The Public Sector Pension Investment Board is reporting $75.5 billion worth of green assets in its fiscal year 2025, up from $64.9 billion during the previous year, according to the investment organization’s latest climate disclosure report.
Carbon-intensive assets held by the investment organization declined by 23 per cent compared to fiscal 2024 while its transition assets declined by nine per cent to 10.4 per cent in 2025. It also reported its scope 1 and scope 2 greenhouse gas emissions data for assets in-scope, which reached 66 per cent.
Read: PSP Investments’ green assets increased to $64.9BN in fiscal 2024: report
PSP Investments is considering short-, medium- and long-term timelines for climate-risk management in its portfolio and the impact these investments could face from the effects of climate change.
“We believe that several assets will face acute and chronic physical risks, intensifying the economic costs associated with frequent and impactful extreme weather events and that carbon-intensive assets may face increasingly strict regulatory requirements.”
The ability to adapt to regulatory changes and stakeholder expectations, it said, will be critical to capitalize on potential investment opportunities with strategies that can manage risks and make the most of emerging market potential.
Looking ahead to its fiscal 2026 period, the investment organization is targeting the ongoing deployment of its 2022-2026 climate strategy and will also enhance its sustainability disclosures with financial reporting informed by first and second referendums from the Canadian Sustainability Disclosure Standards.
Read: PSP Investments returns 12.6% for fiscal 2024, net assets increase to $264.9BN