and governance matters (commonly known as "ESG" factors) will generally perform better over the long term. We communicate our beliefs regarding ESG factors to each investment manager engaged by us, and encourage them to incorporate an assessment of ESG factors into their portfolio management process. In addition, TRAF closely monitors the voting policies and voting records of our investment managers to ensure that they are, absent acceptable explanations, supporting only those actions which are consistent with our beliefs.

TRAF also actively supports organizations that are focused on improving corporate governance practices, including the Canadian Coalition for Good Governance (CCGG) and the Pension Investment Association of Canada (PIAC).

It is noted that TRAF has no express mandate to exclude investments based solely on social, moral or political issues. While the exclusion of investments for such reasons may be theoretically permitted under certain circumstances, the implementation of such a program by an institutional investor like TRAF, which represents thousands of beneficiaries with a wide range of personal beliefs, can be extremely difficult, if not impossible. As a result, the Board has not adopted any such policies.