1.1. Describe (high-level) your bank’s business model, including the main customer segments served, types of products and services provided, the main sectors and types of activities, and where relevant the technologies financed across the main geographies in which your bank has operations or provides products and services.

As a world leading bank, we are committed to delivering our financial experience and expertise to corporate, institutional and government clients as well as to ultra-high-net-worth individuals worldwide, in addition to affluent and retail clients in Switzerland.

Founded in 1856, Credit Suisse today has a global reach, with operations in around 50 countries and a workforce of over 50,000 employees (full-time equivalents).

In 2020, we announced our inaugural bank-wide purpose statement: “We build lasting value by serving our clients with care and entrepreneurial spirit.”

Throughout 2021, our balanced business portfolio encompassed three regionally focused divisions, along with our global Investment Bank division and our Asset Management business, which was established as a separate division during the year, emphasizing its strategic importance for the bank and its clients. Our business divisions cooperate closely to provide holistic financial solutions, including innovative products and specially tailored advice.

Annual Report 2021, “Strategy – Organization Structure

Sustainability Report 2021, “Our company,”

Our company (Website)

1.2. Describe how your bank has aligned and/or is planning to align its strategy to be consistent with and contribute to society’s goals, as expressed in the Sustainable Development Goals (SDGs), the Paris Climate Agreement and relevant national and regional frameworks.

Credit Suisse strives to create sustainable value for all its stakeholders. We do so based on our broad understanding of our duties as a financial services provider and employer and as an integral part of the economy and society. Our approach also reflects our commitment to protecting the environment. This approach is supported by our Purpose Statement and our Code of Conduct, revised in 2021 to fully align with our cultural values.

In 2020, we launched our Sustainability, Research & Investment Solutions (SRI) function to enable the next stage of our own sustainable journey and facilitate those of our clients. Through the launch of SRI, we brought together our existing ESG activities, our CIO investment capabilities, our research teams and our branding and marketing activities under one umbrella in order to deliver sustainable investment advice and solutions to our clients. However, starting in January 2022, the Group was reorganized into four divisions and four geographic regions. The broader restructure of the Group also included the reorganization of our sustainability function. Our new organizational structure is designed to ensure that ESG standards are embedded across regions and divisions in our client-based solutions as well as in our own operations as a company.

We appointed Emma Crystal as our Chief Sustainability Officer reporting directly to our CEO. The Chief Sustainability Office harnesses the full strength of our long-established Sustainability Strategy, Advisory and Finance (SSAF) group. SSAF supports the creation of a cohesive and dedicated sustainability offering across the bank. Our Chief Sustainability Officer is responsible for the implementation of our Sustainability Strategy which spans delivering sustainable solutions, enabling client transitions, engaging with thought leadership, driving our own transition and adapting our culture and engagement.

Credit Suisse made a commitment in 2020 to pursue a 2050 net zero emissions goal that is underpinned by science-based targets. This goal is aligned to the Paris Agreement objective. In 2021, Credit Suisse articulated its framework and approach to tackle climate change in its Global Climate Change policy.

As a global bank, we play a key role in directing capital to finance the UN Sustainable Development Goals (SDGs), for example the implementation of our commitment made in 2020 to provide at least CHF 300 billion of sustainable finance by 2030.

Code of Conduct (PDF)

Statement on Climate Change (PDF)

Statement on Human Rights (PDF)

Sustainability Report 2021:

– Our new structure

– Sustainability governance

– Our role in addressing climate change

– Task Force on Climate-related Financial Disclosures

– UN SDG-specific content

2.1 Impact analysis conducted including:

a) Scope:

b) Scale of exposure:

c) Context & relevance:

d) Scale and intensity/salience of impact:

(bank should have engaged with relevant stakeholders to help inform your analysis under elements c) and d))

Identification of most the significant impacts & strategic business opportunities

As reported in 2020, Credit Suisse completed an impact analysis exercise using the UNEP FI Portfolio Impact Analysis tool (UNEP FI Tool). For more information on the methodology, please refer to the UNEP FI “Guide to Holistic Impact Analysis” (October 2020).

The analysis highlighted impact areas for each business line as well as the country needs, and positive and negative impacts associated with relevant sectors and activities as defined by the UNEP FI Tool.

Based on our analysis of the corporate and investment banking portfolio, and based on our continued dialogue with relevant stakeholders (e.g. investors, clients, NGOs, regulators), we determined resource efficiency, climate, and biodiversity and ecosystems as areas with potential negative impacts.

In line with the outcome of the impact analysis, Credit Suisse implemented targets as defined in section 2.2.

