UBS publishes comprehensive document on its environmental and social risk framework
UBS applies a sophisticated environmental and social risk framework to all of its transactions, products, services and activities in order to identify and assess environmental and social risks associated with client and supplier relationships.
"The framework helps us identify and manage potential adverse impacts to the environment and to human rights, as well as the associated risks affecting our clients and us," says Group Chief Risk Officer and Chair, Global Environmental & Social Risk Committee, Philip Lofts. "It is also a critical component to our decision making around which clients we engage with."
In publishing today details of this framework in one inclusive document, we want to ensure that our stakeholders have a good understanding of the environmental and social risk standards we apply when assessing our client and supplier relationships. At the same time, the publication demonstrates our commitment to continuously improving the quality of our corporate responsibility disclosure. The document articulates our strict standards on a broad range of topics, including climate change, deforestation, biodiversity and human rights.
Managing environmental and social risks is a key component of our corporate responsibility. At UBS, corporate responsibility means "doing the right thing" – both now and in the future. This covers our conduct as a firm and as individuals, as well as our responsibility towards the communities in which we work. It also encompasses the products and services we offer to support our clients in addressing the challenges of today while achieving their aims.
As we see our corporate responsibility efforts as a process of continuous improvement, we continue to take action in this field to ensure the firm is run in a sustainable way. For example, by endorsing the Banking Environment Initiative’s and Consumer Goods Forum’s Soft Commodities Compact, we have committed to supporting the sustainability performance of soft commodity supply chains. We were also recognized as the only major bank globally meeting the highest corporate responsibility reporting standards (G4) of the Global Reporting Initiative, a leading international sustainability reporting organization.
"Our environmental & social risk framework helps us identify and manage potential adverse impacts to the environment and to human rights, as well as the associated risks affecting our clients and us." – Philip Lofts