|Date joined:||4 May, 2018|
|Initiatives:||Principles for Responsible Banking|
Kommunal Landspensjonskasse gjensidig forsikringsselskap (KLP) is the parent company of the KLP Group. KLP was established in 1949, by and for the public sector to service this market’s need for occupational pension schemes. The company is still mutually owned, mainly by Norwegian municipalities and healthcare enterprises. Its head office is in Oslo, Norway. As a result of the ownerstructure, the way KLP runs its business will have a direct impact on how the owners can discharge their social obligations to society.
The Group’s total comprehensive income gives a profit of NOK 1.4 billion in 2017. In the course of 2017, the owners’ equity in the Group increased by NOK 1.7 billion to NOK 29.6 billion. Of this, NOK 1.4 billion came from owners’ equity contributions. The Group’s total assets under management (AUM) increased by NOK 56.1 billion to NOK 652.2 billion at the end of 2017. The increase is mainly the result of growth in the pension customers’ funds as a result of new pension accumulation and good results.
KLP aims to contribute to sustainable development and to integrate sustainability into all of its business processes. The company exists to manage and develop assets for current and future generations.
KLP’s sustainability/sustainable finance strategy
KLP’s main sustainability objective is to provide secure and competitive pensions in a responsible and sustainable manner. Our work is based on international standards such as UN Global Compact, and we are open about how we work, what we invest in, and what we do not invest in. We believe responsible business practice is the key to sustainable development. Our aim is to make a difference.
In 2017, the company adopted a new strategy for sustainability. The corporate strategy has five focal points, and sustainability is now one of them, making it a top priority. Four pillars underpin KLP’s sustainability strategy; international standards, openness, cooperation and a systematic approach.
Why the organization joined UNEP FI
UNEP Finance Initiative has a number of projects that are relevant to KLP on subjects such as sustainable real estate investments, necessary funding to achieve the UN sustainable development goals and climate-related financial risk.
“KLP aims to be a leader when it comes to sustainability. Membership in UNEP FI will help strengthen our expertise in this field. It will also give us an opportunity to share data, methods and mindset with others in the industry. That way they can learn from us, and we from them.” says CFO, Aage Schaanning. He continues; “The membership of UNEP FI extends widely across several business areas in KLP, and therefore this was an interesting choice for us. The initiative is useful in strengthening our efforts to ensure long-term value creation and contribute to a positive change in society.”
Links to the latest Sustainability/Integrated Reports and web pages:
Link to Annual Report 2017
Link to sustainability web pages