BBVA's document discusses its approach to responsible banking. It has four pillars: balanced customer relationships based on transparency; sustainable finance to address climate change and UN goals; community investment; and responsible practices with stakeholders. BBVA aims to finance €100 billion between 2018-2025 for green energy, infrastructure, agriculture, and financial inclusion projects. It is also committed to reducing its direct carbon emissions 68% by 2025 and sourcing 70% of its energy from renewables.
The BBVA Group’s net profit in 2015 came to €2.64 billion, slightly more than the previous year (up 0.9%). Without currency effects net attributable profit was up 4.4%. Excluding corporate operations in 2015, net income from ongoing operations was €3.75 billion, up 43.3% over 2014.
ahli bank - Sustainability Report for Year 2018
You can read more here:
https://ahli.com/report/sustainability-reports/sustainability-report-year-2018/
The BBVA Group’s net profit in 2015 came to €2.64 billion, slightly more than the previous year (up 0.9%). Without currency effects net attributable profit was up 4.4%. Excluding corporate operations in 2015, net income from ongoing operations was €3.75 billion, up 43.3% over 2014.
ahli bank - Sustainability Report for Year 2018
You can read more here:
https://ahli.com/report/sustainability-reports/sustainability-report-year-2018/
Contribuyendo con los Negocios Inclusivos a los Objetivos del Desarrollo Sost...Fundación CODESPA
Actualmente, y con la aprobación de los nuevos Objetivos de Desarrollo Sostenible, donde todos jugamos un papel importante, se requieren ideas innovadoras para poder construir un mundo más justo y menos desigual.
Desde CODESPA, creemos que algunas de estas ideas innovadoras pueden surgir a través de los negocios inclusivos, un puente perfecto que ayudará a satisfacer necesidades existentes entre las personas más vulnerables, involucrando a las empresas en la consecución de una sociedad más justa y equitativa.
WBCSD (The World Business Council for Sustainable Development) nos cuenta su experiencia de cómo los negocios inclusivos pueden acelerar el progreso y que alcancemos las metas de los ODS.
Delivering on the Sustainable Development Goals: The inclusive business approachfveglio
An issue brief launched in early March 2016 by the World Business Council for Sustainable Development (WBCSD) highlights how inclusive business solutions can deliver both business and societal value, in full alignment with the Sustainable Development Goals (SDGs). The short publication (8 pages) articulates the business case for targeting the base of the economic pyramid, illustrates how inclusive business solutions link up to each of the 17 SDGs, and presents an overview of common internal and external challenges faced by companies when developing and scaling these solutions.
With roots stretching back almost 200 years, Aegon is one of the world's leading providers of life insurance, pensions and asset management. Find out more about our history, markets, performance, and our commitment to sustainability and responsible investment.
ECS3019 Financial Decisions for Business – Assignment 2(A) UseEvonCanales257
ECS3019 Financial Decisions for Business – Assignment 2
(A) Use the financial information provided in Debenhams’ 2018 Financial Statements to answer the following questions.
1. Work out Debenhams liquidity ratios in 2018. What do these ratios tell us about Debenhams’ liquidity position? (15 marks)
a. Quick ratio
b. Current ratio
2. Work out Debenhams Inventory turnover ratios in 2018. What does this ratio tell us about Debenhams’ inventory management? (10 marks)
3. Work out Debenhams profitability ratios in 2018. What do these ratios tell us about Debenhams’ profitability state? (15 marks)
a. Return on capital employed
b. Net profit ratio
4. Work out Debenhams Debt/Equity ratio in 2018. What does this ratio tell us about Debenhams’ financial risk level? (10 marks)
(B) Read Debenhams’ 2018 Financial Report and research on relevant information about this company. What was the major mistake it made in relation to its financial decision in recent years that had led to its downfall? Were there any other internal and external factors contributing to the failure of this business? Use examples and concrete figures to justify your arguments.
Word limit for Part B is between 1500 to 2000. (50 marks)
Submission Deadline: Monday 26th of April 2021 before 11:30 pm via Turnitin.
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Making shopping
sociable and fun
2018 has been a tough year for UK retail and this is reflected in
our results for the year. However we are seeing the first positive
signs of results from our Debenhams Redesigned strategy. We
have built a plan that allows us to focus on priorities within our
strategy that are scalable and will help us to mitigate the
challenging retail environment.
