24 slides from UBS Emerging Markets Equity Opportunity Fund Class P2's sustainability presentation, May 7, 2021
Slide 1: Sustainability at UBS
Sustainability at UBS This document should be read in conjunction with the UBS Group AG Sustainability Report 2020 and Annual Report 2020 ubs.com/annualreporting 7 May 2021
Slide 2: Important information
Important information Forward Looking Statements: This presentation contains statements that constitute “forward-looking statements,” including but not limited to performance targets, expectations and ambitions, as well as management’s outlook for UBS’s financial performance and statements relating
Slide 3: Sustainability strategy
Sustainability strategy Our commitment Our ambition Our climate strategy We want to be the financial To be a leader in Protecting our own assets provider of choice for clients sustainable finance Limiting risk appetite for carbon-related assets and across all client segments who wish to mobilize cap
Slide 4: Achievements, progress and goals
Achievements, progress and goals 3
Slide 5: Recent announcements
Recent announcements Three focus areas to maximize our impact New governance to drive execution › GEB-level leadership to lead firm wide sustainability and impact efforts › Sustainability targets set for all GEB members Planet: Climate remains at the forefront Net Zero for the 21st century1 People:
Slide 6: Climate Strategy
Climate Strategy i Protecting our own assets 1.9% Limiting risk appetite for carbon-related assets and Exposure to carbon-related assets on our balance estimating our own firm’s vulnerability to climate risks sheet as of 31.12.20, from 2.3% on 31.12.19 ii Protecting our clients' assets 49 Supporting
Slide 7: Actively contributing to a net zero society – decarbonizing across the firm
Actively contributing to a net zero society – decarbonizing across the firm Financing Investing Operations › Founding signatory of the Net Zero Banking › Founding signatory of the Net Zero Asset › Targeting net zero scope 1 & 2 emissions by 2025 Alliance (NZBA) Managers initiative: › RE100 goal met
Slide 8: Climate-related lending standards in the energy and utilities sectors
Climate-related lending standards in the energy and utilities sectors Coal-fired power plants No project-level finance to new coal-fired power plants globally. Financing of existing coal-fired operators (>20% coal reliance) subject to a transition strategy that aligns with the goals of the Paris Agr
Slide 9: Transparency on our climate strategy – climate-related metrics (TCFD)
Transparency on our climate strategy – climate-related metrics (TCFD) Climate-related metrics 2020 For the year ended % change from 31.12.20 31.12.19 31.12.18 31.12.19 Risk management Identified significant climate-related financial risk on balance sheet None None None Carbon-related assets (USD bil
Slide 10: Transparency on our climate strategy – exposure to climate-sensitive sectors (TCFD)
Transparency on our climate strategy – exposure to climate-sensitive sectors (TCFD) UBS corporate lending to climate-sensitive sectors, 20201,2 Inventory of exposure to transition-risk-sensitive sectors, across the Investment Bank and Personal & Corporate Banking As of 31.12.20 Share of total exposu
Slide 11: Continued growth in sustainable investing assets
Continued growth in sustainable investing assets 4,187 Invested assets 2020 2016-2020 GWM+AM+P&C YoY CAGR 3,607 3,394 Other +9% +2% 3,262 3,101 3,119 Core SI +62% +45% 7 Third-party sustainable (13%) (7%) 132 Exclusions +153% +9% 3,080 2,788 13 Impact investing +44% +47% 9 52 Core SI: 9 793bn 513 In
Slide 12: 2020 was a pivotal year for sustainable finance at UBS
2020 was a pivotal year for sustainable finance at UBS Sustainable investments Extended suite of 100% of Swiss Established UBS Hub for preferred for GWM Climate Aware strategies retirement savings funds Sustainable Finance clients investing globally in Asset Management in sustainability-focused stra
Slide 13: Driving forward the group diversity, equity and inclusion agenda
Driving forward the group diversity, equity and inclusion agenda Strategic priorities 2025 ambitions Focus on increasing female representation in Director+ roles Gender through hiring, promotions and retention and continue leadership in key gender diversity rankings Female representation 30% at Dire
Slide 14: Continued focus on operational risks
Continued focus on operational risks Operational resilience during COVID-19 Continued focus on › Continued to serve clients without material impact on business sustainable remediation and resolution of Employee conduct is a central consideration in the annual compensation process underlying root cau
Slide 15: Robust Cyber and Information Security (CIS) program
Robust Cyber and Information Security (CIS) program CIS governance structure CIS threat defense Cyber & Information Security Governance Board 1. Analyze - support business decisions and prioritization Co-chaired by Group COO & Group Head Compliance, Regulatory & Governance through a lens of business
Slide 16: External awards and recognition
External awards and recognition Industry leader Index member of DJSI World and DJSI Europe A+ score in the Strategy Market leading position in Index member Corporate responsibility and Governance module 2020 GRESB assessments prime status Ranked first globally by our peers for ESG and Impact Investi
Slide 17: Appendix
Appendix 3 UBS
Slide 18: Our long history in sustainability
Our long history in sustainability 1954 1997 2006 2014 2017 2019 2021 Beginnings of UBS First Socially Introduction of Founding UBS in UBS Asset Banning project- Commitment to Community Affairs Responsible comprehensive Society, a program to Management level financing on net zero scope 1, at Wealth
Slide 19: Climate risk heatmap
Climate risk heatmap Heatmap of climate-sensitive sector exposure Numbers in USDm unless otherwise indicated; refer to the Sustainability Report 2020 for further information 18
Slide 20: Our approach to tax matters
Our approach to tax matters UBS Code of Conduct and Ethics Five key Principles ˮ We pay and report all taxes due. We report information 1. UBS will fully comply with tax laws in a principled manner; relating to our own tax position and that of our clients and employees as required. We will not help
Slide 21: Our standards – overview (environmental and social risk policy framework)
Our standards – overview (environmental and social risk policy framework) Controversial activities Areas of concern Where we will not do business Where business is subject to stringent criteria › UNESCO world heritage sites Soft commodities: Extractives: › Wetlands on the Ramsar list › Palm oil › Ar
Slide 22: Key terms and definitions
Key terms and definitions SDGs The 17 United Nations (UN) Sustainable Development Goals (SDGs) of the 2030 Agenda for Sustainable Development apply universally to all. With the SDGs, countries are mobilizing efforts to end all forms of poverty, fight inequalities and tackle climate change, while ens
Slide 23: Reimagining the power of investing. Connecting people for a better world.
Purpose Reimagining the power of investing. Connecting people for a better world. Client promise Vision Strategic imperatives Personalized Convene THE global ecosystem for Clients, Connections, Contributors Relevant investing where thought leadership On-time is impactful, people and ideas are Focus
Slide 24: Cautionary statement regarding forward-looking statements
Cautionary statement regarding forward-looking statements This presentation contains statements that constitute “forward-looking statements,” including but not limited to management’s outlook for UBS’s financial performance and statements relating to the anticipated effect of transactions and strate