Investment Management: Responsible Investing

As of December 31, 2023, Travelers’ invested assets totaled $88.8 billion, of which 93% was invested in fixed maturity and short-term investments. This high-quality investment portfolio generated net investment income of $2.9 billion pre-tax in 2023. In addition to achieving appropriate risk-adjusted returns, our investments enable many environmental and social improvements. As one of the largest investors in municipal bonds, we provide funding to approximately 950 different municipal issuers, with the proceeds of our investments used to improve the quality of life in communities across 48 states, the District of Columbia and Puerto Rico. For example, we invest in municipal bonds that support water and sewer projects (notional $4.5 billion), which help mitigate pollution, provide safe drinking water, promote conservation and, in many cases, respond to changing climate conditions. Additionally, our investments in K-12 education (notional $9.0 billion) and higher education (notional $3.8 billion) support enterprises directly involved in improving communities and students’ lives. We currently own $2.9 billion (notional) in fixed income securities classified as “green,” “sustainability” and “sustainability-linked” bonds by Bloomberg L.P. We also maintain smaller investments in low-income housing tax credits, which help build affordable housing. See the Investment Portfolio section in our Form 10-K for a detailed breakdown of our investment portfolio. For additional detailed information related to our investment holdings, please see our most recent annual Audited Statutory Basis Financial Statements for the Travelers Combined Pool and other non-pooled entities. A summary of the investments held by investment type, country and credit rating (where applicable) can be found in the Summary Investment Schedule. Additional investment information can be found in the Supplemental Investment Risks Interrogatories.