We are taking decisive action to drive further cost savings and
generate cash whilst addressing the structural challenge of our store
estate. This will create a solid financial platform for us to invest behind
our strategy and create value for our shareholders and stakeholders.
Our strategy is to deliver growth by becoming a Destination for Social
Shopping and offering exciting new produ ...
USDA Loans in California: A Comprehensive Overview.pptxmarketing367770
USDA Loans in California: A Comprehensive Overview
If you're dreaming of owning a home in California's rural or suburban areas, a USDA loan might be the perfect solution. The U.S. Department of Agriculture (USDA) offers these loans to help low-to-moderate-income individuals and families achieve homeownership.
Key Features of USDA Loans:
Zero Down Payment: USDA loans require no down payment, making homeownership more accessible.
Competitive Interest Rates: These loans often come with lower interest rates compared to conventional loans.
Flexible Credit Requirements: USDA loans have more lenient credit score requirements, helping those with less-than-perfect credit.
Guaranteed Loan Program: The USDA guarantees a portion of the loan, reducing risk for lenders and expanding borrowing options.
Eligibility Criteria:
Location: The property must be located in a USDA-designated rural or suburban area. Many areas in California qualify.
Income Limits: Applicants must meet income guidelines, which vary by region and household size.
Primary Residence: The home must be used as the borrower's primary residence.
Application Process:
Find a USDA-Approved Lender: Not all lenders offer USDA loans, so it's essential to choose one approved by the USDA.
Pre-Qualification: Determine your eligibility and the amount you can borrow.
Property Search: Look for properties in eligible rural or suburban areas.
Loan Application: Submit your application, including financial and personal information.
Processing and Approval: The lender and USDA will review your application. If approved, you can proceed to closing.
USDA loans are an excellent option for those looking to buy a home in California's rural and suburban areas. With no down payment and flexible requirements, these loans make homeownership more attainable for many families. Explore your eligibility today and take the first step toward owning your dream home.
If you are looking for a pi coin investor. Then look no further because I have the right one he is a pi vendor (he buy and resell to whales in China). I met him on a crypto conference and ever since I and my friends have sold more than 10k pi coins to him And he bought all and still want more. I will drop his telegram handle below just send him a message.
@Pi_vendor_247
Even tho Pi network is not listed on any exchange yet.
Buying/Selling or investing in pi network coins is highly possible through the help of vendors. You can buy from vendors[ buy directly from the pi network miners and resell it]. I will leave the telegram contact of my personal vendor.
@Pi_vendor_247
Empowering the Unbanked: The Vital Role of NBFCs in Promoting Financial Inclu...Vighnesh Shashtri
In India, financial inclusion remains a critical challenge, with a significant portion of the population still unbanked. Non-Banking Financial Companies (NBFCs) have emerged as key players in bridging this gap by providing financial services to those often overlooked by traditional banking institutions. This article delves into how NBFCs are fostering financial inclusion and empowering the unbanked.
The Evolution of Non-Banking Financial Companies (NBFCs) in India: Challenges...beulahfernandes8
Role in Financial System
NBFCs are critical in bridging the financial inclusion gap.
They provide specialized financial services that cater to segments often neglected by traditional banks.
Economic Impact
NBFCs contribute significantly to India's GDP.
They support sectors like micro, small, and medium enterprises (MSMEs), housing finance, and personal loans.
how to sell pi coins in South Korea profitably.DOT TECH
Yes. You can sell your pi network coins in South Korea or any other country, by finding a verified pi merchant
What is a verified pi merchant?
Since pi network is not launched yet on any exchange, the only way you can sell pi coins is by selling to a verified pi merchant, and this is because pi network is not launched yet on any exchange and no pre-sale or ico offerings Is done on pi.
Since there is no pre-sale, the only way exchanges can get pi is by buying from miners. So a pi merchant facilitates these transactions by acting as a bridge for both transactions.
How can i find a pi vendor/merchant?
Well for those who haven't traded with a pi merchant or who don't already have one. I will leave the telegram id of my personal pi merchant who i trade pi with.
Tele gram: @Pi_vendor_247
#pi #sell #nigeria #pinetwork #picoins #sellpi #Nigerian #tradepi #pinetworkcoins #sellmypi
how to sell pi coins at high rate quickly.DOT TECH
Where can I sell my pi coins at a high rate.
Pi is not launched yet on any exchange. But one can easily sell his or her pi coins to investors who want to hold pi till mainnet launch.
This means crypto whales want to hold pi. And you can get a good rate for selling pi to them. I will leave the telegram contact of my personal pi vendor below.
