Investing and financing finalists 2019

Carbon Delta AG, (Switzerland) 

Summary of entry 
Carbon Delta is a Zurich-based data analytics firm that specialises in identifying and analysing the climate change resilience of publicly-traded companies. It identifies how much a company’s value is potentially affected by climate change. This allows its clients in investment management and insurance to protect assets, optimise performance and reach sustainability goals. Carbon Delta strives to make its ‘Climate Value-at-Risk’ assessment an industry standard for systemically factoring climate change into investment decisions. 

Judges’ comments 
Carbon Delta is focusing on information of particular importance to investors and financial institutions: what value is at risk in a company or portfolio arising from climate change? By considering both physical and transition risks, Carbon Delta has developed a platform that considers factors that can lead to financial impacts, including potential future costs or asset valuations. As a result, the judges agreed that Carbon Delta’s approach could help to direct capital to low-carbon business models. 

DNB ASA, (Norway) 

Summary of entry 
DNB is Norway’s largest financial institution. Through its role as an employer, investor, lender, facilitator and provider of financial infrastructure, DNB plays a significant role in the economy and society. DNB believes that in order to maintain its competitive edge and succeed in the future, companies will need to take responsibility for making society a better place, and consider both risks and opportunities with a long-term perspective. This philosophy underpins the company’s approach to investment, engagement and, increasingly, lending decisions. It has developed a responsible investment standard for its operations to ensure that the company does not contribute to the infringement of human and labour rights, corruption, unacceptable greenhouse gas emissions or serious environmental harm. 

Judges’ comments 
The judges were impressed by DNB’s thorough and diligent approach to embedding ESG into their systems and processes, including as part of their overall measurement metrics. DNB is making notable progress in informed engagement with companies, based on well-developed themes. These are integrated across all portfolios and into longer-term ambitions. The bank has also taken important steps to put ESG criteria into their lending business – for example, by introducing lending criteria such as clauses for end-of-life disposal.

Globalance Bank, (Switzerland) 

Summary of entry 
Globalance Bank’s mission is to educate, inspire and empower investors to invest in companies which are seeking to address global challenges and invest in a positive future. Its value proposition comes from focusing on future-oriented investment strategies and enhancing transparency through digital innovations such as the Globalance Footprint®. Its approach includes offering portfolios and investment strategies in line with the Paris Agreement. This is an innovative approach to private banking. 

Judges’ comments 
Globalance has developed an approach to investment that empowers asset owners to make the financial system more resilient and sustainable. It has developed an effective approach to evaluating impact, including bespoke data tools and effective engagement to supplement data sets. The bank also offers effective dashboards and communications to asset owners on the footprints of their portfolios. Globalance is effectively focusing on financial performance, growth of its business and high standards of customer service. 

Industrial Development Bank of Turkey (TSKB), (Turkey) 

Summary of entry 
TSKB is headquartered in Istanbul, and was established in 1950 with the support of the World Bank and the Central Bank of Turkey and shareholding of private commercial banks. It is Turkey’s first privately-owned development and investment bank. Since its foundation, TSKB has been supporting Turkey’s sustainable growth – for example, investing in renewable energy projects since 2002. Today, nearly three quarters of its loan book comprises sustainability-themed investments. This approach is embedded within the organisation, for example through a sustainability committee that has representation from board members and operational management. The bank has set sustainability targets for sustainable finance, human resources and for wider social and environmental impacts. Progress is reported through the bank’s integrated report. 

Judges’ comments 
The judges felt that TSKB has developed a holistic approach to embedding sustainable development in the organisation, from the mission through to delivery. This is evident, for example, in the finance and operations functions represented on TSKB’s board-led sustainability committee and their efforts to share expertise through consulting subsidiaries. The judges also noted that TSKB has consistently adopted good practices in sustainable development and reporting, including participation in global initiatives in responsible banking.

PIMCO, (USA) 

Summary of entry 
PIMCO, a global investment management firm, is playing a role in moving global bond markets towards financing a more sustainable future. As a leader in the industry, PIMCO is well positioned to spearhead this positive change. Its approach to ESG investing rests on two pillars. First, integrating ESG analysis in the firm’s broad investment process. PIMCO does this because it believes it makes good investment sense, consistent with its goal of generating attractive risk-adjusted returns. Second, it has built a platform for ESG-centred solutions for investors seeking greater positive environmental and social impact in their portfolios. 

Judges’ comments 
As a fixed income investor, PIMCO impressed the judges with its commitment to incorporate ESG into its mainstream business, both in equities and debt markets. This is an agenda it has been pursuing for a number of years, and has played an active role in international initiatives seeking to drive systemic change. PIMCO is developing systems for ESG integration that build on the existing global expertise in research and analysis, allowing them to achieve scale and leverage, and also gave examples of impact achieved through engagement. The judges agreed that PIMCO is well positioned to achieve positive change through its size and influence.