Maria Clarissa O'Donnell

This document outlines the United Nations Joint Staff Pension Fund's (UNJSPF) comprehensive Sustainable Investing Manifest and Policy. It details the Fund's approach to integrating environmental, social, and governance (ESG) factors across all asset classes to ensure long-term sustainability and achieve return targets. Key strategic pillars include negative screening (excluding tobacco, weapons, fossil fuels), robust ESG integration into investment decisions, and a strong focus on addressing climate change through net-zero targets and CO2 reduction initiatives. The policy also emphasizes active stewardship, adherence to Human Rights guidelines, the development of a Natural Capital strategy, and the exploration of Impact Investing Opportunities, all aimed at preserving long-term investment value and contributing to global sustainability goals.

This Asset and Liability Management (ALM) study report, prepared for the United Nations Joint Staff Pension Board by Buck Consultants, analyzes the long-term financial condition and performance of the UNJSPF. It forecasts future funded status and suggests investment strategies to achieve a 3.5% real rate of return within the Fund's risk appetite. The report evaluates seven candidate asset allocations, assesses the adequacy of the Fund's contribution rate, and considers the risks of under or over-funding to provide an investment, risk management, and funding framework for the Fund's growth goals.

This final report details the Asset Liability Management (ALM) study conducted for the United Nations Joint Staff Pension Fund in 2023. The study assessed the impact of key investment and solvency-related decisions on the fund's long-term financial condition and performance, considering economic changes since 2019 such as higher inflation and interest rates. Key findings highlight a lower long-term expected nominal portfolio return and the benefit of greater diversification. Recommendations include a reduction in public equities, increases in fixed income and real assets, and considering currency hedging for developed markets. The study proposes two strategic asset allocations designed to enhance financial sustainability, improve expected returns, and reduce overall risk across various economic and climate change scenarios.

The C.A.R.E. Strategic Plan for the United Nations Joint Staff Pension Fund outlines its direction for 2024 and beyond. It focuses on three key pillars: improving client experience, modernizing pension services through operational excellence and technology, and strengthening relationships with all stakeholders. The plan emphasizes accountability, transparency, and contributing to the 2030 Agenda for Sustainable Development, with a vision to provide outstanding, high-quality services globally.

This Asset & Liability Management (ALM) study provides a comprehensive evaluation of the United Nations Joint Staff Pension Fund's (UNJSPF) long-term investment strategy and financial condition. It identifies and recommends an optimized Strategic Asset Allocation (SAA2019) that rebalances the portfolio with increased allocations to fixed income, private equity, and real assets, and decreased public equities, alongside new allocations to absolute return strategies, infrastructure, and private debt. The plan aims to secure the fund's long-term pension obligations, manage liquidity, and address the specific risks and costs associated with the Two-Track system, ultimately enhancing investment efficiency and risk management.