07 Pension Protection Fund Climate Change Report 2021/22 Governance andaccountability Strong governance, with clear Our governance-related activities during the year oversight, responsibility and Function Roles & responsibilities Climate-related activity in 2021/22 accountability, is key to delivering on our climate strategy as well as PPF Board Highest governing body with oversight for Approved our new voting guidelines our broader investment goals. 1 responsible investing (RI) and stewardship activities (including climate-related) Discussed in detail the RI activities and progress taking place throughout the year, This year, we have supported our including outcomes from the transition to a new lower-carbon Equity benchmark and our Paris Portfolio Alignment Project robust RI governance framework with actions to put climate Undertook extensive training to expand the Board’s knowledge and awareness of commitments at the heart of our climate change risks and how these can be managed and monitored business strategy and continued More training planned in 2022 around our Sustainability strategy to be an active steward of the companies we invest in. Investment Responsible for developing and maintaining the Approved the update to our Climate Change Policy and our new voting guidelines and 2 Committee PPF’s RI and stewardship principles and policies reviewed our Stewardship Policy (including climate-related) Our RI and climate-related activities and progress were reported on and discussed at all four IC meetings, providing the Committee with regular oversight on implementation The content within the quarterly IC reporting is still evolving as ESG data and tools improve Investment Team Led by the CIO, responsible for ensuring Climate-related risks in the portfolio reported to our CIO and Head of Investment Strategy 3 adherence to the RI framework, stewardship through monthly dashboards principles and associated policies across all asset classes whether internally or externally managed ESG and climate assessments continued to be formal components of all investment due diligence and manager monitoring processes A number of teach-ins held with portfolio managers, including dedicated workshops for each desk on our Paris Portfolio Alignment Project In-house portfolio managers given access to more ESG and climate-related resources from external providers through our investment risk systems PPF shortlisted in November 2021 for the Pensions for Purpose Paris Aligned Award for the Best Climate Governance and Strategy Statement