Zurcher Kantonalbank

The financial institution publishes an engagement report detailing outcomes related to sustainability impact topics. It has a stewardship policy that encompasses client and stakeholder engagement, advocacy, and partnerships, outlining criteria for successful stewardship, escalation routes for unsuccessful engagements, and defining when escalations should occur.

Furthermore, the institution has a publicly available policy statement that commits to respecting human rights. It discloses the monetary value of its products, services, and capital linked to high-emitting and fossil fuel sectors, and states that it does not provide support for new fossil fuel projects or clients involved in such initiatives. Moreover, it has a time-bound strategy to phase out support for existing fossil fuel projects and clients lacking a strategy aligned with a 1.5°C trajectory. The institution identifies key sectors, clients, and investees for climate engagement and collaborates with partners to influence and support action on nature-related impacts. It also monitors its scope 1-2 emissions.

The financial institution discloses statements committing to respect the ILO’s fundamental rights at work and expects its suppliers to do the same, with opportunities to strengthen these statements into formal commitments within a policy document. It can include anti-bribery and anti-corruption clauses in contracts and disclose a publicly available policy on political contributions. While it identifies material sustainability impacts, further detail on the process and criteria for prioritisation is needed. Linking senior executive remuneration to specific sustainability targets is recommended. The stewardship policy could be better aligned with the sustainability strategy, and a strategy for the protection and restoration of nature should be disclosed.

Although it monitors scope 3 emissions, additional categories could be included with rationale for exclusions. The methodology for carbon footprint calculation requires comprehensive coverage of emissions, data types, sources, and standards.

A breakdown of clients by income group is recommended, along with a risk assessment process that includes ILO fundamental rights risks and mitigation strategies. Additionally, the institution should provide examples of actions taken regarding salient human rights issues from assessments in the past three years.

This scorecard refers to information in English which was publicly available by July 15 2024. AuM and Total assets are stated in USD for comparability and have been calculated based on reported local currency values multiplied by applicable IMF currency converter values.