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Corporate Responsibility Report 2019
Corporate Responsibility at Credit Suisse
Foreword
Our understanding of Corporate Responsibility
Responsibility in banking
Responsibility in the economy and society
Responsibility as an employer
Responsibility for the environment
Responsibility for the environment
Reporting on Corporate Responsibility
Attractive working environment and flexible working
At Credit Suisse, we consider it important to offer our employees modern and flexible working models. Our office environment, which has been designed according to the  concept in many locations, allows employees to choose their workspace based on their needs at a specific point in time. Approximately 27,000 employees now work in  environments in our offices worldwide.

We consider employee health and safety to be of the utmost importance, and we have internal policies in place to help guarantee a safe office environment. Subject matter experts ensure that continuous safety improvements are made in line with local legal requirements. One example from 2019 is the introduction of a global Health & Safety Incident Reporting System, which considerably simplifies the evaluation of relevant statistics and thus supports the choice of appropriate accident prevention measures. In 2011, Credit Suisse became the first Swiss financial services provider to be awarded OHSAS 18001 certification (Occupational Health and Safety Assessment Series) for its operations in Switzerland. We successfully renewed this certification in 2018.

Corporate Health Management implements various measures in Switzerland to help employees strengthen their resilience in an increasingly challenging environment. In collaboration with various specialist units, we run cross-divisional national events aimed at maintaining and promoting employee health. In 2019, we continued our mindfulness campaign which had been launched the previous year. The campaign included various offers to help our employees maintain and improve their resilience in an increasingly challenging environment. We have also increased paternity leave for our employees in Switzerland from five days to twelve days as of January 1, 2019. Furthermore, in 2016, Credit Suisse in Switzerland was awarded the “Friendly Work Space” label by Health Promotion Switzerland (Gesundheitsförderung Schweiz), demonstrating the successful implementation of our corporate health management framework. In 2019, Credit Suisse was successfully recertified.

In consultation with various specialist units, we have developed several offerings that help our employees to combine their professional and private commitments as effectively as possible. To promote a dialogue that takes into account the collective interests of our employees, Credit Suisse has worked closely with organizations such as the European Works Council and the Credit Suisse Staff Council in Switzerland for many years. More information is available at:

credit-suisse.com/responsibility/flexibilityhealth
This chapter addresses the following issues:

1 Culture of compliance and conduct

5 Incentives and compensation policy

10 Quality and range of services and advice

12 Human resources and talent management

Further information:

credit-suisse.com/responsibility/employer
Credit Suisse materiality assessment
Challenge and response
The employment landscape is evolving rapidly due to the digitalization of work processes and demographic changes. What steps is Credit Suisse taking to support mature employees in Switzerland in the later stages of their careers?

At Credit Suisse, we are committed to helping employees realize their full potential at every stage of their career, including more mature professionals within our workforce who bring considerable skills and experience to their roles. We provide tailored support so that this group of employees can adjust their skill sets to changing market needs, adapt to new environments and remain employable in the labor market.

Our range of learning and development opportunities include:

The VEP (Very Experienced Professionals) Network 45+: This Diversity and Inclusion employee network offers tailored learning events and workshops and facilitates a dialogue between generations. Topics range from the latest technology trends to advice on how to drive one’s career forward and create “one’s own brand”.
Workshops to teach presentation skills for interviews and provide advice on how to create a short profile on social media like LinkedIn.
The Generational Mentoring program: In this reverse approach, seasoned employees engage in an exchange with their younger colleagues about how they handle their current work environment, which communication channels they prefer, and how they manage daily challenges.
The external training program Skills 4.0 provided by the Challenge Your Potential (CYP) learning organization: This program focuses on developing the new skills and the mindset required for the digital age, including self-assessments and personal coaching.
Furthermore, we offer senior executives over the age of 50 and with at least ten years of service the opportunity to take a three-month sabbatical during which they receive 80% of their regular pay. We encourage these individuals to take a break from daily business in order to focus on their personal and professional development. We believe that fully committed employees with the right set of skills and a good grasp of technology over the entire employee lifecycle are key success factors for the bank.

All challenges and responses 2019
Responsible approach to compensation
The objectives of the Group’s compensation policy include attracting and retaining employees, and motivating them to achieve sustainable results with integrity and fairness. The key elements of the compensation framework for Group employees comprise fixed compensation (base salary, pension and other benefits) and variable incentive compensation, which is determined based on the Group’s performance as well as individual performance evaluations. Variable incentive compensation is deferred for persons with a total compensation of CHF/USD 250,000 or higher, mainly in the form of share-based awards or Contingent Capital Awards (CCA). All deferred compensation awards contain provisions that enable the Group to reduce or cancel the awards prior to settlement under certain circumstances. For the Executive Board, variable incentive compensation comprises short-term incentive (STI) awards, which are linked to the achievement of predetermined performance objectives for the prior year, and long-term incentive (LTI) awards, which are based on future performance outcomes measured against predetermined performance targets over a period of three years. Maximum STI and LTI opportunity levels are determined for each Executive Board member and are each expressed as a multiple of base salary. At the end of the respective performance cycles, the maximum payout level for each award is capped at 100% of the opportunity level.

During 2019, we continued to engage with key shareholders and external stakeholders, both to listen to their views on our current compensation practices, and to understand any thoughts they had on areas of focus for the Compensation Committee in future years. In its annual review of the overall compensation framework at Credit Suisse, the Compensation Committee took into account the feedback received from external stakeholders, as well as considering market developments to assess whether current practices remain appropriately competitive. As a result of this review, it determined that the overall compensation framework continues to be appropriate.

In determining the Group’s variable incentive compensation pool for 2019, the Compensation Committee took into consideration the Group’s financial performance during the year as well as progress made against strategic objectives, relative performance, market position and market trends, as well as control, risk, compliance and ethical considerations. While the Group significantly increased its profitability in 2019, with income before taxes up by 40% year-on-year, the Compensation Committee’s recommendation to the Board of Directors was not to increase the Group variable incentive compensation pool in order to re-balance the distribution of profits between shareholders and employees and to return more value to shareholders. The total variable incentive compensation awarded for 2019 was CHF 3.2 bil­lion, 1% lower than the prior year.

In accordance with Swiss law, the Group will submit proposals on Board and Executive Board compensation for binding shareholder approval at the AGM in 2020. Comprehensive information on the Group, Executive Board and Board compensation can be found in the 2019 Compensation Report.

Responsibility for the environment
Responsibility for the environment
We take environmental impacts into account when conducting our business by developing sustainable products and services and addressing sustainability issues when managing risk. The implementation of various operational measures helps us to improve our own environmental performance.

Credit Suisse is committed to developing and supporting measures that contribute to a more environmentally sustainable economy. We believe that these efforts are in the interests of both our organization and our clients and other stakeholders. Our approach is based on our Code of Conduct and our Statement on Sustainability, which explains how we aim to address environmental and social issues when performing our activities as a bank. The  and the UN Sustainable Development Goals (SDGs) are other important points of reference in this area.

Further information:

Implementation of the Ten Principles of the UN Global Compact
Our contribution to the realization of the Sustainable Development Goals
Addressing climate change
Climate change is a reality that must be addressed. The  charts the course of the global response to the threat of climate change with its overarching objective to limit the rise in the global temperature to well below 2° Celsius above pre-industrial levels. Based on the , countries have committed to implement transition plans to lower their greenhouse gas emissions. As a global financial institution, we recognize our share of responsibilities in combating climate change by supporting the transition to a low-carbon and climate-resilient global economy. Our principles and our approach to climate protection are set out in our Statement on Climate Change, which describes how we intend to address climate-related risks, mobilize financial resources and reduce our own environmental footprint. Furthermore, Credit Suisse signed the UN  () in 2019, which call for the banking sector to align with the objectives of the UN Sustainable Development Goals and the  (More information: Principles for Responsible Banking).

In 2019, Credit Suisse introduced a Group-wide Climate Risk Strategy with a three-pronged approach: supporting our clients in their transition to low-carbon and climate-resilient business models; providing sustainable finance solutions; and reducing the carbon footprint of our own operations (More information: Climate Risk Strategy program).

We also follow a sustainable investment approach for our real estate investment portfolio (More information: Global Real Estate in Credit Suisse Asset Management), and we continue to integrate climate issues in our risk management processes. To assess whether projects or client activities may pose a major risk to the environment, the climate or biodiversity, we apply our Reputational Risk Review Process. Our sector policies and guidelines govern the responsible provision of financial services to clients and define the relevant environmental and social aspects that are to be considered when assessing individual transactions.

Further information:

Risk management and sustainability
We are working on addressing the recommendations of the Financial Stability Board’s  (), and we expect our  adoption efforts to provide us with further guidance for the transition toward a world that progressively minimizes its dependency on fossil fuels (More information: Implementing the recommendations of the Task Force on Climate-related Financial Disclosures).

In 2019, Credit Suisse continued to participate in the dialogue about the development of strategies for sustainable, climate-friendly business practices. In Switzerland, for example, we have hosted the Lifefair Forum event series for a number of years. At the 2019 Lifefair events, experts from the business community, the political arena and NGOs engaged in discussions about sustainability-related topics such as smart climate action, and sustainable logistics and transportation.

Further information on climate-related topics and our Statement on Climate Change are available at:

www.credit-suisse.com/climate
Global Real Estate in Credit Suisse Asset Management
The International Energy Agency (IEA) estimates that buildings and the construction sector are responsible for just over one-third of global final energy consumption and nearly 40% of total direct and indirect CO2 emissions. Improving the energy efficiency of buildings and taking account of various other sustainability considerations in real estate investment decisions are therefore important components of global efforts to tackle climate change.

We regard sustainability as an essential requirement in the management and development of the properties within our various real estate products. Global Real Estate in Credit Suisse Asset Management had over CHF 51 bil­lion of assets under management at end-2019 and a portfolio of more than 1,300 properties across 14 countries. Global Real Estate’s commitment to sustainable real estate is reflected by its investment solutions and its sustainable investment approach to the whole portfolio.

To establish a comparable standard for all new buildings, Global Real Estate relies on the Credit Suisse greenproperty quality seal that has been applied to more than 130 properties across the portfolio. Other industry standards such as LEED, BREEAM, DGNB or Minergie are also applied.

To complement this approach, and to assess the energy and CO2 performance of its portfolio, all managed properties are monitored and controlled by the building technology company Siemens Switzerland AG with the aim of ensuring transparency across the lifecycle of each property. As a result of Global Real Estate’s systematic approach, the portfolio’s CO2 emissions have been reduced by 17.5% globally since 2010.

To comprehensively assess its sustainability or Environmental, Social and Governance (ESG) performance, Global Real Estate has participated in the Global Real Estate Sustainability Benchmark (GRESB) since 2013. GRESB allows for the measurement of the ESG performance of each property portfolio, illustrates the potential for improvements, and benchmarks companies’ performance against peer groups and across the industry. As of end-2019, more than 1,000 real estate companies representing USD 4.5 trillion of assets under management across 65 countries benchmarked their real estate assets through the GRESB platform to evaluate their sustainability performance. Institutional investors use ESG data and GRESB’s analytical tools to improve the sustainability performance of their investment portfolios, engage with investment managers and prepare for increasingly rigorous ESG obligations.

Biodiversity and natural capital
At Credit Suisse, we view the protection of biodiversity as an integral part of our sustainability commitments, and we address this topic in a variety of ways. In our risk management processes, we have incorporated biodiversity-related aspects into our sector-specific policies and guidelines. For example, our policy requirements for the forestry and agribusiness sectors are aligned with relevant sustainability initiatives such as the Roundtable on Sustainable Palm Oil (RSPO) – of which we are a member – and the Forest Stewardship Council (FSC). To promote good forestry and agribusiness practices and to discourage net forest conversion, our policies also include restrictions on financing activities related to High Conservation Value Forests as well as provisions for the particular scrutiny of peatland operations and the prohibition of financial services for operations in protected areas such as UNESCO World Heritage sites.

We also engage with stakeholders on defining ways for the financial industry to contribute to preserving biodiversity and the world’s natural habitats. For instance, we have acted as a technical advisor to the Zoological Society of London’s Sustainability Policy Transparency Toolkit (SPOTT) for a number of years, and are part of the Technical Advisory Group for the palm oil and the timber and pulp sectors. SPOTT currently assesses over 200 commodity producers and traders on the public disclosure of their policies, operations and commitments to environmental, social and governance best practices. We also supported the expansion of the SPOTT platform to the natural rubber sector in 2019, and we continue to assist with SPOTT website design and content updates through employee “virtual volunteering” activities. Moreover, we provided support to the High Conservation Value Resource Network (HCVRN) secretariat for the development of a training strategy to improve the quality of High Conservation Value and High Carbon Stock Assessments in the palm oil sector.

Recognizing the need for capital in conserving ecosystems, we are active in the conservation finance space, which focuses on the creation of new, long-term and diversified sources of revenue that can play a role in ensuring terrestrial as well as marine biodiversity conservation and the health of natural ecosystems. We are expanding our product offering in this space. In 2019, Credit Suisse was also the sole manager of a Sustainable Development Bond issuance by the World Bank, focusing attention on the so-called “blue economy”.

Finally, we have hosted the Credit Suisse Annual Conservation Finance Investor Conference in New York for seven years, providing a forum where specialists can discuss solutions for further developing the conservation finance sector.

More information is available at:

www.credit-suisse.com/biodiversity
Raising employee awareness of environmental issues
We give employees the opportunity to make a personal on-the-job contribution to environmental protection, and we inform them about environmental issues. In this context, around 3,500 employees worldwide had signed up to our regional Sustainability Networks as of end-2019. In addition, Credit Suisse once again took part in the symbolic Earth Hour climate campaign in 2019, with the lights at 43 Credit Suisse offices around the world being switched off for one hour on March 30, 2019. To increase awareness of environmental management as well as health and safety topics, we provided 17,600 hours of training to 17,200 participants together with various service providers in 2019. Credit Suisse participated in the “bike to work” campaign for the twelfth time in 2019, with 86 teams of employees in Switzerland cycling to work in May and June, covering a distance of over 136,000 kilometers – which is equivalent to circumnavigating the globe more than three times.

Environmental management
Credit Suisse strives to make more efficient use of natural resources and to reduce greenhouse gas emissions. We focus our efforts on energy management because energy consumption is among the areas in which our operations have the greatest direct impact on the environment. In order to reduce environmental impacts and lower costs, we continuously implement a variety of measures through our environmental management system.

In 2019, we continued to concentrate on improving energy efficiency and on reducing the consumption of electricity and fossil fuels. Through our energy efficiency program in Switzerland, for example, we were able to increase our energy efficiency by approximately 1.6 gigawatt hours (GWh).

We have a rigorous control framework in place to manage our environmental impact. A key component of this framework is our globally certified Environmental Management System (EMS), which has been implemented in accordance with the ISO 14001:2015 standard. In 2019, we successfully completed an EMS surveillance audit carried out by SGS, without any Corrective Action Requests (CARs). We also involve external service providers and suppliers in our continuous efforts to improve our environmental management measures where appropriate.

2025 environmental objectives
We continuously review our environmental strategy to ensure best practices are implemented into our daily management processes. We have strengthened our commitment to environmental management by introducing the following 2025 environmental objectives:

Reduce total greenhouse gas emissions by 75% with regard to the aspects based on which emissions from our operational activities are reported, relative to 2010 levels
Procure 100% renewable electricity, and commit to the RE100 initiative, through which we pledge to continuously increase the green power share of electricity consumed in our operations
Increase the office space in our portfolio that is certified as “green” – according to labels such as the Credit Suisse greenproperty quality seal, LEED, BREEAM, DGNB or Minergie – to 50% of our total office space portfolio
Improve our regional energy efficiency by 1.5% per year from 2020 through 2025
Reduce single-use plastic and increase the share of products made from recycled and reusable materials
Reduce the amount of paper used by 10% compared to 2018 and ensure 100% of paper purchases carry an appropriate environmental label
Reduce water consumption by 10% per employee (full-time equivalent) compared to 2018
Reducing our environmental footprint
By systematically pursuing our four-pillar strategy to achieve greenhouse gas neutrality (More information: Reducing our environmental footprint), we have reduced our annual net global greenhouse gas emissions by around 23% since 2017. This achievement is in part based on continued energy efficiency measures across our premises as well as investments to reduce energy consumption. These measures constitute pillars 1 and 2 of our strategy. Furthermore, as part of these efforts to substantially reduce our greenhouse gas emissions by increasing the share of climate-friendly energy sources, we purchased  () for selected Credit Suisse offices in Poland, Russia, the UK, the US, Mexico and Brazil, Hong Kong, India and Japan to increase the share of climate-friendly energy sources. In Switzerland, we have been able to set up electricity supply contracts that cover our entire electricity consumption with  from hydropower. As a result, 90% of our global electricity consumption in 2019 was from renewable sources. The purchase of  is the main component of pillar 3 of our strategy. Finally, the remainder of emissions is offset through Emissions Reduction Certificates () (pillar 4 of the strategy). Through these combined efforts, we again achieved global greenhouse gas neutrality in 2019, a goal we first achieved in 2010.

Business travel continues to pose a challenge for Credit Suisse due to the global nature of our business. It is often essential to maintain direct contact with clients, which is why business air travel accounts for around 56% of our global greenhouse gas emissions. To reduce the number of flights taken, our relevant policy encourages employees to travel by train when covering shorter distances, and to use telephone and video conferencing whenever possible. Emissions from air travel, as all residual emissions from our operations, are offset through . In 2019, this amounted to around 70,800 metric tons of CO2 equivalents.

We also reduced our environmental footprint through the use of certified paper produced from forests that are managed sustainably in line with, for example, the Forest Stewardship Council (FSC) criteria; this accounted for 78% of our global paper consumption in 2019. Furthermore, we were able to reduce our water consumption in Switzerland by approximately 2,700 m³ compared to 2018. Finally, flexible working models that enable our employees to work from home from time to time can also help to reduce local emissions from regional commuter traffic.

This chapter addresses the following issues:

2 Climate change

3 Environmental and social risk management

6 Responsible investments

credit-suisse.com/responsibility/environment
Further information:

Credit Suisse materiality assessment
WSGE_DP_GR_Global_Greenhouse
WSGE_DP_GR_Emissions
Further information on environmental management and examples of measures taken globally and in all our regions are available at:

credit-suisse.com/environmentalmanagement
Detailed information on Credit Suisse’s four-pillar strategy is available online at:

credit-suisse.com/4pillarstrategy
Challenge and response
Challenge: Tackling climate change is a major global challenge, receiving increasing attention from a wide range of stakeholders, including policymakers and regulators, investors, NGOs, climate activists, the media and the broader public. The year 2019 saw large-scale demonstrations demanding climate action around the world, some of which addressed the role of financial institutions. Making finance flows consistent with a pathway towards low greenhouse gas emissions and climate-resilient development is also an important component of the , which entered into force in 2016. What steps is Credit Suisse taking to help address the challenge of climate change?

Response: Credit Suisse recognizes its share of responsibility in addressing the challenges of climate change, and we acknowledge that financial flows also need to be brought in line with the objectives of the . We believe that our role as a financial intermediary is to act as a reliable partner in the transition to a low-carbon and climate-resilient economy. Our principles and our approach to climate protection are set out in our Statement on Climate Change, and we became a founding signatory to the  of the UN Environment Programme Finance Initiative (UNEP FI) in 2019 (More information: Principles for Responsible Banking).

In the same year, we introduced a Group-wide Climate Risk Strategy program, integrating our existing efforts as well as defining new measures (More information: Climate Risk Strategy program). As a part of this strategy, we are working with our clients to support their transition to low-carbon and climate-resilient business models. We also continue to integrate climate change into our risk management process (More information: Reputational Risk Review Process). This includes evaluating factors such as a company’s greenhouse gas footprint and its energy efficiency objectives, while some of our policies and guidelines require clients to have a plan in place to deal with climate change risks. In 2019, our sector policies and guidelines, which had previously excluded any form of financing for new greenfield thermal coal mines, were updated to also exclude any form of financing specifically related to the development of new coal-fired power plants (More information: Sector policies and guidelines).

We continued our work on addressing the recommendations of the Financial Stability Board’s  () (More information: Implementing the recommendations of the Task Force on Climate-related Financial Disclosures). In that context, Credit Suisse participated in the  Capital Transition Assessment pilot project in 2019, working with other international banks to develop and test methodologies for measuring the alignment of corporate lending portfolios with the . We are also participating in Phase II of the  Banking pilot under UNEP FI, through which a systematic, repeatable and comprehensive approach to assess transition and physical risks in accordance with the  recommendations is being developed. Credit Suisse is also continuously expanding its activities in the area of green finance (More information: Challenge and response on green finance). In our own operations, we have been greenhouse gas neutral on the reported aspects since 2010 and have reduced our greenhouse gas emissions by 70% since 2010 (More information: Environmental management).

Finally, Credit Suisse engages in an ongoing dialogue with NGOs and other actors in the conversation on climate change. The concerns expressed in that context are important. We take a variety of viewpoints on the nature, scope and pace of actions required into account when further developing our approach to addressing this challenge.

All challenges and responses 2019
Reporting on Corporate Responsibility
Through our reporting on corporate responsibility, we inform our stakeholders openly and transparently about the ways in which we address economic, environmental and social challenges in our daily business activities, as well as about the principles that guide us in our work. These principles are set out in our Code of Conduct and in our Conduct and Ethics Standards. They apply to all our activities and to our relationship with our different stakeholders. Further guidance is provided by the Group-wide Statement on Sustainability.

See also:

credit-suisse.com/sustainabilitycommitments
Scope of the report
This report forms an integral part of our Annual Reporting Suite and focuses on the financial year 2019. It explains how our commitments and aspirations in the area of corporate responsibility are put into practice as a key component of our operations, and it provides an overview of our principal activities and milestones in 2019. It also documents the progress we have made in implementing the Ten Principles of the , as well the measures we have put in place to contribute to the achievement of the Sustainable Development Goals.

The contents of the report, along with additional information about our efforts relating to corporate responsibility, are also available at:

credit-suisse.com/responsibility
GRI Sustainability Reporting Standards
Our reporting on corporate responsibility addresses the growing importance of non-financial reporting and the increasing stakeholder demand for relevant information in this area. The  provide a framework for voluntary sustainability reporting, helping to increase transparency and comparability. In line with the , Credit Suisse regularly conducts a materiality assessment to better understand the views and interests of our stakeholders. This report focuses on issues classified as particularly important in the context of the materiality assessment.

Further information:

Structure of the report
Credit Suisse’s 2019 reporting documents on corporate responsibility reflect the  for sustainability reporting (core option). Selected indicators in our GRI-based disclosure on corporate responsibility are externally assessed and independently assured by SGS. Our Corporate Responsibility Report 2019 will be submitted voluntarily to the SIX Swiss Exchange in accordance with the opting-in regulation for companies issuing sustainability reports.

Further details regarding our GRI indicators and the external review are available at:

credit-suisse.com/gri
Implementation of the Ten Principles of the UN Global Compact
Over 10,000 businesses from around 160 countries have pledged to uphold the principles relating to human rights, labor standards, environmental protection and anti-corruption efforts defined in the Ten Principles of the . Credit Suisse has been a signatory to this leading international initiative since its inception in 2000, and we are an active member in the Global Compact Network Switzerland. Through our Corporate Responsibility Report, we communicate annually on the progress we have made in implementing the Ten Principles.

The Ten Principles of the UN Global Compact
Human rights
Businesses should support and respect the protection of internationally proclaimed human rights; and

Implementation at Credit Suisse
Participation in the Thun Group to promote a better understanding of the UN Guiding Principles on Business and Human Rights for the banking sector
Statement on Human Rights
Further information
Respecting human rights
make sure that they are not complicit in human rights abuses.

Implementation at Credit Suisse
Sustainability risk management
Sector-specific policies and guidelines
Further information
Risk management and sustainabilitySector policies and guidelines
Labor
Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining;

Implementation at Credit Suisse
Credit Suisse Staff Council in Switzerland (internal employee representation)
European Works Council
Further information
Attractive working environment and flexible working
the elimination of all forms of forced and compulsory labor;

Implementation at Credit Suisse
Credit Suisse Supplier Code of Conduct and Third Party Risk Management (TPRM) framework
Modern Slavery and Human Trafficking Transparency Statement
Further information
Challenge and response on the topic of human rightsRespecting human rights
the effective abolition of child labor; and

Implementation at Credit Suisse
Sector-specific policies and guidelines
Credit Suisse Supplier Code of Conduct and Third Party Risk Management (TPRM) framework
Further information
Sector policies and guidelinesChallenge and response on the topic of human rights
the elimination of discrimination in respect of employment and occupation.

Implementation at Credit Suisse
Diversity and inclusion
Further information
Diversity and inclusion
Environment
Businesses should support a precautionary approach to environmental challenges;

Implementation at Credit Suisse
Group-wide Climate Risk Strategy program
Statement on Climate Change
Sustainability risk management
Sector-specific policies and guidelines
Signatory to the  ()
Signatory to the Principles for Responsible Investment (PRI)
Addressing the recommendations of the Financial Stability Board’s Task Force on Climate-related Financial Disclosures (FSB )
Signatory to the Poseidon Principles
Further information
Climate Risk Strategy programAddressing climate changeRisk management and sustainabilitySector policies and guidelinesPrinciples for Responsible BankingThe transition to a sustainable world is an investment opportunityImplementing the recommendations of the Task Force on Climate-related Financial Disclosures
undertake initiatives to promote greater environmental responsibility; and

Implementation at Credit Suisse
Global greenhouse gas neutrality since 2010
ISO 14001-certified environmental management system
Activities in the area of conservation finance
Impact Advisory and Finance (IAF) department
Further information
Global greenhouse gas neutrality – our four-pillar strategyEnvironmental managementNature conservation financeImpact Advisory and Finance
encourage the development and diffusion of environmentally friendly technologies.

Implementation at Credit Suisse
Use of climate-friendly energy sources for our operations
Green finance
Renewable energy project financing
Sustainable real estate
Further information
Reducing our environmental footprintChallenge and response on green financeRenewable energy, advisory, capital markets and project financeGlobal Real Estate in Credit Suisse Asset Management
Anti-corruption
Businesses should work against corruption in all its forms, including extortion and bribery.

Implementation at Credit Suisse
Member of the Wolfsberg Group
Internal standards and training for employees
Integrity Hotline
Further information
Responsibility as an employerFinancial integrity
Our contribution to the realization of the Sustainable Development Goals
Sustainable development is a key aspect of our corporate responsibility. Since the introduction of the Sustainable Development Goals (SDGs) by the UN in 2015, we have been pursuing activities designed to contribute to the realization of the SDGs in our role as a global financial institution. In 2019, in the context of our materiality assessment survey, we again consulted with our stakeholders to learn about their perception of Credit Suisse’s most significant impacts on the SDGs. Among the 17 SDGs, Decent Work and Economic Growth (SDG 8), Industry, Innovation and Infrastructure (SDG 9) and Climate Action (SDG 13) were mentioned most frequently. These results confirm our previous priority areas. The following table provides an overview or our wide-ranging activities relating to selected objectives.

Objective
Sustainability indices and ratings assigned to Credit Suisse in 2019
Indices	 	Brief description	 	Credit Suisse
Dow Jones Sustainability World Index (DJSI World)	 	Global best-in-class approach: The top 10% of the 2,500 largest companies in the S&P Global Broad Market IndexSM that lead the field in terms of sustainability.	 	Credit Suisse has been a constituent of the Dow Jones Sustainability World Index since it was launched in 1999.
Dow Jones Sustainability Europe Index (DJSI Europe)	 	European best-in-class approach: The top 20% of the 600 largest European companies in the S&P Global Broad Market IndexSM that lead the field in terms of sustainability.	 	Credit Suisse has been a constituent of the European Index of the Dow Jones Sustainability Indices since it was launched in 2001.
FTSE4Good Index	 	Companies that meet globally recognized corporate responsibility standards.	 	Credit Suisse has been a constituent of the FTSE4Good Index Series since it was launched in 2001.
Ratings	 	Brief description	 	Credit Suisse
CDP	 	CDP represents institutional investors with invested assets of over USD 100 trillion; its aim is to offer transparent guidance to investors on climate-related opportunities and risks for companies.	 	B (rating scale: D– to A)
MSCI ESG Rating	 	MSCI ESG Ratings assess a company’s performance based on environmental, social and governance (ESG) themes, focusing on key ESG issues identified for the industry.	 	BBB (rating scale: AAA to CCC)
SAM Corporate Sustainability Assessment (CSA)	 	The SAM CSA analyzes the sustainability performance of over 4,500 listed companies every year based on environmental, social and governance (ESG) criteria.	 	Overall company score: 68 (rating scale: 1 to 100) (94th percentile); Economic dimension score: 56; Environmental dimension score: 88; Social dimension score: 79
Sustainalytics	 	The sustainability research carried out by Sustainalytics focuses on environmental, social and governance (ESG) criteria.	 	65 points (rating scale: 1 to 100) (70th percentile; rated 108 out of 353)
Sustainability networks and initiatives
Credit Suisse actively participates in a number of sustainability networks and initiatives worldwide.

