7 Pension Protection Fund Responsible Investment Report 2021/22 Our progress at a glance How we advanced our plans in 2021/22 Stewardship Climate change Reporting Identifying opportunities We said we would… So we… We said we would… So we… We said we would… So we… We said we would… So we… Implement bespoke - Introduced new Conduct a - Carried out a Net Zero Continue to develop - Further improved our Explore - Invested in a pioneering voting policies for company voting climate alignment alignment project our analysis and access to underlying opportunities urban resilience fund to key themes guidelines for climate assessment across our complete understanding of ESG data via our for investment in support cities in delivering change, modern slavery of our entire portfolio to assess our ESG risks portfolio management sustainable assets critical resilience and D&I portfolio alignment with the systems, especially for within forestry infrastructure projects Paris Agreement and private markets See page 11 identify highest priority and infrastructure - Grew our investments Actively support - Actively participated engagement targets See page 16 in forestry by 20 per in a working group for cent and participated stewardship See page 27 Seek continued - Started requiring in the seeding of a new initiatives and peer the newly launched improvement in regular ESG and a昀昀orestation fund collaboration to IIGCC Net Zero Act to reduce - Transitioned to our transparency and climate data from our during the year drive long-lasting Stewardship Toolkit exposure new equity benchmark reporting across Alternatives managers to climate to drive a signi昀椀cant change in our See page 26 reduction in the our mandates See page 23 focus areas risks across carbon exposure of - Continued our our portfolios our equity mandates - Expanded the range of participation in the TCFD-related metrics PRI’s collaboration 1 See page 10 on which our Liquids on Modern Slavery managers report to us compliance in UK listed companies See page 23 See page 26 - Improved the transparency on - Helped to develop a our managers’ cross-body industry- voting activities standard TCFD template for listed equities for managers to report carbon emissions See page 28 See page 26 1 ‘Liquids’ refers to Global Credit, Public Equity, Absolute Return, Emerging Market Debt and Strategic Cash. All of these, apart from Strategic Cash, are managed externally.