President Meric Gertler announced university’s plans to divest from fossil fuels
On October 27, University of Toronto President Meric Gertler announced three new measures to be taken by the University of Toronto Asset Management Corporation (UTAM) to divest from fossil fuels and work towards achieving a net zero carbon emission campus. The UTAM is responsible for managing U of T’s pension, endowment, and other financial assets.
The measures are set out as follows. Firstly, the UTAM will divest from all direct investments in fossil fuel companies in the U of T endowment fund within the next 12 months. The UTAM plans to divest from all indirect investments in fossil fuel companies—investments in pooled and commingled vehicles managed by third parties—before the end of the decade.
Secondly, the UTAM has joined as a member of the United Nations-convened Net-Zero Asset Owner Alliance. This alliance obliges members to achieve certain targets every five years, with the goal of reaching net zero investment. Under this regime, the UTAM plans to reach net zero carbon emissions associated with the endowment portfolio by 2050.
Finally, the UTAM plans to invest ten percent of the endowment portfolio into sustainable and low-carbon investments by 2025.
The announcement of these changes to U of T’s endowment portfolio are part of a much larger project to achieve net negative emissions on St. George campus by 2050. This initiative incorporates low-carbon standards for new developments on the campus, an overhaul of energy infrastructure, and the development of the geoexchange system under King’s College Circle.
