Performance mandate and sustainability
The values of “integrity” and “respectfulness”, which are anchored in the LLB Group’s guiding principles, underpin our actions. We realise that we have a social responsibility towards our employees, our clients and society. We make every effort to keep our ecological footprint as small as possible.
Sustainable business management is part of the performance mandate and the principles governing the corporate strategy of Liechtensteinische Landesbank. We are legally bound thereby to our majority shareholder, the Principality of Liechtenstein: according to Article 3 of the Law on the Liechtensteinische Landesbank (LLBG) of 21 October 1992 and under the investment strategy of the Government of the Principality of Liechtenstein of 22 November 2011, LLB is mandated with the social responsibility of promoting Liechtenstein’s economic development while at the same time still taking ethical and ecological factors into account. We fulfil our mandate by offering a diverse portfolio of products and services, applying environmental standards to infrastructure and procurement, and engaging broadly in society.
In dialogue with stakeholder groups
For the LLB Group, sustainability as a corporate responsibility means meeting the expectations of the different internal and external stakeholder groups.
We are in regular dialogue – personally, by electronic media, or at information meetings, working sessions, roadshows or conferences – with the different stakeholders who affect the course of our business and over whom we have influence (see chapter “Marketing and communication”).
The stakeholder groups are in particular:
- Clients
- Principality of Liechtenstein
- Shareholders
- The public
- Partners and non-governmental organisations (NGOs)
- Employees
Material topics
Up to now, the thematic focus of our reporting has been based on a materiality matrix that was created in 2015 and slightly revised in 2018. In recent years, however, LLB’s business, the stakeholders’ expectations and the regulatory environment have evolved significantly. We decided to fundamentally revise the materiality matrix so as to ensure our reporting still meets the needs of our key stakeholder groups and also reflects the business reality of LLB today. The inclusion of various stakeholder groups should also make it possible to use the results from the materiality matrix as input for developing our new corporate strategy.
The material topics were determined on the basis of the requirements of Liechtenstein’s Persons and Companies Act (PGR) and the GRI standards using three different assessment dimensions:
- Business relevance
- Stakeholder relevance
- Impact on sustainable development
Business relevance indicates how important LLB’s activities in relation to a specific topic are for the company’s business success in the short, medium and long term. It was determined at a workshop of LLB managers.
Stakeholder relevance expresses how strongly a specific topic influences the stakeholders (e. g. clients, employees, investors, analysts, authorities, society) in terms of their assessment of LLB and their decisions in regard to LLB. It was determined through interviews with representatives from the key stakeholder groups.
The dimension of “Impact on sustainable development” shows how strongly LLB’s activities in relation to a specific topic have a lasting influence on macrosocial progress (economic, social and ecological). It was assessed as part of an internal analysis and validated by external experts.
Value-based action
The values of “integrity”, “respectfulness”, “excellence” and “pioneering” (see chapter “Strategy and organisation”) form the basis for the corporate management of the LLB Group.. Our internal Code of Conduct provides a reliable guiding framework for the value-based and responsible actions of all employees (see chapter “Employees”). We are client-oriented and, as such, are investing in the further development of the physical and electronic contact points (see chapters “Retail & Corporate Banking”, and “Corporate Center”). Here we pay particular attention to meeting our clients’ security needs and our data protection standards for the use of the various distribution channels at all times (see chapter “Finance and risk management”).
Materiality matrix for sustainability topics
Risk management
Effective risk management, that means permanent and systematic monitoring to minimise risk, contributes decisively to responsible and transparent corporate governance (see chapter “Finance and risk management”). By specifying a future-oriented risk strategy, the Board of Directors establishes the guidelines for dealing with risks. In addition, it continues to develop corporate governance on an ongoing basis (see chapter “Corporate governance”).
The applicable laws, directives, guidelines and market standards as well as supervisory and internal regulations form an essential base. Group Legal & Compliance advises the business areas, identifies and analyses compliance risks, and ensures that all staff comply with the Code of Conduct (see chapter “Strategy and organisation”).
Contribution to the sustainable development of Liechtenstein
The LLB Group is involved in different cultural, environmental and social areas (see section “Sponsoring”). According to our legally defined performance mandate, our core task is to promote Liechtenstein as a workplace. In doing so, we contribute to the prosperity of people (see chapter “Retail & Corporate Banking”).
This page includes, inter alia, the following GRI standard disclosures: 102-47. A complete list of all disclosures presented in the report can be found in the GRI Content Index.