Sustainability Report 2020, p.97

UNEP FI Guide to Holistic Impact Analysis (Website)

UNEP FI Portfolio Tool (Website)

In 2020, we conducted an impact analysis as required by the Principles which has been used to inform the Bank’s commitments and goals. We aim to update the impact analysis periodically, with 2022 being the next analysis year.

2.2 Target setting: SMART targets, linked to SDG/Paris/other, baseline, impacts of targets on other dimensions and mitigation

Acknowledging the outcomes of the impact analysis and other factors driving the sustainability agenda, we have made commitments and targets relating to both Climate and Sustainable Finance Activities.

Climate

In December 2020, Credit Suisse announced its 2050 net zero emissions ambition and committed to develop interim 2030 science-based reduction goals for key sectors. The first of these sector climate strategies was set in 2021, with the remainder expected by the end of 2022. In doing so, we have sought to align with the draft technical guidelines of the Science Based Targets initiative (SBTi) and the Net Zero Banking Alliance NZBA. In 2021, Credit Suisse articulated its framework and approach to tackle climate change in our internal Global Climate Change Policy. This policy outlines our commitment to align our business strategy with the Paris Agreement and provides a robust framework for managing climate change, leveraging both our Client Energy Transition Frameworks (CETF) and Sector Policies and Guidelines.

Sustainable Finance

We are committed to partnering with our clients to catalyze funding towards the UN SDGs and we recognize the financial markets can provide powerful incentives for change. In 2020, Credit Suisee made an ambitious commitment to provide at least CHF 300 billion of sustainable finance by 2030.

Biodiversity

Biodiversity-related issues are considered in our risk management processes, which are periodically revised, and we have additionally identified biodiversity as a strategic business opportunity in order to increase our positive impacts and we are working with market stakeholders to develop the necessary metrics, frameworks and methodologies to enable potential future target setting.

Sustainability Report 2021:

– Our role in addressing climate change

– Sustainable Finance

– Biodiversity and natural capital

We have focused on implementation of our ambitious climate change and sustainable finance commitments and goals. We continue to work with market stakeholders to develop the necessary metrics, frameworks and methodologies to enable potential future target setting around biodiversity.

2.3. Plans for target implementation and monitoring: actions & milestones, means to measure and monitor progress, KPIs

Climate

Achievement of net zero requires more than commitments. It requires thoughtful planning, strategies and, foremost, action. As part of our ambition to achieve net zero across our operations, supply chain and financing activities by 2050, we have initiated the work required to measure our total emissions. Our ambition to achieve net zero will be underpinned by interim 2030 science-based goals across our financing activities, operations and supply chain. To underpin our net zero ambition in relation to financing activities, we are developing interim 2030 science-based goals for each key sector and defining the corresponding transition strategies that are required to enable these goals. We work with all our business divisions and across client portfolios to develop our sector transition strategies.

Sustainable Finance

During 2021, we released in-depth information on the methodology we developed to illustrate how we count transactions toward the commitment of at least CHF 300 billion of sustainable finance by 2030. Recognizing the need to provide a credible and wide-ranging framework underscoring this commitment, we created the Sustainable Activities Framework (the “SAF”).

Our SAF is:

Grounded in industry best practice and widely accepted frameworks such as the EU Taxonomy, International Capital Markets Association (ICMA) Green and Social Bond principles and Climate Bonds Initiative (CBI)

Aligned with other Credit Suisse frameworks and the UN SDGs

Wide-ranging, covering Green, Transition and Social activities with specific reference to themes such as biodiversity

Externally verified with third-party opinion

Governed by internal controls including a transaction-by-transaction review before inclusion towards the CHF 300 billion goal

At Credit Suisee we strive to provide credible transparency on how we are accounting for our progress towards our commitments and hence will be reporting at least annually on the progress towards our goal.

Sustainability Report 2021:

– Our role in addressing climate change

– Sustainable Finance Activities

Credit Suisse has embedded internal governance structures and project teams to work on the implementation of climate and sustainable finance commitments and goals. Given the critical need to efficiently allocate limited resources to the most pressing sustainability challenges, we believe that by focusing our efforts on delivering on our current commitments we will ultimately be best placed to accelerate the setting of additional targets in the future.

2.4. Progress on implementing targets

For each target separately:

Show that your bank has implemented the actions it had previously defined to meet the set target.

Or explain why actions could not be implemented/needed to be changed and how your bank is adapting its plan to meet its set target.

Report on your bank’s progress over the last 12 months (up to 18 months in your first reporting after becoming a signatory) towards achieving each of the set targets and the impact your progress resulted in (where feasible and appropriate, banks should include quantitative disclosures)

Climate

To reduce environmental impacts and lower costs, we implement a variety of measures through our environmental management system (EMS), which is certified globally with the ISO 14001:2015 standard. Our emissions are tracked on the basis of ISO 14001 and achievements against this standard have been driven by implementing energy efficiency measures across our premises, increasing renewable energy supply and reducing travel emissions. The COVID-19 pandemic continued to have profound impacts on our operations in 2021, as most employees worked remotely, therefore contributing to reductions in office energy consumption, resource consumption and business travel.