A vendor is someone who buys from a miner and resell it to a holder or crypto whale.
Here is the telegram contact of my vendor:
@Pi_vendor_247
The secret way to sell pi coins effortlessly.DOT TECH
Well as we all know pi isn't launched yet. But you can still sell your pi coins effortlessly because some whales in China are interested in holding massive pi coins. And they are willing to pay good money for it. If you are interested in selling I will leave a contact for you. Just telegram this number below. I sold about 3000 pi coins to him and he paid me immediately.
Telegram: @Pi_vendor_247
what is the best method to sell pi coins in 2024DOT TECH
The best way to sell your pi coins safely is trading with an exchange..but since pi is not launched in any exchange, and second option is through a VERIFIED pi merchant.
Who is a pi merchant?
A pi merchant is someone who buys pi coins from miners and pioneers and resell them to Investors looking forward to hold massive amounts before mainnet launch in 2026.
I will leave the telegram contact of my personal pi merchant to trade pi coins with.
@Pi_vendor_247
Poonawalla Fincorp and IndusInd Bank Introduce New Co-Branded Credit Cardnickysharmasucks
The unveiling of the IndusInd Bank Poonawalla Fincorp eLITE RuPay Platinum Credit Card marks a notable milestone in the Indian financial landscape, showcasing a successful partnership between two leading institutions, Poonawalla Fincorp and IndusInd Bank. This co-branded credit card not only offers users a plethora of benefits but also reflects a commitment to innovation and adaptation. With a focus on providing value-driven and customer-centric solutions, this launch represents more than just a new product—it signifies a step towards redefining the banking experience for millions. Promising convenience, rewards, and a touch of luxury in everyday financial transactions, this collaboration aims to cater to the evolving needs of customers and set new standards in the industry.
Exploring Abhay Bhutada’s Views After Poonawalla Fincorp’s Collaboration With...beulahfernandes8
The financial landscape in India has witnessed a significant development with the recent collaboration between Poonawalla Fincorp and IndusInd Bank.
The launch of the co-branded credit card, the IndusInd Bank Poonawalla Fincorp eLITE RuPay Platinum Credit Card, marks a major milestone for both entities.
This strategic move aims to redefine and elevate the banking experience for customers.
3. Responsible Banking -A different way of banking / 2
What do we mean by Responsible Banking?01
02 How do we do Responsible Banking?
03 BBVA’s impact on society
Summary
Annexes
Sector norms: main exclusions
TCFD recommendations roadmap
4. Responsible Banking -A different way of banking / 3
01What do we mean
by Responsible Banking at BBVA?
5. Responsible Banking -A different way of banking / 4
Responsible banking policy, a driver
to deliver our purpose every day
Our purpose
To bring the age of opportunity
to everyone
Aligned with our vision of the future
Helping customers
to achieve their
life goals
Be more than a
bank, be an engine
of opportunities
Having a true impact
on people’s lives
and business
Mission of our responsible banking policy
To manage the responsibility that comes from the impact of BBVA’s activities on
people & society
Our six strategic priorities
Drivedigital
sales
New standard in
customer experience
Newbusiness
models
A firstclass
workforce
Unrivaled Optimalcapital
efficiency allocation
6. Responsible Banking -A different way of banking / 5
Customers
Employees
Society
Return adjusted
to principles
Holistic approach to responsible banking
With a multistakeholder
approach
Commitments&
responsible
practices
Investors
&
shareholders
Suppliers
And with the whole
bank involved
• Business Units &
Support Areas are
integrating it in their
operational models
• Responsible Business
function working mainly
as a second line to
challenge and give
support to all areas
Role of Responsible Business: 2nd line to ensure that people are systematically placed
at the decision-making processes
Integrity
Prudence
Transparency
7. Responsible Banking -A different way of banking / 6
Our four pillars on responsible banking
Balanced relationships with our
customers based on transparency,
clarity & responsibility
Sustainable finance to halt global
climate change & attain the UN
Sustainable Development Goals
Community investment to
promote social change and create
opportunities for all
Responsible practices with
employees, suppliers and other
stakeholders
Drivedigital
sales
New standard in
customerexperience
New standard in
customer experience
Optimalcapital
allocation
New standard in
customer experience
A firstclass
workforce
Unrivaled
efficiency
Newbusiness
models
Optimalcapital
allocation
8. Responsible Banking -A different way of banking / 7
Responsible business function reports directly to the Board of Directors
Governance and Accountability
Approval and monitoring of
the CSR policy and responsible
business plan
Report to plenary
& to the Executive Committee
Board of
Directors
Integrated in CEO
decision-making
GlobalLeadership
Team oversight
Local Leadership
Leadershi
p
Responsible Business
co-dependency:Customer
Solutions & Communications
Global & localteams
(140 people)
Operation
al
Model
9. Responsible Banking -A different way of banking / 8
Main sustainability indexes in which BBVA is
present
10. Responsible Banking -A different way of banking / 9
International standards with BBVA’s
active participation
Principles for Responsible Banking
11. Responsible Banking -A different way of banking / 10
How do we do Responsible Banking?
