Canadian financial services co-operative furthers social
purpose through impact investing, climate solutions, community
resilience and more
GUELPH,
ON, May 9, 2023 /CNW/ - With the launch of its
Integrated Annual Report, Co-operators reported a 2022 net income
after tax of $309 million, and a
return on members' equity of 8.5%, a strong financial performance
by the insurer and financial services co-operative in a year marked
by economic uncertainty and continued climate volatility. In
addition to $2.39 billion paid in
claims and benefits to its clients in 2022, Co-operators is
directing a significant proportion of its financial strength
towards building the long-term sustainability and resilience of its
clients, members and communities.
By the end of 2022, Co-operators had invested $2.69 billion – nearly 24% of its total invested
assets – into impact investments that provide strong financial
returns and positive social and/or environmental impacts that can
be adequately measured, tracked and reported. Nearly 75% of these
investments support climate solutions like renewable energy
projects that generated more than 86.5 million MWh of renewable
energy, equivalent to powering roughly 7.5 million homes for one
year. Committed to going further, Co-operators will increase its
impact investing efforts in the future.
"By 2026, 50% of our portfolio will be impact investments or
investments that support the transition to a sustainable,
resilient, low-emissions society. By 2030, we will increase this to
60%," said Co-operators President and CEO Rob Wesseling. "In addition to providing
compelling returns on our investment, these investments help drive
us toward our purpose of financial security of Canadians and our
communities, not just today, but for generations to come. We know
that if we fail to address the climate crisis head on, the
collective financial security of all Canadians will be increasingly
in peril. We've made the conscious and strategic business decision
to put our financial weight behind building a net-zero,
climate-resilient, sustainable future."
Co-operators is also working to catalyze private financing of
climate adaptation infrastructure in Canada. The 'whole-of-society' approach is led
by former Mayor of Edmonton Don Iveson, who is working with
Co-operators as an Executive Advisor of Climate Investing and
Community Resilience. The initiative has engaged multi-stakeholder
collaborators like ICLEI Canada, the Canadian Climate Institute,
the Institute for Catastrophic Loss Reduction, the Federation of
Canadian Municipalities, the Institute for Sustainable Finance and
others to move critical conversations forward and build the
capacity needed to bring climate adaptation solutions to life.
Beyond leveraging its own investment portfolio, Co-operators is
catalyzing impact and climate transition investing markets in
Canada, offering investment
solutions and opportunities for institutional investors to join
their efforts, through their asset management company Addenda
Capital. Addenda has mobilized over $237
million in assets under management through Canada's first Impact Fixed Income Pooled
Fund. Addenda also launched Canadian and International Climate
Transition Equity Funds with $100
million in seed capital from Co-operators. Both funds are
net-zero aligned.
By the numbers:
Highlights from Co-operators 2022 Integrated Annual Report,
Purpose built for a better future:
Access to financial services
$2.24
billion
in retail wealth assets under management and administration of
Canadian households, offering a wide range of investment solutions
that don't exclude lower-income Canadians.
Insurance designed for a changing
climate
672,674
Canadian households are covered by Comprehensive Water,
Canada's first and only product to
provide access to flood insurance for all flood risk levels,
including storm surge in coastal areas.
Sustainable claims solutions
$350,000
to launch the Zero Waste Economic Transformation Lab in partnership
with the Circular Opportunity Innovation Launchpad (COIL) and the
City of Guelph, Ontario, to
influence a more sustainable construction and demolition waste
cycle. We also launched two new claims practices (drying in place
and soft contents cleaning) to reduce the waste and emissions
associated with our claims process.
Social impact
$10.6
million
contributed to organizations building environmental resilience,
enriching social wellness, creating a more inclusive economy and
championing a co-operative society.
Climate action
100% carbon neutral
in our operations, with targets to become net-zero in both
operations and investments by 2040 and 2050, respectively.
The Integrated Annual Report serves as Co-operators Public
Accountability Statement and is available to all members, clients
and the public.
For all Co-operators annual reports, including the Task
Force on Climate-related Financial Disclosures report, visit
cooperators.ca/reports.
About Co-operators
Co-operators General, a leading Canadian multi-product insurance
company, is part of The Co-operators Group Limited (Co-operators).
Co-operators is a leading Canadian financial services co-operative,
offering multi-line insurance and investment products, services,
and personalized advice to help Canadians build their financial
strength and security. Co-operators has more than $58.7 billion in assets under administration.
Co-operators has been providing trusted guidance to Canadians since
1945. The organization is well known for its community involvement
and its commitment to sustainability. Achieving carbon neutrality
in 2020, the organization is committed to net-zero emissions in its
operations and investments by 2040, and 2050, respectively.
Co-operators is also ranked as a Corporate Knights' Best 50
Corporate Citizen in Canada. For
more information, please visit: www.cooperators.ca.
Media requiring further information and/or interviews, please
contact:
Co-operators Media Office
media@cooperators.ca
SOURCE The Co-operators Group Limited