Sustainable Finance

We hold ourselves to a robust standard of accountability on tracking our progress towards our sustainable finance commitments. Transactions executed during 2020 and 2021 that have been reviewed and approved as of January 26, 2022 as qualifying for inclusion towards the overall sustainable finance commitment of CHF 300 billion amount to CHF 60 billion in aggregate.

Sustainability Report 2021:

– Reducing our operational footprint

– Sustainable Finance Activities

Credit Suisse continues to progress our climate and sustainable finance commitments, holding ourselves to a robust standard of accountability regarding our progress tracking.

3.1. Provide an overview of the policies and practices your bank has in place and/or is planning to put in place to promote responsible relationships with its customers. This should include high-level information on any programs and actions implemented (and/or planned), their scale and, where possible, the results thereof.

In January 2021, we launched our new Code of Conduct, which describes our purpose and values and includes focus on serving our clients. Credit Suisse believes in establishing long-term relationships based on trust and integrity between our relationship managers and clients. When providing advice to our clients regarding one or more transactions involving financial instruments, we assess the suitability and appropriateness of such transactions.

Going forward, our new organizational structure is designed to ensure that ESG standards are embedded across regions and divisions in our client-based solutions as well as in our own operations as a company.

Our risk processes enabled us to take account of the potential wider implications of our business activities and products and services, for example on the environment and society. To assess potential transactions with clients or prospects in industries that are particularly sensitive from a social or environmental perspective (including impacts on the climate), we have defined specific policies and guidelines that are globally applicable.

Code of Conduct (PDF)

Sustainability Report 2021

– Consumer and investor protection

– Focus on clients

– Client skills and sustainability training

– Risk management/Sustainability risk management

– Sector policies and guidelines

3.2 Describe how your bank has worked with and/or is planning to work with its clients and customers to encourage sustainable practices and enable sustainable economic activities. This should include information on actions planned/implemented, products and services developed, and, where possible, the impacts achieved.

We are committed to partnering with our clients to catalyze additional funding that will help create a positive impact on the environment and society. Our Sustainable Activities Framework, published in 2021, delivers a robust and credible framework to define green, transition and social financing, and to encourage our clients to consider these factors when engaging with us. To engage with our Private Bank clients on sustainability, as per SFDR guidance, in 2021 we launched a template which takes private clients’ sustainability preferences into consideration at least annually when engaging with Credit Suisse relationship managers.

Our sustainable product offering is informed by our Credit Suisse Sustainable Investment Framework, which outlines our investment approach across the sustainable investment strategies of exclusion, integration and thematic and impact-aligned and investing strategies.

In the context of our sustainability risk reviews and our Climate Risk Strategy program, we engage with our clients to understand their approach to managing environmental and social risks as well as their transition strategy. For example, as part of our Client Energy Transition Framework (CETF), Credit Suisse supports clients to transition their business models towards low-carbon and climate-change resilient business operations. We are working to develop various metrics that allow us to consistently measure and monitor our portfolios and alignment against our climate commitments.

Sustainability Report 2021:

– Sustainability risk review

– Governance for sustainable products and services

– Climate risk governance and organization

– Sustainable products and services

– Credit Suisse Sustainable Investment Framework

Global ESG Investment Principles (PDF)

Credit Suisse Engagement Policy Statement (PDF)

4.1 Describe which stakeholders (or groups/types of stakeholders) your bank has consulted, engaged, collaborated or partnered with for the purpose of implementing these Principles and improving your bank’s impacts. This should include a high-level overview of how your bank has identified relevant stakeholders and what issues were addressed/results achieved.

We understand the importance of engagement with various stakeholders – from clients, employees and investors to policymakers, legislators, regulators and representatives of the business community and society – to understand the issues that are important to them and to help find constructive solutions to current challenges.

As we continue to develop and embed our sustainability risk management practices, we engage in dialogue with a range of stakeholders. This includes our ongoing exchange with NGOs and other actors in the conversation on sustainability risk management and climate change topics, as well as our active participation in industry initiatives and contribution to thought leadership.

Credit Suisse engages in a number of initiatives which drive measurement, disclosure and integration of biodiversity considerations in business processes within the financial sector and beyond.