02
12. Responsible Banking -A different way of banking / 11
TCR relationships
Systematically ensure that BBVA’s interactions with customers are transparent, clear and responsible
to help them to make better financial decisions and build trust
Take into account
customer interests
in the S/M/L term
Make it easy to understand
(language and structure)
Include all relevant information for
the customer in a balanced way
TCR relationships with our customers (transparent,
clear & responsible)
Our aspiration 2018:
1st clearest and most transparent bank in major markets
Transparent Clear Responsible
13. Responsible Banking -A different way of banking / 12
TCR
advertising code
TCR external sales
& call centers
TCR contracts
(*) SDA: Single Development Agenda
Applied to all main
campaigns
TCR summary
pages & commercial
protocols
1000 SP covering90%
of sales in 8 countries
42 scripts in 5 countries
accounting for 80% of the
sales in this channel
75 contracts
in 9 countries
TCR complaints
management
112 letters of
response to claimsin
4 countries
TCR to transform the traditional bank
TCR to create the new bank
TCR in SDA*
customersolutions
TCR specialists in globalSDA
TCR guardians in local SDA
TCR in agile methodology
TCR specialists in globalSDA
TCR guardians in local SDA
TCR training & UX system
1260 people trained
What are we doing?
14. Growth
• Higher customer recommendation (NPS, Net TCRScore)
• Higher non-customer consideration
• More digital sales
Return on Capital
• Less complaints
• More efficient commercial dialog
• Higher employee pride of belonging and motivation
Risk Management
• Lower risk of fines
• Lower reputational risk
• Lower operational costs for unfair commercialpractices
• Anticipating regulation
ROI for TCR relationships
Responsible Banking -A different way of banking / 13
Based on RSC2 Model developed by McKinsey & Seres Foundation
15. Responsible Banking -A different way of banking / 14
More than
2.3 million
participants in 2017
€6.3 million
invested in 2017
Financial Education & Capability Building
Data verified by KPMG
Financial education
for society
Financial capabilities
into customer solutions
Advocacy & knowledge
generation
Bconomy
Spain
Check Up
Mexico
www.bbvaedufin.com
16. Responsible Banking -A different way of banking / 15
Customer relationships KPIs
Data verified by KPMG
Net Promoting Score (NPS)
2017
External Reputation
Pulse RepTrak 2017
17. Our Sustainable Finance Pledge / 16
The context: we are at a sustainability
inflection point
UN Sustainable
Development Goals 2030
Human Rights
USD12 Trillion
Market size linked to SDGs
in 2030 1
USD5-7 Trillion
Expected annual investment till
2030, 70% in emergingmarkets
2
Customers
Growingsustainability
consciousness
Competitors
Starting to develop advanced
strategies
(1) Business& Sustainable DevelopmentCommission
(2) The Brooking Institution
1,750
Institutionalinvestors
signatories
USD70 Trillion
Assets under management
Sustainable finance
strategy in EU
Action Plan launched
Mandatory disclosure
EU Directive for non-financial
information disclosure
Climate change
FSB initiative(soft-regulation)
Global agenda Market Investors Regulators
Paris Agreement G20
18. Pledge 2025 / 17
70%
RENEWABLE
ENERGY
68% CO2
EMISSIONS
REDUCTION
Our purpose: to bring the age of opportunity to everyone
Pledge 2025
BBVA strategy on climate change and sustainabledevelopment
To finance
We will help to create the scale of
capital mobilization to halt global
climate change & attain the UN
Sustainable Development Goals
To manage
We will manage our environmental &
social risks to minimize potential
negative direct & indirect impacts
To engage
We will engage with all our stakeholders
to collectively promote the
contribution of financial industry to
sustainable development
• Transparency in
carbon-related exposure
• Alignment with 2ºC scenario
• Sector norms inmining,
energy, agribusiness &
infrastructure
• TCFDrecommendations
implementation on 2020
• Financial education
• Promotion of Responsible
Banking standards within
the industry
• Green finance
• Sustainable
infrastructureand
agribusiness
• Financial inclusion&
entrepreneurship
€100
Billion
MOBILIZED
ACTIVE
COLLABORATION
19. Pledge 2025 / 18
• Green lending to companies&
institutions
• Green bonds intermediated as
bookrunner
• Energy efficiency, water & waste
management & solutions for
SMEs & individuals
• Green investment funds & equity
• Lending to underserved
• Lending to vulnerable microentrepreneurs
• Lending to women entrepreneurs
• New digital business
• Impact investment
A €100 Billion mobilization between 2018-2025
