Concern for the environment: in-house and beyond

Operational management geared to protecting the environment
The new headquarters building, Les Acacias, has been recognized by the Canton of Geneva for its exemplary energy efficiency.

More about "Les Acacias" building



Among the specific features of the building are:

• no use of PVC or polyurethane
• no use of halogen in electrical systems
• solar panels for winter heating
• a thermal energy consumption index 30 per cent below the standard required for new buildings in Switzerland
• 95 per cent of all light bulbs are low energy
• 65 per cent of the thermal energy generated inside the building is recovered and reused "free".

Our environmental policies also cover procurement. For instance,

• all business paper comes from sources certified by the Forest Stewardship Council (FSC)
• all paper consumed is chlorine-free and recycled (300 tonnes/year).

We have recently decided to expand our definition of in-house operations to cover the worldwide business flights of Pictet. Of all the activities of an asset management company, business flights are among the largest contributors to greenhouse gases. We will therefore offset our worldwide business flights with effect from 1 January 2006, using offset mechanisms which to the best of our knowledge are reliable and effective. We will further aim to cut the volume of business travel by making extensive use of video-conferencing.

We intend to promote the Bank's sustainability strategy among employees by initiatives to raise awareness of important environmental issues, by running surveys to measure employee satisfaction and by encouraging contributions to environmental and social projects supported by the Bank.

We have actively raised awareness of senior managers of the Bank and clients through two recent conferences. In September 2006 we dedicated an entire two-day gathering to the issue of climate change, inviting experts, including Professor Tim Flannery, author of the acclaimed book "The Weather Makers", to speak to employees about the subject and holding a range of workshops to discuss the Bank's response, both in investment products and as an organisation. In 2007 and beyond we have plans for a succession of events that build on our work so far.

An asset manager's environmental responsibility does not end inside the office. In our sustainable investment products in particular we aim to align our investment policy with our long-term environmental goals (for further information see section on Sustainable Investment).

Integrating SRI
Other than our specialist SRI products, we manage active equity and fixed income products that invest in a range of countries with varying degrees of environmental, social and corporate governance standards. To follow a uniform policy on such matters would be impractical, but we believe that the best performing companies are likely to be those which have a regard for the social and environmental impact of their businesses. Therefore, in our research and analysis, we will naturally tend to take into account such factors in our assessment of the long-term prospects of those companies.

Investment resources
On the investment side, there are currently three senior investment managers and several dedicated investment analysts concerned with sustainable theme investing, while a total of eight people of similar experience are involved in the design and the management of broadly diversified sustainable portfolios.