Thank you for your question.
I think there were two parts to the question, if I understood correctly. The first part was on the areas that we look at for our ESG areas. There are four, and we're introducing a fifth area this year, so you're correct to cite climate change, which we've been focused on for about 10 years. As well, there are water and water conservation, human rights, and executive compensation. This year, we're also introducing board effectiveness.
The second part of your question was related to taxes and how we comply with tax around the world.
We comply with all of the tax requirements in the jurisdictions that we invest in. We are focused on doing that. Obviously, in Canada, we have a tax-exempt status, and that applies in several other countries around the world where there are tax exemption agreements in place or the country applies a specific exemption on organizations like ours, like CPPIB. They are often available to public pensions in countries around the world, and it protects the pensions from double taxation.
It's our fiduciary duty to the beneficiaries and contributors to build a diversified portfolio with minimal transaction costs, including taxes on investment returns. For sound public policy purposes, the investment income earned on behalf of beneficiaries by pension funds, such as CPPIB, is exempt from Canadian tax to ensure that CPP beneficiaries are not double-taxed, which is what would happen if the investment income were taxed when it was earned and then again as income in the hands of the beneficiaries.