Transition to a low carbon
economy
Infrastructures & agribusiness
• Project & corporate lending in education, health & affordable
housing
• Social bonds intermediated as bookrunner
• Social investment funds & equity
• Agribusiness lending under sustainability criteria
Financial inclusion & entrepreneurship
€ 70
BILLION
€ 12
BILLION
€ 18
BILLION
To finance To manage Toengage
20. Pledge 2025 / 19
Current exposure on sustainable finance
Credit exposure
December 2017 Sustainable bonds
Sustainable bonds
intermediated
€ 10.6
BILLION
€1.5 BILLION
as bookrunner
To finance To manage Toengage
(1)
(2)
Including BBVA Microfinance Foundation
Green criteria aligned with Green Bond Principles. Social criteria aligned with Social Bond Principles
€ 22.1
BILLION
Green certifiedloans
4%
Greencorporate
lending
42%
Greenproject
finance
15
%
Othergreen
lending
7%
Infrastructures&
agribusiness
lending
19
%
Financial inclusion
& entrepreneurship1
13
%
Eurozone's largest
green bond issued
€1 BILLION
21. Our Sustainable Finance Pledge / 20
We are already providing innovative finance
solutions to promote sustainable finance
Transition to low carbon economy
Infrastructure &
agribusiness
Financial inclusion &
entrepreneurship
€218M financing in
renewable energyprojects
>€1,000 M
Most active bank in1st green loan in the
green loans marketenergy sector in favor of
Iberdrola (€500M)
1st syndicated green loan
1st green projectfinance
Financial inclusion segment
• >8 million customers in Mexico, South
America
• Low-cost digital channels and
easy-to-use products
• 6 year commitment of $11,000 million for
low income communities in US
5 Countries
514 branches
2 million customers
>8,100 employees
United Nations grants
consultative status
€333M financing in
social infrastructure
projects
Lending in
infrastructures:
Community of Madrid
€240M
Sustainable
Bonds
60,900 clients
refinanced in lightof
payment difficulties
• 2,676 houses for
social rent
Affordable •
housing:
To finance To manage Toengage
Financing
sustainable
projects
Green lines
financingwith
multilaterals
Energy efficiency
IFC line €150M for green
mortgages in Turkey
22. Pledge 2025 / 21
Our solution
BBVA SDGs Bonds Framework
• There is a growing market on green & social bonds (USD131bn issued in 2017, USD180bn forecast for 2018)
• Financial institutions are starting to play a relevant role as issuers
• Main advantages for BBVA: increase and diversify its investors’ base and a clear positive impact on reputation
• BBVA has a strong positioning on green bonds and green loan. There is an opportunity to be perceived as first mover
Background
BBVA’s SDGs Bond Framework follows the
ICMA1 Green Bond Principles (GBP), Social
Bond Principles (SBP) and Sustainable
Bond Guidelines which have four
requirements:
• Use of Proceeds
• Process for Project Evaluation and
Selection
• Management of Proceeds
• Reporting
(1) International Capital Market Association (ICMA)
Environmental Social
To finance To manage Toengage
23. Pledge 2025 / 22
2015
Electricity
Consumption
% Renewable
Energy
Direct CO
emissions2
2020 2025
-8%
-68%
70%
renewable energy
68% CO2
emissions
reduction (2015)
Committed with Science Based Targets Initiative & RE 100 Initiative
to achieve 100% renewable energy in 2030
Environmental direct impacts targets 2025
To finance To manage Toengage
848
GWh
70%
90
MtCO2e
27%
48%
920GWh
874GWh
283 MtCOe
2
263
MtCO2e
24. Pledge 2025 / 23
Transparency in carbon-related assets
Carbon-related assets exposure1
December 2017
Mix in power generation for clients
in utilities
December 2017
Coal
Utilities Oil & Gas Mining Total
Corporatelending 8.187 12.050 133 20.370
carbon-relatedassets
Project finance 416 767 0 1.183
Structured Trade Finance 319 1.473 0 1.792
Equity 0 25 0 25
Total exposure to 8.922 14.315 133 23.370
1) Includes assets linked to utilities and energy generation based on fossil fuels (coal, oil & gas)
2) Peers BNP Paribas, Societé Générale. Source data World 2014: International Energy Agency
€23.370 Million
3,4 % of total assets
% carbon-related2
To finance To manage Toengage
25. Pledge 2025 / 24
Purpose To address industry-specific sustainable issues and provide clear guidance on the procedures that must
be followed during customer management and transactions in these sectors
Scope
How we did it? Based on internationalstandards Benchmarkanalysis Economicassessment
Transactions + Clients + Products
Due diligence
processes
Sector norms
Escalation &
exceptions
Exemptions will only take place exceptionally and shall only be approved by the CIB Leadership
Committee.
