Impact investments provide capital to initiatives that intentionally and measurably address the world’s most pressing environmental and social challenges. These investments generate an appropriate, risk-adjusted financial return and are reported on annually.
Impact investing not only supports our vision to be a catalyst for a sustainable society, but also broadens the returns of our investments beyond purely financial gains and into the realm of social and environmental benefits. The Co-operators areas of focus for impact investments are:
- Climate change
- Community development
- Health and wellness
- Food, agriculture and natural resources
In 2018, our investment management company, Addenda Capital, launched the Addenda Impact Fixed Income Pooled Fund – the first of its kind in Canada – which now manages impact investments more than $93 million in assets. We are well on our way to achieving our goal of having 20% of our own invested asset portfolio invested in externally verified impact investments by the end of 2022. Of our $10.6 billion in invested assets, a total of 19.4% are now invested in securities that have both compelling investment returns and a measurable, positive environmental and/or social impact.
To learn more about our impact investing strategy, please read our Integrated Annual Report.