{ "docId": "019dd923-5e88-73ef-bd57-f5f75f380eb1", "docSlug": "874879dca472b7eb", "documentTitle": "sustainability investor presentation mar 24", "authorId": "UBS", "authorName": "UBS", "documentKindSlug": "consulting-deck", "documentKindLabel": "Consulting deck", "sourceTypeSlug": "equity_research", "sourceTypeLabel": "Equity research", "presentationDate": null, "orientation": "portrait", "aspectRatio": 0.707, "pageNumber": 42, "pageCount": 76, "prevPage": 41, "nextPage": 43, "slideType": "case_study", "function": "illustrate_case", "density": "overcrowded", "nDataPoints": 2, "notes": "The slide contains three distinct case studies (3, 4, and 5) presented as text blocks.", "elementsJson": [ "paragraph" ], "metadataConfidence": 0.9, "imagePath": null, "slideHref": "/slides/019dd923-5e88-73ef-bd57-f5f75f380eb1/42", "deckHref": "/decks/019dd923-5e88-73ef-bd57-f5f75f380eb1", "deckJsonHref": "/decks/019dd923-5e88-73ef-bd57-f5f75f380eb1.json", "deckAnchorHref": "/decks/019dd923-5e88-73ef-bd57-f5f75f380eb1#slide-42", "components": [ { "bbox": { "h": 0.12, "w": 0.85, "x": 0.07, "y": 0.74 }, "kind": "paragraph", "text": "What do we do? UBS has an enhanced standard for companies involved in the production and trading soybean. Before engaging in a client relationship with any company significantly involved in soy production and / or trading, our team of SCR experts evaluates the company and its practices. The SCR unit checks if the company is a member or applies any of the recognized standards (Round Table on Responsible Soy, ProTerra, International Sustainability & Carbon Certification or Cefetra Certified Responsible Soya) and how the company manages sustainability matters in its processes. Based on the output of this assessment and commitments made by the company, the SCR unit will approve, reject or escalate the transaction.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "0250e0e6-5ae9-45fa-a300-d65ddf2f53ad", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.1, "w": 0.85, "x": 0.07, "y": 0.4 }, "kind": "paragraph", "text": "How did our SCR approach impact a particular case? UBS was negotiating a new relationship with a corporate client that had activities involving the palm oil business. At that point, the firm in question was not a member of the RSPO, which is a requirement under the relevant UBS standard. We therefore agreed to a conditional onboarding of the corporate entity under the condition that it adhered to the RSPO within a predefined timeframe. After the agreed period had passed without the client taking the necessary steps, we exited the relationship.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "1df0ad5f-fb87-4a57-88bc-cdfe4253505f", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.18, "w": 0.85, "x": 0.07, "y": 0.21 }, "kind": "paragraph", "text": "What do we do? Before doing business with any company involved in palm oil production or trading, our SCR experts ask how the company manages environmental and social challenges in its palm oil operations, as required by UBS's standards for palm oil production. Due diligence depends on the client and the type of transaction we are facing. For example, when it comes to lending, trade finance, underwriting or investment banking advisory mandates, due diligence may involve desk research and interaction with companies and external experts, along with global and local non-governmental organizations. Depending on the results, this can lead to a variety of actions, from requesting the client to certify its production or trading processes against the standards of the Roundtable on Sustainable Palm Oil (RSPO) to refusing to do business with the client.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "7f03f136-7a4b-4818-8c0c-a02be228cbd0", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.18, "w": 0.85, "x": 0.07, "y": 0.55 }, "kind": "paragraph", "text": "Why is soy an important topic? Global trade in, and the production of, agricultural commodities including soy not only impact biodiversity, but also contribute to climate change through the generation of greenhouse gases attributed to deforestation. The leading soy-producing countries are the US, Brazil and Argentina. According to the United States Department of Agriculture (the USDA), their combined soy production accounts for about 80% of the world's supply. Soybean is Brazil's most significant exported commodity by value and concerns have been raised about the extent to which it is linked to deforestation in the Amazon and Cerrado biomes. In 2011, UBS developed SCR standards for palm oil, timber and soy to address these growing concerns around banks' involvement in financing agricultural and forestry products that may be contributing to deforestation. UBS's SCR framework has been aligned with industry standards on soy production.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "ad45b08b-583b-460e-aa6e-45ad7659d1d8", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.12, "w": 0.85, "x": 0.07, "y": 0.08 }, "kind": "paragraph", "text": "Why is palm oil such a hot topic? According to the Global Change Data Lab, more than 60% of tropical deforestation is due to the production of palm oil, soy and beef. Deforestation and forest degradation can cause biodiversity to decline and contributes to 12–20% of global greenhouse gas (GHG) emissions according to the London School of Economics. Furthermore, as millions of people rely directly on forests, deforestation continues to cause severe societal problems, sometimes leading to violent conflicts.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "d7899d70-9063-4a76-ab83-1d6fb3f3e5f5", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.02, "w": 0.8, "x": 0.07, "y": 0.05 }, "kind": "title", "text": "Case study 3. Non-compliance with the standards of the Roundtable on Sustainable Palm Oil", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "227295ca-cd7e-4c7a-9218-20143f464b94", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.02, "w": 0.3, "x": 0.07, "y": 0.52 }, "kind": "title", "text": "Case study 4. Applying soy standards", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "6ae5d951-cf4f-46dc-9445-b6a60e0c7822", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.02, "w": 0.8, "x": 0.07, "y": 0.91 }, "kind": "title", "text": "Case study 5. Non-compliance with UBS controversial activities standards in oil and gas trade financing", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "d0a4dd28-115f-48e0-8a55-faaf3e0f9130", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [], "frameworks": [], "arcBeats": [ { "to": 44, "from": 41, "beatId": "a52806e0-7272-4d27-8966-3ce69e72e891", "arcName": "The Consultant's Gambit", "arcSlug": "consultants-gambit", "beatName": "Evidence & Proof", "beatSlug": "consultants-gambit-evidence-proof", "evidence": "Case studies on sustainability and climate risk management", "position": 2, "confidence": 0.8, "parentBeatName": "Evidence", "parentBeatSlug": "evidence" } ], "loops": [ { "to": 76, "from": 3, "name": "Golden Circle", "slug": "11-golden-circle", "bestFor": "Visionary leadership, brand positioning, mission statements", "matchId": "b6a565dd-c525-4a09-bdbd-1c21910fa0d4", "evidence": "The document provides a comprehensive overview of UBS's sustainability strategy and its importance", "position": 0, "objective": "Why UBS's sustainability strategy matters", "structure": "The Why (Belief) -> The How (Process) -> The What (Result)", "confidence": 0.8, "description": "Invert the typical pitch by starting with why you exist, rather than what you do" } ], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }