At PSP Investments, we acknowledge that in order to achieve our legislated mandate, we must take risks and manage them appropriately. For this reason, we have established an integrated approach to managing a full spectrum of risks.
PSP Investments’ enterprise risk management framework provides a structure for identifying, evaluating and managing our various investment and non-investment risks. The framework is a core component of our Enterprise Risk Management Policy. The policy also defines PSP Investments’ responsibilities relating to its enterprise risks from the perspective of the Board and its committees, the management committees and the investment groups and support groups within the Corporation. In addition to the Enterprise Risk Management Policy, an Investment Risk Management Policy and an Operational Risk Management Policy deal with the specific characteristics of these risks.
Enterprise Risk Classes:
Enterprise risks are categorized to facilitate a universal understanding of all the risks faced by PSP Investments.
PSP Investments' enterprise risk classes are illustrated below: