Sustainability is at the core of Mandatum’s business. Mandatum’s sustainability includes three key themes that form the foundation for Mandatum’s business. The key themes are: responsible investment, promoting financial security and a good working life, and responsibility in Mandatum’s own operations. 

Money as a driver of change

Mandatum requires sustainability of its investees and believes that, in the long run, companies that operate responsibly will yield better results as investees, thanks to their more favourable growth prospects and more predictable cost development. 

Mandatum Asset Management is committed to the UN’s Principles for Responsible Investment and Mandatum strives to efficiently assess and manage the sustainability impacts of its investment operations and to reduce the carbon footprint of its investments.  

It all comes down to people

Through its business operations, Mandatum strives to improve the financial security of its customers and promote responsible HR practices. Effectively managed business strenghtens the prerequisites for success and creates well-being in society. When combined with good leadership and compensation, the entire personnel’s motivation and enthusiasm have a quantifiable impact. 

Leading by example 

Responsibility for employees and sustainable operating methods is part of building a successful business. The well-being of employees is one of Mandatum’s strategic goals. Financial responsibility means ensuring the continuity, profitability, earnings power and solvency of operations in all market situations. Ensuring continuity creates the foundation for the sustainable and responsible management of customers’ insurance-related liabilities and customers’ investments and pensions for decades. That is why risk management is also a key component of Mandatum’s financial responsibility. 

Sustainability goals 

The goals linked to the three key sustainability themes are described in the table below. The UN’s Sustainable Development Goals that are supported by Mandatum’s own sustainability goals are also identified for each theme. 

Responsible investment 

Identification of opportunities arising from sustainability factors and risk management in investment operations 

According to Mandatum’s view, in the long run, companies that operate responsibly will yield better results as investees, thanks to their more favourable growth prospects and more predictable cost development. By identifying opportunities in responsible investment, Mandatum can create added value for its customers, while also improving the conditions for more sustainable companies to succeed and putting pressure on other companies to change their ways.  

When analysing investees, Mandatum considers environmental, social and governance factors as part of the whole. In decision-making, we employ both negative and positive screening, taking the special characteristics of different asset classes into account. Investments can also be made with an emphasis on certain sustainability themes, for instance, climate change and climate risk.  

Bolstering sustainability aspects in the investment process is continuous. Mandatum has committed to the UN’s Principles for Responsible Investment, according to which the sustainability aspects are linked as part of the investment analysis and investment decision-making process. The company requires that the investees operate responsibly, and investments are only made in investees that meet the set criteria. Mandatum’s approach is to impact companies’ operating methods in terms of responsibility also as an active owner by meeting with the management of the companies and through engagement together with other investors. 

With real estate investments forming their own extensive whole, Mandatum strives to develop it sustainably with its special characteristics in mind. In direct real estate investments, multiple viewpoints are considered from measuring and reducing the carbon footprint of properties to renewable energy projects, optimising water consumption and waste management, and social responsibilities such as tenants’ well-being, collective engagement and caring for the environment. Mandatum measures its progress in real estate investments’ sustainability annually.  

Special focus on investments’ climate impacts and risks

Mandatum has chosen mitigating and adapting to climate change as one of the key focal areas of its investment operations. The carbon footprint of investments is a key indicator of responsible investment. The carbon footprint of investments is determined annually and monitored separately for each investment basket or fund and separately for other assets.  

Mandatum also strives to account for its investment operations’ climate impacts by phasing out coal and oil in its direct equity and fixed income investments. Mandatum’s goal is to phase out coal (i.e. companies that derive more than 5% of their revenue from coal) from direct investments by 2030 and oil (i.e. companies that derive more than 5% of their revenue from oil) by 2040. 

Sustainable prospering and remuneration  

Improving financial security and the competitiveness of companies, bearing in mind the customers’ situation, goals and needs 

Mandatum’s business is strongly based on trust and knowing the customer. The objective is to identify the customer’s life situation, goals and needs and offer suitable solutions. 

Mandatum wants to be sure that customers understand the benefits they are gaining, know how to use the services correctly, and can react, if necessary, at the right time. The company ensures the transparency of its sales processes, good communications services, and that customers understand the terms and condition of the products and services. 

Mandatum’s goal is to promote the well-being of its customers through prospering and preparing for the future. Through personal risk insurance, Mandatum provides customers and their loved ones security in case of a serious illness, disability or death. Mandatum’s services for entrepreneurs help entrepreneurs secure the continuity of their business and safeguard against personal risks. The company offers its customers alternatives for preparing, which supplements the individual’s statutory social security. The individual’s preparing and prospering create value for society too. 

Improving working life through fair and responsible reward and compensation services 

Well-managed business creates well-being in society and strengthens competitiveness. 

Mandatum helps its customers reward their personnel supportively, fairly and responsibly through a comprehensive offering of reward and compensation services.  

From companies’ perspective, it is important that the overall reward and compensation system is clear and well-structured, and that the variable pay components are based on performance indicators that steer work towards the shared goals, while at the same time supporting the company’s strategy implementation and value growth responsibly in the long term. 

Own personnel and operations 

Excellent employee experience 

Taking responsibility for personnel and sustainable ways of operating ensures successful business. Personnel’s well-being is one of Mandatum’s strategic goals. Mandatum’s HR policy is based on the belief that taking care of personnel ensures customer satisfaction and puts the company in an even better position to achieve success. 

The main goals of Mandatum’s responsibility for personnel are growing the intellectual capital, responsible management practices and equality, employment and professional development.  

The company also pays particular attention to the benefits linked to workability management and employee well-being. Mandatum offers its personnel comprehensive insurance cover and the opportunity to fund their bonuses in a personnel fund. Responsibility for personnel also means providing security for employees and their families in case of financial risks. 

Mandatum actively utilises personnel surveys in order to make Mandatum’s employee experience and its development more employee-centred. 

Increasing financial well-being in society 

Financial responsibility at Mandatum means ensuring the continuity, profitability, earnings power and solvency of Mandatum’s operations in all market situations. By taking care of its financial responsibility, Mandatum guarantees the creation of financial value in society, also in the long run.  

In addition to paying taxes and employing people, Mandatum’s services create added societal value. The investment, insurance, and reward and compensation products and services are part of the social infrastructure that enables the functioning of modern society and economy.  

Privacy and data protection 

As a reliable financial sector company, Mandatum aims to ensure that the services offered to customers are secure. It is paramount to the company to have sufficient levels of privacy and data protection that are proportionate to the nature of our business and the information we process, and to ensure that they correspond to the level generally expected by the financial sector’s various stakeholders. 

Good governance 

Good governance at Mandatum means efficient policies, management practices and training. These provide assurance that the Group companies and their personnel, suppliers and other business partners comply with laws, regulations and generally accepted principles on human rights, labour rights, environment, anti-money laundering, counter-terrorism financing and anti-corruption and bribery. In addition, they cover comprehensive information security, cyber security and data protection measures. 

Minimising own environmental impacts  

Mandatum is committed to reducing GHG emissions from its own operations and seeking out more sustainable ways of working. The data collected on the emissions is used to obtain an even more comprehensive picture.