Since HIP’s March 2008 Investor Roundtable on Banking, we have new information to share with you - and highlight a sustainable bank’s HIP commitments:

First, two financial institutions featured in HIP’s 10 HIP Places to Park Your Cash list have since received recognition as leaders in sustainable banking:

  • New Resource Bank was a featured employer in a Fortune magazine feature on Great Green Careers (“Earth friendly jobs aren’t just about organic farming and installing solar panels. Meet the carbon traders, eco-bankers and corporate climate strategists shaping the new green economy.”) New Resource Bank opened in 2006 with around $25 million in capital and now has assets of more than $130 million (Inc.com).
  • ShoreBank Pacific’s was recognized by Washington CEO magazine with a Green Washington Award as the “greenest” financial organization in the state. Out of 140 applicants in 12 categories, ShoreBank Pacific was selected amongst 25 Washington other companies honored at the inaugural awards event. At the end of the first quarter of 2008, ShoreBank Pacific had accumulated earnings of $252,000 and their assets had grown by 16% in to $175 million (banking-business-review.com).

Across the Atlantic, on June 3 the Financial Times’s Sustainable Banking Awards recognized Banco Real with its Sustainable Bank of the Year Award. In 2003 the bank restructured, beginning by reformulating both its vision and mission statement for banking in the 21st century.

Ever since, Banco Real has become an industry leader in sustainability and performance by bringing all stakeholders into focus and innovating to solve human problems. Banco Real has a diverse leadership that represents the clients they serve and they are actively tapping into emerging markets by offering a variety of products to serve micro-enterprise and low-income borrowers.

Banco Real made over 70,000 microfinance loans to small businesses across 200 municipalities last year, and established sustainability programs in each and every business unit (Ethical Corporation).

As the CEO reports, this approach has already paid dividends:

“When we initiated the process of inserting sustainability into our businesses, our aim was to build a new bank for a new society, and reinforce the role of banks generally as agents for economic and social development.

We began by substantially reducing the environmental impact of our activities and looking at our products and services as a means of transforming society positively …

We have also started to share our knowledge with clients and suppliers in a structured manner to shorten the path to be taken by companies towards sustainable goals.

Even though it is difficult to objectively prove the relationship between sustainability and financial results, our results have improved year after year, and our performance has strengthened the bond with our clients and other stakeholders.”

Visit Banco Real’s website to download their annual report.

ATTEND: We invite you to join HIP for our next Investor Roundtable on July 8th, “HIP Your Trip: Eco-Travel and Hospitality” (click here to register).

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