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Responsible Investment Policy FAQs

1. What are UVic鈥檚 investment objectives for its working capital investments?

The investment objectives of these funds are:

  • to preserve capital;
  • to ensure availability of cash by investing a portion of these funds in liquid investments that can be easily converted to cash to fund operations with low risk of principal loss; and,
  • to provide investment returns with a low level of

2. What is Responsible Investing?

Responsible Investing is an approach that aims to incorporate environmental, social, and governance (ESG) factors into investment decisions to better manage risk and generate sustainable long-term returns. This approach consists of the following strategies:

  • ESG integration is the ongoing consideration of ESG factors within an investment analysis and decision-making process with the aim to improve risk-adjusted returns.
  • Stewardship is the use of investor rights and influence to protect and enhance overall long-term value for clients and beneficiaries, including the common economic, social, and environmental assets on which their interests depend. This approach consists of the following tools:
    • Advocacy is collaborating with like-minded investors to exchange information and pool resources to influence and improve company governance/practices, supportive of public policies, and capital market regulations.
    • Engagement is the process of communicating with the management and boards of equity and fixed income issuers in the investment portfolio. Through engaging with companies, the university can better understand a company’s position on material issues that help it evaluate ESG risks and opportunities.
    • Escalation is the approach an investor takes if initial Stewardship approaches are unsuccessful at achieving its objectives over a given period. Escalation differs by asset class and investor type but generally involves the use of increasingly assertive Stewardship tools and activities.
    • Exclusions are the acts of barring companies’ securities from being purchased for a portfolio due to business activities that are deemed unethical, harmful to society, or in breach of laws or regulations.
    • Proxy Voting is the process of casting ballots as a shareholder of a public company for listed equities that have voting rights. Shareholders receive a proxy ballot along with an information booklet called a proxy statement describing the issues to be voted on, such as electing directors to the board, ESG factors, and approving a stock compensation plan.

3. What are UVic鈥檚 beliefs about Responsible Investing?

The university believes responsible investing (i.e., taking environmental, social, and governance (ESG) factors into consideration) will reduce long-term risks and improve risk adjusted returns.

4. What does it mean to be a signatory to the Principles for Responsible Investment (PRI)?

UVic is a signatory to the United Nations-supported , which provides a global standard for responsible investing as it relates to environmental, social and governance (ESG) factors.

As a signatory of the PRI, UVic commits, where consistent with our fiduciary responsibilities, to the following :

  • Principle 1: We will incorporate ESG issues into investment analysis and decision-making processes.
  • Principle 2: We will be active owners and incorporate ESG issues into our ownership policies and practices.
  • Principle 3: We will seek appropriate disclosure on ESG issues by the entities in which we invest.
  • Principle 4: We will promote acceptance and implementation of the Principles within the investment industry.
  • Principle 5: We will work together to enhance our effectiveness in implementing the Principles.
  • Principle 6: We will each report on our activities and progress towards implementing the Principles.

5. What is Impact Investing?

Impact Investing means making investments with the intention to generate positive, measurable social and/or environmental impact alongside a financial return.

6. How is UVic approaching Impact Investing?

UVic believes that impact investing is important as, in addition to allowing investors to generate financial returns while also creating positive social and environmental change, it also helps address global challenges like poverty, inequality, and climate change by directing capital toward projects that create sustainable solutions.

In 2025, we increased our target from 25% to 30% of the working capital investments in impact investments that align with the university’s responsible investment goals. Our progress in reaching this target can be found in the annual Responsible Investment Reports.