Exemption requests must be clearly justified and supported by all decision-making tiers
Corporate & Investment Banking activities carried out by all BBVA Group institutions, businesses lines,
branches, subsidiaries and geographies
Energy Mining Infrastructure Agribusiness
A set of norms that are best practices within the industry that will be
annually updated
To finance To manage Toengage
Integrating new Human Rights
commitment
Integrating new environmental
commitment
26. Pledge 2025 / 25
Engagement with all stakeholders and
commitment with the main global initiatives To finance To manage Toengage
Pledge2025
CUSTOMERS
Raise awareness
Educating & empowering
CORPORATECLIENTS
Dialogue
Support
INVESTORS
Holistic view
Transparency
REGULATORS
Advocacy
Knowledgesharing
EMPLOYEES
Raise awareness
Call to action
WATCHERS
Hearing & learning
Transparency
SUPPLIERS
Dialogue
Support
COMPETITORS
Partnerships
Self-regulation
Representing European banking at the Global Steering Committee of United Nations forum for financial
institutions. Chair of the Sustainable Finance Working Group at the European Banking Federation
27. Pledge 2025 / 26
Areas of recommendations
Governance Risk management
Strategy Metrics & targets
BBVA member of pilot group
promoted by United Nations
(UNEP FI)
16 banks
ANZ, Barclays, BBVA, BNP Paribas,
Bradesco, Citi, DNB, Itaú, National Australia
Bank, Royal Bank of Canada, Rabobank,
Santander, Societé Générale, Standard
Chartered, TD Bank Group and UBS
Progressive implementation of TCFD
recommendations on climate change
Focus on financial impact
To finance To manage Toengage
28. Our Sustainable Finance Pledge / 27
Our people, a first-class workforce
Our values Transformation journey Ethical conduct
Code of Conduct updated and approved
by the Board on 2015
Includes commitments to the prevention
of corruption in the Group in its relations
with suppliers, anti bribery policies,
acceptance of gifts, events
management, prevention of money
laundering and commitments regarding
politically exposed persons
Audiovisual distribution with the
involvement of senior management.
116,211 employees trained online in
2017
29. Responsible Banking -A different way of banking / 28
Global Corporate
Volunteering PlanTrainingCompensation
Global
Diversity Plan
€52million
investment
39 hours of training per
employee
84% employees trained
21.6% women in the
management team
Employee ratio
54% women / 46%
men
Diversity Charter and UN
Women’s Empowerment
Principles signatory
>8,000 BBVA volunteers
Main responsible practices related to people
management
Verified by KPMG
Variable remuneration
linked to the Group’s
strategic objectives through
indicators formed by both
financial and non-financial
30. Responsible Banking -A different way of banking / 29
Internal reputation KPIs
Evolution 2017-2016. Numbers in green-significant increase; numbers in blue stability
Note: Statistically significant differences since +/-1,5
NA- Not available: The survey for these countries begins in 2017
Source: Internal Reputation Survey May-July 2017, Reputation Institute. 8.105 respondents
GOBAL SP VE MX HOLD. PE CIB TR USA CO UR
83.2
83.2
84.2
87.3
87.0
89.5
84.4
86.2
85.5
83.9
84.0
84.0
83.1
81.8
83.9
67.1
77.3
83.7
83.8
83.6
83.0
80.6
77.5
82.8
83.4
83.9
82.0
79.6
79.7
81.4
79.7
77.4
80.4
80.7
81.1
79.8
79.8
76.0
77.9
77.1
90.+
CH
2015
AR
2016
PA
2017
5+
2.
