Raising the Bar

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ESG Integration

The Treasurer supports board accountability, transparency, sensible executive compensation programs, robust shareholder rights, and ethical conduct as key governance factors.  The Treasurer advocates for policies and practices in support of these factors.


  • Board Accountability
  • Board Diversity
  • Transparency
  • Sensible Executive Compensation Programs
  • Robust Shareholder Rights
  • Ethical Conduct

Environmental stewardship is a shared responsibility.  Furthermore, environmental and climate-related factors may have adverse financial impacts on the Treasurer’s investment portfolio.  Accordingly, the Treasurer recognizes that impacts on the environment, either through the use of nonrenewable, natural resources as inputs to the factors of energy production or through harmful releases into the environment are key factors for consideration in identifying a company’s value proposition and risk exposures.


  • Greenhouse Gas Emissions
  • Air Quality, Energy and Fuel Management
  • Water and Waste
  • Climate Competence

Social capital factors address the management of relationships with key outside parties, such as customers, local communities, the public, and the government.  They may impact investment returns, particularly if companies become involved in controversies that pose risks to their reputation.  Human rights, access and affordability, customer welfare, data security and customer privacy, fair disclosure and labeling, and fair marketing and advertising, and community reinvestment are key social capital factors that warrant attention.


  • Human Rights
  • Consumer Welfare
  • Data Security and Consumer Privacy
  • Community Relations and Community Reinvestment

Companies that consider their workforce to be an important asset to deliver long-term value should manage their human capital with as much care and analytical insight as they manage their tangible and financial capital.  It includes issues that affect the productivity of employees, such as employee engagement, diversity, incentives and compensation, as well as the attraction and retention of employees in highly competitive or constrained markets for specific talent, skills, or education. Employers should respect the right of their workers to organize under collective bargaining agreements and should provide a working environment that upholds health and safety standards.


  • Labor Relations and Fair Labor Practices
  • Recruitment, Development, and Retention
  • Diversity and Inclusion

The impact of sustainability issues on innovation and business models including corporate strategy and other innovations in the production process are integral to a company’s financial and operating performance.  The ability of a company to plan and forecast viable opportunities and risks to its business model is critically important to its ability to create long-term shareholder value.


  • Lifecycle Impacts of Products and Services
  • Product Quality and Safety

Leadership factors involve the management of issues that are inherent to the business model or common practice in the industry and that are in potential conflict with the interest of broader stakeholder groups (e.g., government, community, customers, and employees), and therefore create a potential liability or, worse, a limitation or removal of a license to operate. This includes compliance, and regulatory and political influence.


  • Systemic Risk Management
  • Ethical Business Practices
  • Regulatory Capture and Political Influence
  • Supply Chain Management