26 oktober Sustainable Banking. Richard Kooloos BBK

Transcription

1 Sustainable Banking BBK 26 oktober 2015 Richard Kooloos

2 ABN AMRO strategy and sustainability strategy Improve profitability Pursue selective international growth Enhance client centricity Strategic priorities Strongly commit to a moderate risk profile Invest in our future Invest in our future Recognised as a Top Class Employer Re-engineering the IT landscape and optimising processes Positively recognised on sustainability and transparency Inspire and engage our people Sustainable business operations Compliance Workforce diversity and inclusion Employee health and safety Environmental impact Sustainable business operations Clients interests centre stage and sustainable relationships Using our financial expertise for the benefit of society Sustainable finance and investment services Clients interests centre stage and sustainable relationships Privacy of clients Security of clients Stability of our digital services Mortgage policy Better bank Better world A better bank contributing to a better world Sustainable finance and investment services Using our financial expertise for the benefit of society Policy framework Partner of the Future Sustainable financing Social entrepreneurship Sustainable investment Sharing sector-specific knowledge Sustainable banking products and services 2

3 ABN AMRO strategy and sustainability strategy Enhance client centricity Improve profitability Pursue selective international growth Strongly commit to a moderate risk profile Invest in our future 3

4 What is our possible impact? Financing - in billions Investments - in billions Triodos MeesPierson Sustainable Investment Management 88 Total YE Total YE Residential mortgages Consumer loans Commercial loans Loans to banks Other loans Sustainable assets under administration Other assets under administration 4

5 Policy framework sustainable financing What is our sustainable financing policy? Exclusion of companies that are in the Controversial Weapons List. This is enforced by law What does this mean? For example, we do not finance cluster bombs, nuclear, chemical or biological weapons Exclusion of business activities based on the ABN AMRO Exclusion List. What does this mean? We do not engage in transactions and activities linked to unethical or substandard practices mentioned in the Exclusion List. For example, blood diamonds General lending policy and sector-specific policies on sustainability What does this mean? For example, we encourage sustainable developments in the commercial real estate sector If companies do not comply with this policy, we engage in dialogue to encourage improvement (engagement). 5

6 Policy framework sustainable investments What is our sustainable investment policy? 1 2 Exclusion of companies that are in the Controversial Weapons List. This is enforced by law What does this mean? For example, we do not finance cluster bombs, nuclear, chemical or biological weapons Rating of investments based on environmental, social and governance criteria (ESG) 3 Assessment of investments based on global guidelines on human rights, labour, the environment and anti-corruption We check whether companies violate treaties We assess the company s sustainability policy If companies do not comply with this policy, we engage in dialogue to encourage improvement (engagement by RobecoSAM on behalf of ABN AMRO). 6

7 Policy framework sustainable investments What is our sustainable investment policy? 1 2 Exclusion of companies that are in the Controversial Weapons List. This is enforced by law What does this mean? For example, we do not finance cluster bombs, nuclear, chemical or biological weapons Rating of investments based on environmental, social and governance criteria (ESG) 3 Assessment of investments based on global guidelines on human rights, labour, the environment and anti-corruption We check whether companies violate treaties We assess the company s sustainability policy If companies do not comply with this policy, we engage in dialogue to encourage improvement (engagement by RobecoSAM on behalf of ABN AMRO). 7

8 Sustainable investments: an example 8

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11 Achtergrond slides 11

12 Sustainable financing: an example 12

13 Producer Farmers/ workers Originators/ Processors at orgin Traders (Export) Import / Processors Manufacturing Retailers Cacao Supply Chain Smallholders (In Africa 2.5 million) sell dry beans to: local buying stations cooperatives Directly to our clients Local shippers Farms owned by clients Governments Largest producing Countries Ivory Coast 37% Ghana 21% Indonesia 11% Nigeria 6% Cameroon 6% Ecuador 5% Brazil 5% Storing and processing by: Local Cocoa Companies Cocoa Multinations Export Local processing Ivory Coast 30% Ghana 20% Indonesia 70% Nigeria 10% Cameroon 15% Ecuador 15% Governments: In Ivory Coast and Ghana all cocoa is auctioned by the government. Trade from origin to Eu/VS FOB - FOB Sales Trade Intra Europe and US (inlcuding storage) Largest traditional cocoa traders Ecom Touton Noble Sucden 65% of all cocoa beans are processed in the Northern Hemispehere (12% in Netherlands, 10% Germany & 10% US.) Largest processors Barry Callebaut 19% Cargill 13% ADM 10% Olam 10% Dominated by a small number of international firms whom sell retail chocoloate products for a variety of industries The 5 largest manufacturers buy more than 80% of world production Mars Mondelez Nestle Hersheys Ferrero Retail is everywhere Worldwide consumption: - Europe: 60% - US: 30% - Asia: 10% Potential Impacts: - child/forced labour - human trafficking - livelihood dependency - Health and safety - Gender inequality

14 Key learnings so far

15 Key learnings so far

16 Key learnings so far

17 ABN AMRO and Human Rights 17

18 Results and examples 2014 Sustainable business operations Tax Principles published Senior management positions Percentage of women in senior management positions Reduction of energy consumption since 2012 Clients interests centre stage and sustainable relationships Financial coaching sessions by Mortgage Care Team 8,000 Number of client complaints about privacy Availability of our digital services Using our financial expertise for the benefit of society Percentage of clients recognising the sector focus in services offered Number of social entrepeneurs receiving coaching 18