Sustainable investing

The Teachers’ Retirement Board is charged with maintaining a strong, stable fund in order to pay benefits to CalSTRS members and their survivors. To fulfill that responsibility, the board understands that long-term value creation includes the incorporation of sustainability considerations into management of the portfolio.

The Sustainable Investment and Stewardship Strategies program supports CalSTRS’ mission of securing the financial future of California’s educators through three avenues.

SISS Investment Portfolio

The Sustainable Investment and Stewardship Strategies Investment Portfolio allocates capital to investments that deliver financial performance while simultaneously creating positive sustainability outcomes. The Portfolio serves as a source of long-term capital appreciation that opportunistically improves the risk and return characteristics of the CalSTRS fund.

Path to net zero

We believe climate change is one of the greatest threats to our future, with undeniable links to business and financial investments. Climate change impacts health and safety, the environment and the global economy, which puts the CalSTRS Investment Portfolio at risk. Our mission is to support the retirement security of California’s educators. Virtually all companies and assets in our portfolio are affected by climate risk and must prepare for climate change.

The SISS team collaborates with all asset classes to develop and implement net zero strategies to: (1) measure and reduce portfolio emissions, (2) expand investments in climate solutions that meet our risk-return goals, and (3) influence policymakers, companies, and financial markets to accelerate the global low-carbon transition.

Stewardship and strategic relations

The SISS team uses our influence as a significant global investor to promote long-term sustainable business practices and public policies while also securing the trust of the members that we serve and maintaining our position as a respected leader in the investment industry.

Investment Beliefs

Provide a foundational framework for all of CalSTRS’ investment decision-makers to invest in a manner that reflects CalSTRS’ unique view of the global investment markets.

Corporate governance principles

CalSTRS has developed robust principles, policies and standards for fair and open governance of corporations.

Website Accessibility Statement