The pension fund—one of Canada’s largest—said meeting the “ambitious but achievable goal” will involve increasing its investments in “climate-friendly” holdings, ensuring portfolio firms manage and report their emissions every year and advocating for “clear climate policies.” (The Logic)

Talking point: Ontario Teachers’ is the second Canadian pension fund to pledge net-zero emissions by 2050. The Caisse de dépôt et placement du Québec set the same target in 2019, as well as committing to increasing low-carbon investments by 80 per cent between 2017 and 2020, and reducing the carbon intensity of its portfolio by 25 per cent between 2017 and 2025. TD has also committed to net-zero emission by 2050, and RBC has set the same target, but for its operations only, not its financial services. Sustainable-investing advocates have urged Canada’s institutional investors—most of which tout sustainable-investing principles—to phase out carbon from their portfolios. A spokesperson for British Columbia Investment Management Corporation told The Logic it is assessing “the long-term implications of a commitment to net-zero by 2050.” Michel Leduc, a senior managing director at the Canada Pension Plan Investment Board, the country’s largest pension fund, said, “No distant arbitrary target will be accurate so we look at other considerations to better guide our path.” In a statement published Friday, Shift Action, an advocacy group for climate-friendly investing, commended Ontario Teachers’ for its commitment, but called for more details on how it plans to reach its target. “Without a plan for major changes to the way the pension fund makes investment decisions, a net-zero commitment runs the risk of becoming a cynical example of greenwashing,” the statement reads.