banner image for article showing the progression from seed to seedling

A lesson in responsible investing

Learn how the plan’s investments are making a difference while securing your future.

Your pension is invested responsibly with environmental, social and governance (ESG) factors in mind.

British Columbia Investment Management Corporation (BCI) manages the plan’s investments. It does so under the guidance of policies and procedures set by the Teachers’ Pension Board of Trustees.

How the board and BCI approach responsible investing

Responsible investing is an important part of the plan’s investment approach. BCI believes that companies with strong ESG practices create better long-term value for the plan than other companies do.

BCI is an active owner. That means it engages with companies to promote good corporate governance. It uses its influence as a shareholder to encourage companies to manage and report on ESG risks.

What are some key ESG factors?

  • Environmental factors include how companies affect air and water pollution, carbon emissions, deforestation and energy efficiency.
  • Social factors include equity, human rights, labour standards in the supply chain, and workplace health and safety.
  • Governance factors can mean board compensation and structure, diversity, and transparency and disclosure.

Case study: Pilot Freight Services

In 2016, BCI invested in Pilot Freight Services, a global third-party logistics provider and freight forwarding business. Based in Pennsylvania, Pilot serves customers through a network of over 75 locations in North America and Western Europe, and 87 international partners.

BCI holds board representation at Pilot.

As an active owner, BCI asks portfolio companies to assess their business practices on an ongoing basis. Pilot has discussed several ESG-related initiatives at the board level, including:

Air and water pollution

  • Exploring a carbon credit offset program
  • Working on converting forklifts from propane to electricity

Business ethics

  • Providing mandatory training on harassment prevention
  • Developing enhanced anti-bribery and corruption training

Community engagement

  • Expanding corporate social responsibility efforts to give back locally

Learn more about responsible investing

Visit BCI’s website for more information, including:

  • BCI’s Climate Action Plan
  • The 2019 ESG Annual Report
  • BCI’s actions as a founding signatory of the Principles for Responsible Investment