Sustainability Report 2021

– Dialogue and knowledge-sharing

– Thought leadership

Ongoing dialogue with stakeholders (Website)

Network & partnerships (Website)

Sustainability networks and initiatives (Website)

5.1. Governance structures, policies and procedures to manage impacts and support PRB implementation

The announcement and appointment of a dedicated Sustainability representative on the Board of Directors, and the creation of the Sustainability Advisory Committee as part of the bank’s ambition has allowed Credit Suisse to integrate sustainability into its strategy. In 2020, the bank established a Sustainability Leadership Committee (SLC) with senior representatives from each division and control function to drive and execute our strategy and assist with considerations for PRB.

Alignment with PRB principles is underpinned by the Chief Sustainability Officer, and a Group Head of Reputational Risk, Sustainability and Climate Risk.

The Sustainability function in 2021 included a Risk Management Committee (RMC) and Divisional Client Risk Committee (DCRC) to ensure independent review and challenge from across the second line of defense.

Going forward, our new organizational structure is designed to ensure that ESG standards continue to be embedded across regions and divisions in our client-based solutions as well as in our own operations as a company.

Sustainability Report 2021:

– Sustainability governance

– Climate risk governance and organization

Code of Conduct (PDF)

Statement on Climate Change (PDF)

Statement on Human Rights (PDF)

5.2 Describe the initiatives and measures your bank has implemented or is planning to implement to foster a culture of responsible banking among its employees. This should include a high-level overview of capacity building, inclusion in remuneration structures and performance management and leadership communication, among others.

The Credit Suisse Code of Conduct, launched in 2021, underpins many of our control and human capital processes and policies at Credit Suisse. It reflects what we expect from employees and what our stakeholders expect from Credit Suisse, as well as explaining how we want to interact within Credit Suisse and with the world around us.

To ensure that we are continuously informed of the latest regulations and industry standards, our employees are required to participate in an annual targeted and tailored training curriculum. The training program includes, but is not limited to, developments in the finance industry and internal best practices for continued compliant growth.

Aligned with our purpose to build lasting value by serving our clients with care and entrepreneurial spirit, over 13,000 participants joined our sustainability trainings in 2021. In addition, we built a sustainability learning portal on our online learning platform that is accessible to all employees. We provided curated content on foundational knowledge in ESG, about sustainability in client advice both on the investment and the financing side, and held our inaugural Credit Suisse Sustainability Week in June 2021.

ESG considerations are integrated into various stages of Credit Suisse’s compensation process; for example, the non-financial component of Executive Board annual awards includes the consideration of ESG factors, particularly the integration of ESG into investment processes, client satisfaction, corporate responsibility, talent management, diversity and inclusion, compliance, risk management, and conduct and ethics.

Code of Conduct (PDF)

Sustainability Report 2021:

– Advancing our human capital approach

5.3 Governance structure for implementation of the Principles (target setting, actions, remedial actions)

The Global Sustainability Department, led by the Chief Sustainability Officer, sets the sustainability strategy, incorporating PRB, and the Sustainability Leadership Committee (SLC) members are charged with embedding the strategy in their divisions and corporate functions. For remediation, the function led by the Chief Sustainability Officer also assists the second line in ensuring that our sustainability governance is embedded into the business and that it oversees our sustainability frameworks which help govern our sustainable activities and investments. And our internal audit function acts as a third line function for the same.

Alignment with PRB principles continues to be underpinned by the appointment of a Chief Sustainability Officer and a Group Head of Reputational Risk, Sustainability and Climate Risk.

Sustainability Report 2021:

– Sustainability governance

The Sustainability Leadership Committee holds responsibility for the implementation of the Principles for Responsible Banking. Having the mandate to develop such strategic decisions, the SLC is well placed to guide and assess the progress of the PRB targets.

6.1. Progress on implementing the PRB, including:

consideration of good practices

work on changes in practices in line with good practice

In 2021, Credit Suisse undertook a wide range of activities that reflect its commitment to sustainability, and we made a number of important achievements towards further embedding environmental, social and governance (ESG) considerations in various aspects of our business endeavours.

Please see “2021 Highlights” for a list of examples, such as;

Joined the Net Zero Banking Alliance

Made commitment to 2030 and 2050 carbon reduction goals for oil, gas and coal financing, aligned to 1.5°C Net Zero Ambition.

Created the Credit Suisse Sustainable Activities Framework to provide transparency, rigor and accountability when assessing whether individual transactions should qualify towards our commitment for Sustainable Finance.

Incorporated more clearly defined ESG metrics into Executive Compensation.

Sustainability Report 2021

– 2021 sustainability highlights at Credit Suisse

– Sustainability governance

– Sustainability networks and initiatives

We have made progress on implementing the PRB, embedding governance structures and project teams to deliver on our commitments and goals. Throughout 2021, we delivered a wide range of activities that reflect our commitment to sustainability.