7-0. 00. 22.+ 46.+ 6-0. 2+5
.
0-
2.
1.+ 6 N/A +3.0 8-
0.
00.
BBVA Internal Emotional Reputation (Pulse) 2015-2017
Status and evolution vs 2016. Scale 0-100
Strong Excellent Strong
31. Responsible Banking -A different way of banking / 30
Community investment, €103M in 2017
Education Entrepreneurship Science & culture
Integral program to support
social enterprises in their
growth
Program to identify, award
& support fintechstart-ups
Program to support women
entrepreneurs in Turkey
Support for advanced research in
biomedicine, basic science,
environment and
socio-economics
Promotion of cultural activities:
music and visual arts
“BBVA FoundationFrontiers
of Knowledge Awards”
Mexico
Spain
Turkey
32. Responsible Banking -A different way of banking / 31
• Reputational risk appetite + ICAAP
(integrated in Global Risk
Management)
Process
• Reputational Risk Working Group
(integrated in Corporate Assurance Framework)
Operational Risk, Responsible Business, Compliance
& Comms
Risk identification &
impact assessment
AssuranceProviders
identification
Strength assessment
& mitigation proposals
Local/ Globalreview
(6 months)
Implementation &
follow up
Governance & Accountability
Outcomes
(Global & local)
Mitigation actionsImpact vs Strength Matrix
Other relevant issues: Reputational Risk Management Model
• Reputational risk specialist
Responsible businessfunction
33. Responsible Banking -A different way of banking / 32
• Risks identification and assessment
• Consistent set of policies and procedures
• Definition of a whole range of mitigation measures/
actions focused on mitigating identified risks
• Definition and tracking of indicators such as
consumers claims/complaints, security
incidents/breaches or independent review
processes, including a causal analysis
• Reputational risk assessment
• New Engineering Risk & Corporate Assurance
unit
• Focus on adapting the levels of information
protection to the new challenges arising from
the Group's digital strategy
• BBVA CERT: new center of BBVA Group's
cybersecurity and fraud strategy.
• Cyber Trust Program: continuous cybersecurity
monitoring and improvement plan
Other relevant issues: Customer Privacy & Data Security
Specific Technology & Cybersecurity Board Committee
Operational and technological
risk management
Data protection risk management
35. Responsible Banking -A different way of banking / 34
BBVA’s impact on society
Contribution to development - customer support
Creating wealth
Contributions to society
Verified by KPMG
€115,021M
in homes financed
3,5 million
SMEs, micro-enterprises and
self-employed workers supported
€19,692M
of finance granted to SMEs,
micro-enterprises and
self-employed workers
€1,135M
of remuneration in cash
to shareholders
€5,163M
paid in salaries and wages
€9,881M
contribution throughpaid
and accrued taxes
€103 M
investment in social programs
126,488
children and young people
with integration grants
1,9 million
beneficiaries from
BBVA Microfinance
Foundation activity
38. Pledge 2025 / 37
Sector norms: general exclusions
BBVA will not provide financial services to projects or clients whose core business is linked to any of the following
activities or environmental and social impacts:
• Companies that have shown credible and clear evidence (based on court rulings or relevant controversies), of
material breaches regarding applicable laws and regulations, or taking part in human rights abuses regardless of
the country.
• Activities that involve child or forced labor as defined in ILO conventions.
• Projects that entail the resettlement or violation of rights of indigenous peoples, without their free, prior and
informed consent (FPIC)
• Projects located or in the vicinity of UNESCO World Heritage sites, List of Ramsar wetlands, Alliance for Zero
Extinction sites and Category I-IV areas of the International Union for the Conservation of Nature.
• Businesses with headquarters based in countries subject to EU, US or UN sanctions
39. Pledge 2025 / 38
Sector norms: main exclusions
• New coal mines and coal mine expansions.
