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Principles of Responsible Investment (HTML)

Principles of Responsible Investment

McMaster University is a uniquely differentiated research-intensive, student-centered institution. McMaster’s purpose is the discovery, communication and preservation of knowledge through research, teaching, learning and evidence-based decision making.

McMaster is a globally engaged university and an inclusive community that welcomes students, scholars and collaborations from across Canada and from countries around the world. The University community is diverse and encompasses many varied and opposing perspectives and lived experiences. In pursuit of its purpose, McMaster values, and is committed to protecting, diverse viewpoints and free inquiry.

McMaster’s investments are an important financial resource that provide ongoing funding to support research, teaching, faculty, students and the University as a whole. To deliver on these goals, McMaster maintains a disciplined and risk-based approach to managing its financial resources and investments.

Within this overarching framework, the Principles of Responsible Investment document articulates the University’s overall approach as an investor:

  • The University has a legal obligation to manage its investments in compliance with its fiduciary
  • As outlined in the McMaster University Act, the University’s investments are the responsibility of the Board of
  • Investment decisions are guided by the Board’s fiduciary responsibilities to the university, not any other agenda.
  • Financial risk and return are the foundation of all investment decisions.
  • Environment, social and governance (ESG) are considered within that context as part of the Board of Governor’s fiduciary duty.
  • The University consistently reviews its investment activities and policies to ensure it is acting as an informed and responsible investor.
  • McMaster’s Statement of Investment Policies and Procedures is the primary policy document guiding the investment of university funds.
  • Investment decisions are made by professional investment managers who must also be committed to the University’s Principles of Responsible Investments.

To assist with responsible investing, the University has taken the following actions:

The University will continue to evaluate emerging tools or organizations that could provide additional guidance on responsible investments.

The University has made a commitment to communicate openly and transparently around its investments. To facilitate transparency, the Office of Financial Affairs will maintain a website that hosts information on the investments overseen by the Investment Pool Committee, including the Statement of Investment Procedures.

This document will be reviewed annually by the Investment Pool Committee and Planning and Resources Committee. The Board of Governors will review the document at a minimum every five (5) years.

Board of Governors
April 2025