CDPQ’s announcement follows its achievement of key local weather milestones forward of schedule. As of year-end 2024, the fund had already surpassed its targets set in 2017 and revised in 2021, reaching a virtually 50 per cent discount in portfolio carbon depth, outpacing world emissions tendencies, which rose by 6 per cent over the identical interval.
“We’re reaffirming our sustainable investing convictions as a result of they’re on the coronary heart of our fiduciary duty,” stated Charles Emond, president and CEO at CDPQ. “We’re demonstrating even higher ambition by going past calculating our portfolio’s carbon emissions to work even tougher on transitioning the actual financial system throughout all sectors by encouraging the businesses we spend money on to undertake clear and credible decarbonization plans. We do that with a view to long-term worth creation and sound danger administration for our depositors.”
CDPQ will intensify its engagement and capital allocation towards firms integrating local weather targets into their enterprise fashions. Fairly than divesting, the fund will make investments throughout sectors to assist firms decrease their emissions and deal with actual financial system decarbonization and enhancing their resilience to transition dangers.
The fund may also goal development in 4 forward-looking classes: low-carbon property, together with renewable vitality, electrification, and associated infrastructure; nature-based options, comparable to sustainable forestry and carbon seize via land conservation; adaptation and resilience investments, geared toward mitigating the bodily impacts of local weather change on communities and infrastructure and enabling applied sciences and providers, comparable to software program, information, and mental property that help the net-zero transition.
“Our goal is to make future-oriented investments that may favourably place us to attain our purpose of a net-zero portfolio by 2050,” stated Bertrand Millot, head of sustainability at La Caisse.