Commentary
Pension plan trustees are expected to manage funds conservatively by avoiding unnecessary risk to beneficiaries. Yet some of Canada’s largest pension funds are directing billions into climate-focused investments that have often delivered weak or uncertain returns, putting Canadians’ retirement security at risk.
For example, the Ontario Teachers’ Pension Plan Investment Board, which managed total assets of $279.4 billion at the end of 2025, and University Pension Plan Ontario, with $12.8 billion at the end of 2024, are among funds increasing their exposure to climate-focused investments despite those risks.
The pattern extends beyond Ontario. A Pension Benefits Monitor story reported that the Caisse de dépôt et placement du Québec plans to “scale up its investments in climate solutions and transition-aligned companies with a target of $400 billion by 2030.” Hence, a large proportion of assets, which were $517 billion at the end of 2025, would be in “climate-friendly” investments within five years….