CHICAGO–(BUSINESS WIRE)–Northern Trust today announced the publication of its latest Sustainability Reporthighlighting environmental, social and governance (ESG) commitments.
“Sustainability is about how we operate as a business and as citizens in the wider global community,” said Chairman and CEO Michael O’Grady. “As we fulfill our mission to be our customers’ most trusted financial partner, we continue to care for the long-term well-being of our employees, customers, shareholders and the communities in which we live and work.”
“We are delighted to share this update on Northern Trust’s approach to advancing sustainability across the board,” said Kimberly Evans, Head of Corporate Sustainability, Inclusion and Impact social. “For example, we provided approximately $236 million last year to underserved communities through community investments and charitable grants. And our efforts never stop to create a diverse and inclusive workplace where people from all backgrounds are respected and valued.
Highlights from the 2021 Sustainability Report include:
Climate Risk Caucus:
We took a closer look at the impact that climate change is having, or could have, on operations, credit terms and regulatory compliance around the world, and created an interdisciplinary group, known as Risk Climate Caucus, to monitor and react to developments. related to climate risk for our organization, ensuring that it is properly taken into account.
Reduction of emissions:
As of December 31, 2021, we have reduced our emissions by more than 69% since our 2015 baseline and reduced our energy consumption by more than 46%. In 2021, most of our employees continued to work from home and business travel remained significantly reduced compared to previous years.
Realizing that climate impacts threaten more than supply chains and physical infrastructure, we have committed to being net zero carbon by 2050, using our 2019 baseline. In the coming months we will provide further details. on our strategy.
We also continue to reduce our carbon emissions, as well as expand the types of emissions we report on, such as the recent additions of water and waste emissions data.
Northern Trust ESG Vector Score™:
Our ESG reporting offers clients a real view of the ESG exposures of their portfolios by providing transparency on ESG-labeled products. We have also added Climate Focus to our ESG Insights, aligned with the Task Force on Climate-Related Financial Disclosures framework, which helps clients monitor and disclose.
We launched eight new exchange-traded funds that use the new Northern Trust ESG Vector Score™ to assess climate risk.
Community Reinvestment Act:
At Northern Trust, we believe that change starts at the neighborhood level, and we use our capital to empower community stakeholders and residents as they revitalize and stabilize communities. We have maintained an outstanding rating under the Community Reinvestment Act for 27 consecutive years. In 2021, we launched new community investments totaling more than $1.4 billion. As of December 31, 2021, our community investment portfolio exceeded $4.5 billion and addresses the following priorities:
$4.2 billion in affordable housing – supporting the creation and maintenance of affordable rental and homeownership housing in partnership with mission-driven lenders and developers.
$179 million in education and social services – providing equity and long-term capital for the development of community and educational facilities and programs such as charter schools, health clinics and daycares.
$220 million in job creation – supporting mission-driven micro-loan origination programs and business expansion and job creation.
Global philanthropic strategy:
In 2021, we continued to advance our philanthropic strategy, focusing our contributions on four key areas proven to have fundamental impact to improve the financial future: excellence in education, food security, accessibility of health care and affordable housing. In 2021, Northern Trust made charitable contributions of $18 million, bringing our total giving over the past decade to $160 million worldwide.
Community engagement opportunities and paid time off for volunteering enhance our communities and put our values into action. Over the past 10 years, our employees have contributed nearly one million cumulative hours of volunteer service.
Diversity, Equity and Inclusion (DE&I):
Northern Trust’s DE&I strategy is designed to develop a diverse workforce, fair policies and practices, and an inclusive culture that reflects our values and enables us to grow as a business. Our strategy focuses on three key areas: fostering accountability, improving development programs and placement, and advancing the culture. These priorities guide our hiring, development, advancement and retention of women and people of color at all levels.
We have embedded these ideals into all business practices, resulting in new initiatives such as Business Diversity360, a program that helps us take a holistic look at our supplier diversity, going beyond ownership.
About Northern Trust
Northern Trust Corporation (Nasdaq: NTRS) is a leading provider of wealth management, asset servicing, asset management and banking services to businesses, institutions, affluent families and individuals. Founded in Chicago in 1889, Northern Trust has a global presence with offices in 23 US states and Washington, DC, and 23 locations in Canada, Europe, the Middle East and the Asia-Pacific region. As of June 30, 2022, Northern Trust had assets under custody/administration of US$13.7 trillion and assets under management of US$1.3 trillion. For over 130 years, Northern Trust has distinguished itself as an industry leader for its exceptional service, financial expertise, integrity and innovation. Visit us on nordtrust.com. follow us on Twitter @NorthernTrust or Northern Trust Corporation on LinkedIn.
Northern Trust Corporation, Head Office: 50 South La Salle Street, Chicago, Illinois 60603 USA, incorporated with limited liability in the USA Global legal and regulatory information is available at https://www.northerntrust.com/terms-and-conditions.