• New projects on Mountaintop Removal (MTR)
extraction methods
• Asbestos extraction projects
• Major coal producers using MTR mining in
more than 10% of their activity
• Clients with a significant portion of their activity
consisting in the extraction of coal (more than
40%) used to generate electricity that lack a
diversification strategy
Exceptions may be made for new nuclear power plants, construction of new and expansion of existing coal power plants, and coal-based power
generating clients, in countries with high energy dependency and without viable alternatives. BBVA will report on such projects/clients financed
Mining
• New nuclear power plants
• Construction of new and expansion of existing
coal power plants
• Exploration and production of oil and gas in the
Artic
• Tar sand exploration and production
• Simple hull oil tankers
• Significant coal-based power generation (more
than 40%) without a diversification strategy
Energy
40. Pledge 2025 / 39
Sector norms: main exclusions
Agribusiness
• Illegal logging
• The burning of natural ecosystems to clear land for the
development of agricultural projects
• Projects for production of first-generation biofuel
• Use of substances prohibited by the Stockholm Convention
• Non-certified Palm oil operations or not in the process of
obtaining certification by the Roundtable on Sustainable Palm Oil
(RSPO)
• Clients engaging in blast and cyanide fishing
• Clients using driftnets in excess of 2.5km
• Clients trading and manufacturing angora wool
• Clients with animal testing not related to health research
• Clients with direct participation in the trade of shark fins,
commercial whale hunting, illegal, undeclared and unregulated
fishing
Infrastructure
• Dams failing to comply with WCD
Framework
• Facilities failing to comply with the Hong
Kong Ship Recycling Convention
• Clients that cannot furnish the health and
safety records of their workers and/or
areas of influence
• Clients that cannot disclose or provide
information about their performance in
connection with the use of water, waste
and greenhouse gas emissions
41. Pledge 2025 / 40
Implementation road map of the TCFD
recommendations on climate change 1/2
Area Recommendations Done Plan 2018
GOVERNANCE Describe the board’s oversight of
climate-related risks and
opportunities
• Reporting to the Board of Directors
and to the Board Executive
Committee
Describe management’s role
assessing and managing
climate-related risks and
opportunities
• Included in the CSR Policy approved by the Board od
Directors
• Board of Directors’ oversight (3 times in last 12
months)
• Plans & norms approved and oversighted by the CEO
• Global Leadership Team & Sustainable Finance
Working Group as forums to helpdecision-making
• Responsible Business as specialist function
coordinating implementation & monitoring
• Reporting to the Global
Leadership Teammeeting
STRATEGY Describe the climate-related risks
and opportunities the organization
has identified over the short,
medium and long term
• Quantify credit exposure to carbon-related assets & mix
energy generation in utilities
• Update risks and opportunities
definition that are material for
BBVA
• Pledge 2025. Strategy on climate change and
sustainable development
• Product portfolio defined at CIB
• Strategy implicationsassessment
• Retail business opportunities
Describe the impact of
climate-related risks and
opportunities on the organization´s
businesses, strategy and financial
planning
Describe the resilience of the
organization’s strategy, taking into
consideration differentscenarios,
• Participation in pilot group with
UNEP FI
• First impact assessment on credit
42. Pledge 2025 / 41
Area Recommendations Done Plan 2018
RISK
MANAGEMENT
Describe the organization’s processes for
identifying and assessing climate-related risks
• Formalizeprocess
Describe the organization’s processes for
managing climate-related risks
• New sector norms approved by the CEO
• Equator Principles implemented
• Due diligence processes in clients, transactions &
products defined
• Sector norms & due
diligence processes
implementation
Describe how processes for identifying, assessing
& managing these risks are integrated into the
organization’s overall risk management
• Integration asemerging
risk
METRICS&
TARGETS
Disclose the metrics used to assess
climate-related risks and opportunities in line with
its strategy and risk management process
• Quantify credit exposure to carbon-related assets
& mix energy generation in utilities
• Renewable energy
Disclose Scope 1, Scope 2 and, if appropriate,
Scope 3 greenhouse gas (GHG) emissions
• Emissions reported Scope 1 , Scope 2
• Committed with Science Based TargetsInitiative
• Wider disclosureon
Scope 3 for
carbon-relatedclients
Describe the targets used by the organization to
manage climate-related risks and opportunities
and performance against targets
• Mobilize €100 Billion 2018-2025. Renewable
energy 70% and 68% reduction in direct GHG
emissions. 100% renewable energy7 in 2030
• Current exposure in sustainable finance
• Annual reportverified
by third party about
Pledge 2025
performance
Implementation road map of the TCFD
recommendations on climate change 2/2
43. Responsible Banking -A different way of banking / 42
Marco Social y
Ambiental
Responsible
Banking
March 2018
A different way of banking