Sustainability-Related Disclosures

As a credit institution with a public mission, responsible investment advice is part of Helaba's self-image.

According to Article 2 No. 22 of the SFDR, we understand a sustainability risk to be an environmental, social or governance event or condition that, if it occurs, could cause an actual or a potential material negative impact on the value of our clients’ investment.

As a credit institution with a public mandate, providing responsible investment advice is part of Helaba's philosophy. Customer satisfaction is our most important business objective. The basis for ensuring a high level of customer satisfaction is providing comprehensive, good advice. This includes offering and recommending suitable financial instruments.

At present time, only interest rate and currency derivatives are subject of our investment advice within the business sectors Capital Markets and Public Sector. 

Due to the product characteristics of OTC derivatives, Helaba does not classify them as sustainable financial instruments in the context of investment advice. Sustainability risks are therefore only included in investment advice under the aspect that Helaba, as counterparty, is subject to its own sustainability strategy. A further inclusion of sustainability risks when providing investment advice is not possible due to the financial instruments (OTC derivatives) offered.

In addition to the strategy described in section Art. 3 (2) SFDR regarding the integration of sustainability risks in investment advice, our remuneration policy is also consistent with the consideration of sustainability risks in the sense that Helaba as a counterparty is subject to its sustainability strategy.

Helaba's remuneration strategy and systems are designed to achieve the objectives set out in Helaba's strategies (amongst others its business strategy and risk strategy). The remuneration parameters are aligned with the strategies and thus support the achievement of the strategic goals. The remuneration systems are set-up to requirement- and performance-related, gender-independent and sustainable remuneration that does not create any incentives to take disproportionately high risks.

Regarding the remuneration parameters, these are quantitative and qualitative factors that are used to measure the performance and success of an employee. It is also ensured that actions are taken in the best interests of our customers.
In particular, the remuneration does not create incentives to recommend a financial instrument that is less suitable for the needs of customers. It also does not encourage excessive risk-taking with regard to the distribution of financial instruments with high sustainability risks.

According to Article 2 No. 24 of the SFDR, we understand sustainability factors to be environmental, social and employee matters, respect for human rights, anti‐corruption, and anti‐bribery matters.

Currently, Helaba does not provide advice on financial products according to Art. 2 No. 12 SFDR (e.g. funds). At present time, only interest rate and currency derivatives are subject of our investment advice. Due to the product characteristics of OTC derivatives, Helaba does not classify them as sustainable financial instruments in the context of investment advice. For this reason, it is currently not possible when providing investment advice to take the principal adverse impacts (PAI) of investment decisions on sustainability factors into account.

Adverse impacts on sustainability factors are therefore only included in our investment advice under the aspect that Helaba, as counterparty, is subject to its own sustainability strategy. A further integration of adverse impacts on sustainability factors when providing investment advice is not possible due to the financial instruments (OTC derivatives) offered.

Helaba is observing the market development and will, if necessary, reassess the consideration of adverse impacts on sustainability factors for interest rate and currency derivatives when providing investment advice.