Key Takeaways
- • Inspirit Foundation completed a review of its investment program and concluded its allocations did not match its mission, with CEO Sadia Zaman saying the portfolio was not delivering results for the health of the planet.
- • The foundation's public portfolio breakdown shows public Canadian equity at 28 per cent, public small-cap global equities at 23 per cent, public global equities at 22 per cent, infrastructure at eight per cent, private equity at four per cent, cash at three per cent and private fixed income at three per cent.
- • Inspirit's investment policy statement was formalized with input from the entire board, and the foundation moved from a three-manager structure to a multi-manager approach with specialized mandates.
- • The foundation uses an economic justice lens and standard exclusions for weapons, tobacco and alcohol, and measures ESG scores, carbon intensity and how companies earn their revenue.
- • Zaman pushed for increased diversity across all asset classes in manager selection, and said several investment firm executives expressed a desire to commit to leadership diversity.
Summary
The foundation funds organizations across grassroots movements, Indigenous causes, multiracial teams and efforts opposing Islamophobia. Zaman described its guiding principle as pluralism, pursued through investment in racial, social and economic justice. The foundation originated from profits of the 2009 sale of Vision TV and its assets to ZoomerMedia Ltd. Beyond standard exclusions for weapons, tobacco and alcohol, the foundation seeks to align allocations with the totality of its work through its economic justice lens.
James Chan, chair of the board, said the approach was a bold step a decade ago, when few foundations or endowments were pursuing similar strategies. He said involving the full board was crucial to formalizing the investment policy statement. According to the foundation's publicly accessible portfolio breakdown, which discloses its entire allocation, the portfolio is led by public Canadian equity (28 per cent), followed by public small-cap global equities (23 per cent), public global equities (22 per cent), infrastructure (eight per cent), private equity (four per cent), cash (three per cent) and private fixed income (three per cent). Chan said assessment metrics included ESG scoring and carbon intensity, but the measure that has served the foundation best is how companies earn their money.
When the investment policy statement was created, the foundation had three investment managers. It subsequently shifted to a multi-manager approach with specialized mandates. Zaman pushed for greater diversity across all asset classes in hiring money managers, and said several investment firm executives expressed interest in committing to leadership diversity. Zaman said diversity was not an original goal of the journey but emerged along the way, and that the aim was to build strong partnerships consistent with the mission and vision.
Go deeper than the headline
Research every firm in this story, track the ones that matter and get the daily briefing — free for 7 days.