The Treasurer’s Office and the Vermont Pension Investment Committee (VPIC) consider financial factors and environmental, social, and governance (ESG) factors in their investment decisions. The VPIC has a long-term investment strategy consistent with the duration of Retirement System liabilities, so the Board developed a VPIC ESG Policy to integrate ESG factors consistently into the investment decision process. The VPIC believes that the development, disclosure, and reporting of ESG analysis equips management teams to effectively monitor and mitigate the company’s exposure to ESG-related risks and track performance outcomes.
The Treasurer’s Office and the VPIC emphasize through engagement with companies the importance of disclosure and reporting be consistent with industry-recognized guidelines, such as those developed by the Sustainability Accounting Standards Board, of which the VPIC is a member, the Task Force on Climate-related Financial Disclosures, as well as targets set forth by the Paris Climate Agreement. The Treasurer and VPIC are committed to a long-term process of constructive engagement with companies to address environmental, social and governance issues.
Organizations that the Treasurer's Office and the VPIC are a member of, or engage through include:
- Carbon Asset Risk Initiative
- Climate Action 100+
- Council of Institutional Investors (CII)
- Investor Alliance for Human Rights
- Investors for Opioid Accountability (IOA)
- Investor Network for Climate Risk (INCR)
- Investor Summit on Climate Risk
- Principles for Responsible Investment (PRI)
- Sustainability Accounting Standards Board (SASB)
VPIC ESG Sub-Committee
You can learn more about the VPIC ESG process, including borwsing meeting information and materials, by visiting the ESG Sub-Committee page found here.
If you have trouble finding any meeting information or materials please contact us at TRE.VPICInquiries@vermont.gov or call (802)-828-1451.