It takes a long time for stewardship activities and ESG investment to produce tangible results such as improving the sustainability of financial markets and boosting risk-adjusted returns. Therefore, to appropriately implement the PDCA cycle (Plan→Do→Check→Act) for stewardship activities and ESG investment, it is crucial to examine issues such as whether GPIF's activities are connected with companies' behavioral changes and higher ESG ratings, including causal effect between the two, as a first step, without waiting for eventual outcomes such as more sustainable financial markets and higher boosting of risk-adjusted returns.

After the elapse of an appropriate period for data accumulation since the start of our stewardship and ESG investment initiatives, we will collaborate with external consultants and researchers from academia and elsewhere to implement a review of the effects of these initiatives using statistical methods such as causal inference, across each of the four themes shown below.

Through the appropriate implementation of the PDCA cycle, we will continue to improve and revise our stewardship and ESG investment initiatives.

Measuring the effects of stewardship activities