WSGE_Climate_Bonds_Initiative
WSGE_Equator_Principles
WSGE_Green_Bond_Principles
WSGE_Oebu
WSGE_PRI
WSGE_RSPO
WSGE_UNEP_FI
WSGE_UN_Global_Impact
WSGE_UNEP_Principles
Further information can be found online at:

credit-suisse.com/agreements
Achievements and objectives
Banking
Objectives 2019
Achievements 2019
Continue our efforts to drive a robust compliance culture throughout the bank through targeted measures that take account of the changing operating environment.

Through our Conduct and Financial Crime Control Committee, we continued to actively monitor and assess financial crime compliance risks and drive initiatives focused on vigilance within the context of combating financial crime.

We continued to focus on developing and enhancing our data and technology platforms that contribute to mitigating employee and client risk.

Take steps to address the implications of the UK’s decision to leave the EU in order to minimize disruption to the business and to clients.

In order to provide continued services to EU clients and access to EU markets, we are leveraging our existing legal entity network and, where necessary, transferring our EU clients and EU venue-facing broker-dealer business to Group entities, including those incorporated in Spain, Credit Suisse Securities Sociedad de Valores S.A., and Germany, Credit Suisse (Deutschland) AG.

Focus on generating capital in order to return it to shareholders; our long-term objective is to distribute around 50% of profits to shareholders for 2019 and 2020.

We continued to generate capital and reported an increased common equity tier 1 (CET1) ratio of 12.7% at end-2019. We distributed CHF 1.7 bil­lion of capital to our shareholders last year – including through the successful completion of our CHF 1 bil­lion share buyback program for 2019. We commenced a similar program for 2020 and, prior to the spread of COVID-19, had expected to buy back at least CHF 1 bil­lion of shares this year, subject to market and economic conditions. Having completed the initial share purchases under the 2020 program earlier this year, the Board of Directors will review its expectation for the balance of the program when there is greater certainty over the economic, financial and market outlook.

Develop methodologies and tools for the alignment of credit portfolios with the Paris Climate Agreement, working with other banks.

In 2019, we joined the  Capital Transition Assessment (PACTA) pilot project, recognizing that financial flows also need to be brought in line with the objectives set out in the . Within that project, Credit Suisse is working with other international banks to develop and test methodologies for measuring the alignment of corporate lending portfolios with the . We are also participating in Phase II of the  () Banking pilot under the United Nations Environment Programme, wherein a systematic, repeatable, and comprehensive approach to assess transition and physical risks in accordance with the  recommendations is being developed.

Launch pilot phase to define internal climate risk terminology and measure certain sector exposures against defined climate scenarios.

We have identified several key risks and opportunities, originating from either the physical or transition effects of climate change.

Climate-related risks are embedded in our Group-wide risk taxonomy. They could manifest themselves through existing risk types such as credit risk, market risk, non-financial risk, business risk or reputational risk.

The Group has enhanced its internal reports and is developing further climate risk-related scenario analysis in addition to the 2°C and 4°C scenarios introduced in 2018.

Review and further develop Credit Suisse’s sector policies and guidelines for sensitive industries.

In 2019, we made the following updates to our sector policies and guidelines for sensitive industries:

Update of the Power Sector Guidelines to exclude any form of financing specifically related to the development of new coal-fired power plants.

Inclusion of the concept of Free, Prior and Informed Consent () in our policies on oil and gas, mining as well as forestry and agribusiness in order to better respect the rights of indigenous peoples that may be affected by project-related transactions.

Continue to engage with peers and industry groups for the development of environmental and social (E&S) due diligence approaches and the improvement of E&S disclosure.

We continued our active participation in industry initiatives such as the  and the Thun Group.

Credit Suisse played an active role in the update process of the  and in the ongoing management of the  Association.

At the 2019 Thun Group meeting, Credit Suisse discussed topics such as the OECD Responsible Business Conduct guidelines, effective human rights due diligence and performance measurement and measures to combat modern slavery and human trafficking with representatives from banks, governments, academia, civil society and other actors.

We served as a member of the multi-stakeholder Advisory Group established by the OECD, which aims to develop best practice guidance for human rights and environmental due diligence based on the provisions of the OECD Guidelines for Multinational Enterprises. In 2018 and 2019, the advisory group worked to develop the OECD Due Diligence Guidance for Responsible Corporate Lending and Securities Underwriting, published in October 2019.

In Singapore, we held our ninth annual roundtable on environmental and social risk management practices in investment banking, with participants from 12 different banks.

Objectives 2020
Achieve consistent growth and continued disciplined execution as we work towards achieving our return on tangible equity (RoTE) ambition of approximately 10% for 2020. However, the extent to which COVID-19 impacts our business, including with respect to our financial goals and related expectations and ambitions, is highly uncertain and cannot be predicted at this time.

Continue to leverage existing risk management processes and capabilities for the management of climate risk.

Further develop our Group-wide Climate Risk Strategy program, assessing the readiness of our clients to transition to low-carbon and climate-resilient business activities.

Take steps to implement the UNEP FI .

