PSP Releases its Climate-Related Financial Disclosure Report
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.
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.
PSP Investments recently released its 2025 Climate-Related Financial Disclosures Report outlining advances in sustainability and climate practices:
Highlights
- Green assets* reach $75.5 billion up from $64.9 billion in fiscal 2024
- Carbon-intensive assets* decrease by 23% from fiscal 2024
- Reported Scope 1 and Scope 2 GHG emissions data for assets in-scope reached 66%
- Latest green bond issuance brings sustainable bond financing to 8.4% of PSP Capital’s debt outstanding
Montréal, Canada, September 11, 2025 – The Public Sector Pension Investment Board (PSP Investments) today published its 2025 Climate-Related Financial Disclosures Report and 2025 Green Bond Impact Report.
The 2025 Climate-Related Financial Disclosures Report highlights PSP Investments’ progress in advancing the integration of sustainability practices across the investment lifecycle and enhancing data-driven decision-making. It also outlines PSP Investments’ priorities for fiscal 2026, which are aimed at further adapting the portfolio to navigate a dynamic environment and to support the delivery of superior long-term risk-adjusted returns in line with our mandate.
PSP Investments designated fiscal 2025 as a transition period to evolve its reporting practices with the aim of achieving enhanced clarity and stronger connectivity between sustainability and financial disclosures. In this context, we have discontinued the publication of a standalone sustainability report and instead we have worked to strategically integrate material sustainability reporting into our 2025 Annual Report and our 2025 Climate-Related Financial Disclosures Report. During fiscal year 2026, PSP Investments will continue to integrate its sustainability and climate-related disclosures with financial disclosures, informed by CSDS 1 and CSDS 2.
PSP Investments’ 2025 Climate-Related Financial Disclosures Report and 2025 Green Bond Impact Report are available for consultation.
*As defined in PSP Investments’ Green Asset Taxonomy.
About PSP Investments
The Public Sector Pension Investment Board (PSP Investments) is one of Canada’s largest pension investors with $299.7 billion of net assets under management as of March 31, 2025. It manages a diversified global portfolio composed of investments in capital markets, private equity, real estate, infrastructure, natural resources, and credit investments. Established in 1999, PSP Investments manages and invests amounts transferred to it by the Government of Canada for the pension plans of the federal Public Service, the Canadian Forces, the Royal Canadian Mounted Police and the Reserve Force. Headquartered in Ottawa, PSP Investments has its principal business office in Montréal and offices in New York, London and Hong Kong. For more information, visit investpsp.com or follow us on LinkedIn.
You can read PSP's 2025 Climate-Related Financial Disclosures Report and 2025 Green Bond Impact Report for further information.
I think the key highlights are what are important:
- Green assets* reach $75.5 billion up from $64.9 billion in fiscal 2024
- Carbon-intensive assets* decrease by 23% from fiscal 2024
- Reported Scope 1 and Scope 2 GHG emissions data for assets in-scope reached 66%
- Latest green bond issuance brings sustainable bond financing to 8.4% of PSP Capital’s debt outstanding
Also worth noting PSP has discontinued the publication of a standalone sustainability report and instead they have worked to strategically integrate material sustainability reporting into their 2025 Annual Report and our 2025 Climate-Related Financial Disclosures Report.
Moreover, during fiscal year 2026, PSP Investments will continue to integrate its sustainability and climate-related disclosures with financial disclosures, informed by CSDS 1 and CSDS 2.
The lack of a sustainability report will disappoint some people but as the press release states they are integrating everything into their annual report and are obviously publishing their climate-related financial disclosures.
The report also outlines PSP's fiscal 2026 priorities:
I also note their taxonomy results based on their taxonomy:
I invite my readers to read the report for more details, I'm just covering the important points.
Lastly, it should be noted that Herman Bril, the former Head of Sustainability and Climate Innovation at PSP, has left the organization and has not been replaced.
Along with Eduard van Gelderen, the former CIO, Herman did a lot to improve sustainability at PSP but clearly the organization is integrating climate-rated disclosures into financial disclosures and not going back to sustainable investing reports.
Alright, that a wrap, there's not much going on at the Maple 8 these days, hopefully deal activity will pick up.
Below, 360Energy hosts Dave and Lysandra welcome Gregory Carli, the global leader in sustainability, resilience, and ESG at GHD, for an enlightening discussion on the new Canadian sustainability disclosure standards (August 2024).
More recently, Greg Carli joined 360Energy where he dove deep into the impact of CSDS on businesses, the evolution of these standards, challenges in sustainability reporting, and the critical need for adopting these standards to stay competitive.
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