In 2014 the LGT Group defined the sustainability objectives that it intends to meet by 2020. In its recently published Sustainability Report covering the year 2016, the private banking and asset management group owned by the Princely Family of Liechtenstein takes a closer look at what has been achieved to date.
According to the report, a client survey carried out by LGT in the German-speaking countries in 2016 reveals that private banking clients already regard sustainability as “an important issue”. Ethical issues are relevant for more than half of the clients surveyed in Germany but only for around a third of those questioned in Switzerland and Austria. Four out of ten of the clients surveyed in all three countries claim to have already invested in sustainable assets, and around 56 per cent said that the returns from sustainable investments are the same as those from traditional investments.
The LGT Group has been carbon neutral since 2010 and supports a small-scale hydroelectric project in Honduras to offset unavoidable emissions. LGT “excludes securities from companies that generate a significant part of the revenue from tobacco, gambling, arms, pornography or nuclear energy or are involved in child labour”. Also excluded are “companies involved in manufacturing, storing or supplying controversial weapons such as nuclear missiles, land mines, cluster bombs and munitions, or biological and chemical weapons”.
As a family-owned business, it is much easier for LGT to “think and act sustainably and holistically,” said LGT Group CEO Prince Max von und zu Liechtenstein. This is in contrast to companies listed on the stock exchange, which are often under “pressure to achieve good results in the short term”.