The primary objective of the Treasurer’s Office is to ensure the safety of principal while achieving the highest investment returns possible using authorized investments. While securing and growing taxpayer dollars is the main mission of the office, it is equally important to make an impact with that money through investing decisions centered around an environmental, social and governance (ESG) approach. ESG investing is a way to ensure that the city’s investments align with the values of the Chicagoans we represent.
Environmental- Making investment decisions that support values around climate change, carbon emissions, renewable energy and clean water
Social- Making investment decisions related to issues of diversity and inclusion, employee pay, ethical supply chain, training and development of employees, and consumer protection.
Governance- Making investment decisions related to executive compensation, golden parachutes, board of director diversity, and transparency.
By looking at our decision making through an ESG lens, we not only see how a potential investment impacts the risk to our overall investment portfolio, but we also can determine how that investment aligns with the impact goals of the office.
Chicago was the first city in the world to become a signatory to the United Nations supported Principles for Responsible Investment (UNPRI). Through UNPRI, the Chicago City Treasurer’s Office has committed to six core principles for incorporating ESG issues into investment practices. The Office is held accountable through the submission of an annual transparency report.