Economy and society
Objectives 2019
Achievements 2019
Continue to engage in an active dialogue with policymakers and regulators in order to ensure the competitiveness and resilience of the financial sector.

We continued our longstanding dialogue with regulators and policymakers on various policy matters in 2019. Key topics included regulatory cooperation to avoid fragmentation of global standards, introduction of the new Basel III regulations in Switzerland as well as financial institutions’ share of responsibilities in combating climate change by supporting the transition to a low-carbon and climate-resilient global economy. We furthermore continued our engagement in various industry associations on both on a national and international level.

After the success of our global initiatives over the last decade and based on our long-running regional efforts, we want to build on our strengths and continuously adapt to changing needs within society. In 2019, we want to further develop our strategy and processes in the area of corporate citizenship in order to identify trends and issues at an early stage and to align our programs with them as effectively as possible. At the same time, we will strive to further optimize our internal resources.

In 2019, we thoroughly reviewed and updated our global Corporate Citizenship strategy, taking into consideration societal needs and developments in all the regions where we operate. Our newly introduced Future Skills program complements our two global initiatives in the areas of financial inclusion and financial education and is a natural evolution of our longstanding commitment to education in the communities where we live and work. It also helps us to even better leverage the resources at our disposal and to coherently showcase our programs and their impact in the different regions.

Objectives 2020
Provide thought leadership on and advocate proportionate and effective financial market regulation. Continue to engage with policymakers, trade associations and regulators on sustainable finance policy topics, with a particular focus on the EU Action Plan on Sustainable Finance, Swiss sustainable finance developments (e.g. total revision of the CO2 Act post 2020) and other global developments such as ESG disclosure requirements.  

Further develop and establish our Future Skills program by identifying and collaborating with innovative partner organizations who are trying new models, as well as linking the program to core HR activities and thought leadership in the area of workforce development where possible.

Employer
Objectives 2019
Achievements 2019
Strengthen systematic nurturing and development of diverse talent at Credit Suisse.

In 2019, we positioned Credit Suisse as an inclusive employer that attracts and develops diverse talent. We leveraged our messaging from the Employer Value Proposition to communicate our focus on Diversity & Inclusion and we strengthened targeted recruitment campaigns that focus on diverse groups, e.g. our Real Returns program and Campaign for Women. As a result, we were awarded first place in the Diversity Index Switzerland and have been named as one of the top ten best places to work for women. We were also recognized as an «Exemplar of Inclusion» in the 2019 AVTAR.

Continue to foster collaboration and development of our leaders.

In 2019, we increased investment in the systematic development of our key Senior Talent & Leaders. We expanded our Leadership Development curriculum with the launch of the New Managing Director Program and the MD Masterclasses. We also continued the Senior Talent Program for our most senior Managing Director talents and introduced a similar pipeline program – the Emerging Leaders Program – for our Director talents.

Objective 2020
Foster a culture of lifelong learning, and facilitate personalized learning to enable the upskilling of the Credit Suisse workforce in the context of continuous changes in the working environment and digital transformation.

Environment
Objectives 2019
Achievements 2019
Continue support for sustainable soft commodities, including industry standards, peer collaboration, client advisory and disclosure.

We continued to be a member of the Roundtable on Sustainable Palm Oil (RSPO).

We continued to act as a technical advisor to the Zoological Society of London’s Sustainability Policy Transparency Toolkit (SPOTT), and are part of the Technical Advisory Group for the palm oil and the timber and pulp sectors. We also supported the expansion of the SPOTT platform to the natural rubber sector.

Maintain and further develop our ISO 14001 environmental management system (EMS), including continuous improvements in our environmental performance.

We reviewed our ISO14001 documentation and related processes and updated and optimized them where necessary. In particular, we optimized the management and governance of all electronic information using a centralized document management system.

Ensure a successful global ISO 14001 surveillance audit under the direction of the certification company SGS.

We successfully passed the surveillance certification audits according to the ISO 14001:2015 Standard under the direction of the certification company SGS. Credit Suisse did not receive any Corrective Action Requests (CARs) in the 2019 audit.

Continue to increase the green power share of electricity consumed in our operations.

All electricity as well as all gas contracts in which Credit Suisse is a direct contractual partner and which were put out to tender and awarded in 2019 are 100% renewable and therefore in line with our new 2025 environmental objectives. By the end of 2019, our global electricity consumption drew from 90% renewable sources.

Further strengthen the strategy for managing the Group’s operational footprint, including consideration of multi-year environmental objectives.

We have updated and improved our environmental objectives strategy for our operations, in accordance with our environmental management system, our internal policies and our public statements on sustainability and climate change. We have formulated a set of new environmental objectives that we seek to achieve by 2025.

Objectives 2020
Continue our support for sustainable soft commodities, including industry standards, peer collaboration, client advisory and disclosure.

Ensure a successful global ISO14001 surveillance audit under the direction of the certification company SGS.

Roll out the implementation plan for the 2025 environmental objectives in all regions, and measure and report on related 2020 achievements. This includes a particular focus on:

Credit Suisse joining the global RE100 initiative and thereby striving to further increase the green power share of electricity consumed in our operations.
The goal of reducing single-use plastic items and increasing the share of products made from recycled and reusable materials; our goal is to implement a global roll-out at more than 15 major locations by end-2020.
Carbon Trust Standard: Successful recertification for energy and waste management for our UK facilities.

