Integrating community values into indigenous trust investment frameworks

Earlier this year, we had the privilege of speaking alongside Charlene Gill (Trust Officer at TD Wealth Private Trust) and Adelaide Chiu (Vice President and Head of Responsible Investing at NEI Investments) at the 2025 National Aboriginal Trust Officers Association (NATOA) conference.

NATOA continues to play a vital role in advancing financial literacy, trust administration excellence, and economic empowerment within Indigenous communities across Canada. Their commitment to fostering collaboration between financial institutions, trust professionals, and trustees has created invaluable opportunities for knowledge sharing and relationship building in this critical sector.

During our panel discussion, we explored how deep-rooted values and principles that have guided Indigenous communities for generations can be incorporated in modern Indigenous trusts’ investment framework. The insights shared by our fellow panelists and the engaged questions from conference attendees highlighted both the unique challenges and tremendous opportunities within Indigenous trust management.

What follows is a summary guide of the key themes and best practices that emerged from our collaborative dialogue.

We extend our heartfelt thanks to NATOA, our fellow panelists, and attendees for the opportunity to share best practices and learn from each other on how we can best support Indigenous trusts.

Summary of key roles

As an overview of roles played by trustees and their advisors in this process:

• Trustees serve as primary representatives of community interests, making critical decisions for current and future beneficiaries
• Corporate trustees provide expertise in formulating values-based approaches and organizing community feedback processes
• Investment consultants offer independent investment expertise, helping trustees make informed decisions and select appropriate investment managers
• Investment managers implement day-to-day investment decisions, actively incorporating trust values into portfolio management

Incorporating values into investment framework

While trustees determine which values should be reflected, community participation ensures representativeness and buy-in. Corporate trustees and consultants can facilitate this through structured consultation sessions and ongoing dialogue.

It is advisable to formally document the values in the Investment Policy Statement (IPS) rather than the trust agreement itself. Trust agreements are difficult to amend, while values and trusts can evolve over time. The IPS provides necessary flexibility for future adaptations while maintaining formal documentation.

Toolkit for implementing values in investment decisions

Tools primarily used by investment managers

• Screening: Systematically exclude investments conflicting with trust values while seeking opportunities aligned with community principles
• Value Integration: Incorporate Indigenous values directly into financial analysis, considering values-based risks alongside financial metrics
• Active Stewardship: Use shareholder position to influence corporate behavior through direct dialogue with management
• Proxy Voting: Vote on resolutions supporting Indigenous values, such as environmental reporting or community engagement practices
• Impact-Driven Strategies: Actively seek investments generating positive social and environmental outcomes alongside financial returns

Tools primarily used by trustees

• Collaborative Engagement: Join with like-minded investors to amplify influence on Indigenous rights, environmental protection, or social justice issues
• Shareholder Resolutions: File or support resolutions addressing Indigenous values, such as enhanced environmental reporting or Indigenous rights recognition

Manager selection and ongoing oversight

When evaluating asset managers, trustees should ensure genuine alignment beyond marketing materials, examining actual investment philosophy and historical actions. Values should be systematically integrated with evidence such as dedicated research teams, screening processes, and regular values-based reporting. Investment consultants can help formulate evaluation criteria and conduct due diligence. Once managers are selected, trustees must maintain active oversight through regular monitoring of implementation, including investment decisions, engagement activities, and portfolio outcomes.

Impact Measurement and Reporting represents a critical oversight component. Trustees should establish metrics tracking both financial performance and values-based outcomes, working with managers to develop meaningful indicators measuring impact. Regular impact reporting demonstrates accountability to communities, translating complex investment activities into clear stories about values implementation and community benefit.

Conclusion

Incorporating Indigenous values into trust investment frameworks is both a responsibility and an opportunity. A robust ecosystem of advisors stands ready to provide guidance and implementation support. The key is systematic approach: clear articulation of community values, thoughtful documentation, careful manager selection, and ongoing monitoring. By understanding which tools suit trustee leadership versus manager implementation and leveraging qualified advisors while maintaining oversight and community connection, trustees can successfully create investment frameworks that honor community values while meeting fiduciary obligations and building wealth for future generations.

The key is a systematic approach: to create investment frameworks that honor community values and meet fiduciary obligations, trustees should systematically articulate community values, document thoughtfully, select managers carefully, and monitor continuously. By distinguishing tools for trustee leadership from those for manager implementation, and leveraging qualified advisors, trustees can maintain oversight and community connection while building wealth for future generations.

This article was authored by Amir Musin, Senior Investment Consultant at TELUS Health