Credit Suisse Annual Reporting Suite
Annual Report
The Annual Report is a detailed presentation of Credit Suisse Group’s company structure, corporate governance, compensation practices and treasury and risk management framework, and it includes a review of Credit Suisse Group’s operating and financial results accompanied by its annual financial statements.

credit-suisse.com/ar
Corporate Responsibility Report
The Corporate Responsibility Report describes how Credit Suisse Group assumes its various responsibilities in banking, in the economy and society, as an employer and towards the environment. The report is available in an online version or as a PDF download. It is complemented by the publication “Corporate Responsibility – At a glance”.

credit-suisse.com/crr
Corporate Responsibility – At a glance
The publication “Corporate Responsibility – At a glance” provides an overview of the most important processes and activities that reflect our approach to corporate responsibility in banking, in the economy and society, as an employer and for the environment. In addition, it contains the cornerstones of our strategy and select figures for the 2019 financial year.

credit-suisse.com/crr
We regard our reporting on corporate responsibility as an important basis for our dialogue with stakeholders and welcome any feedback on our ­activities: responsibility.corporate@credit-suisse.com

Disclaimer/inquiries
Cautionary statement regarding forward-looking information
This report contains statements that constitute forward-­looking statements. In addition, in the future we, and others on our behalf, may make statements that constitute forward-­looking statements. Such forward-looking statements may include, without limitation, statements relating to the following:

our plans, targets or goals;
our future economic performance or prospects;
the potential effect on our future performance of certain contingencies; and
assumptions underlying any such statements.
Words such as “believes,” “anticipates,” “expects,” “intends” and “plans” and similar expressions are intended to identify forward-looking statements but are not the exclusive means of identifying such statements. We do not intend to update these forward-looking statements.

By their very nature, forward-looking statements involve inherent risks and uncertainties, both general and specific, and risks exist that predictions, forecasts, projections and other outcomes described or implied in forward-looking statements will not be achieved. We caution you that a number of important factors could cause results to differ materially from the plans, targets, goals, expectations, estimates and intentions expressed in such forward-looking statements.

These factors include:

the ability to maintain sufficient liquidity and access capital markets;
market volatility and interest rate fluctuations and developments affecting interest rate levels, including the persistence of a low or negative interest rate environment;
the strength of the global economy in general and the strength of the economies of the countries in which we conduct our operations, in particular the risk of continued slow economic recovery or downturn in the EU, the US or other developed countries or in emerging markets in 2020 and beyond;
the emergence of widespread health emergencies, infectious diseases or pandemics, such as COVID-19;
the direct and indirect impacts of deterioration or slow recovery in residential and commercial real estate markets;
adverse rating actions by credit rating agencies in respect of us, sovereign issuers, structured credit products or other credit-related exposures;
the ability to achieve our strategic goals, including those related to our targets, ambitions and financial goals;
the ability of counterparties to meet their obligations to us and the adequacy of our allowance for credit losses;
the effects of, and changes in, fiscal, monetary, exchange rate, trade and tax policies, as well as currency fluctuations;
political, social and environmental developments, including war, civil unrest or terrorist activity and climate change;
the ability to appropriately address social, environ­mental and sustainability concerns that may arise from our business activities;
the effects of, and the uncertainty arising from, the UK’s withdrawal from the EU;
the possibility of foreign exchange controls, expropriation, nationalization or confiscation of assets in countries in which we conduct our operations;
operational factors such as systems failure, human error, or the failure to implement procedures properly;
the risk of cyberattacks, information or security breaches or technology failures on our business or operations;
the adverse resolution of litigation, regulatory proceedings, and other contingencies;
actions taken by regulators with respect to our business and practices and possible resulting changes to our business organization, practices and policies in countries in which we conduct our operations;
the effects of changes in laws, regulations or accounting or tax standards, policies or practices in countries in which we conduct our operations;
the expected discontinuation of LIBOR and other interbank offered rates and the transition to alternative reference rates;
the potential effects of changes in our legal entity structure;
competition or changes in our competitive position in geographic and business areas in which we conduct our operations;
the ability to retain and recruit qualified personnel;
the ability to maintain our reputation and promote our brand;
the ability to increase market share and control expenses;
technological changes instituted by us, our counter­parties or competitors;
the timely development and acceptance of our new products and services and the perceived overall value of these products and services by users;
acquisitions, including the ability to integrate acquired businesses successfully, and divestitures, including the ability to sell non-core assets; and
other unforeseen or unexpected events and our success at managing these and the risks involved in the foregoing.
We caution you that the foregoing list of important factors is not exclusive. When evaluating forward-looking statements, you should carefully consider the foregoing factors and other uncertainties and events, including the information set forth in “Risk factors” in I – Information on the company in our Annual Report 2019.

Important information about this publication
Information referenced in this Corporate Responsibility Report, whether via website links or otherwise, is not incorporated into this Corporate Responsibility Report.

Credit Suisse is subject to the Basel III framework, as implemented in Switzerland, as well as Swiss legislation and regulations for systemically important banks (Swiss requirements), which include capital, liquidity, leverage and large exposure requirements and rules for emergency plans designed to maintain systemically relevant functions in the event of threatened insolvency.

As of January 1, 2015, the Bank for International Settlements (BIS) leverage ratio framework, as issued by the Basel Committee on Banking Supervision, was implemented in Switzerland by FINMA.

Unless otherwise noted, leverage exposure is based on the BIS leverage ratio framework and consists of period-end balance sheet assets and prescribed regulatory adjustments. The BIS tier 1 leverage ratio and CET1 leverage ratio are calculated as BIS tier 1 capital and CET1 capital, respectively, divided by period-end leverage exposure.

We may not achieve all of the expected benefits of our strategic initiatives. Factors beyond our control, including but not limited to the market and economic conditions, changes in laws, rules or regulations and other challenges discussed in our public filings, could limit our ability to achieve some or all of the expected benefits of these initiatives.

References to Wealth Management mean Private Clients within Swiss Universal Bank, Private Banking within International Wealth Management, and Private Banking within Wealth Management & Connected in Asia Pacific or their combined results. References to Wealth Management-related businesses mean Swiss Universal Bank, Inter­national Wealth Management and Asia Pacific Wealth Management & Connected or their combined results.

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Concept and development
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Picture sources: CareerWise New York, City Year UK, Credit Suisse, Dean Jaggy – Luxwerk, Getty Images, ­iStockphoto

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