Sustainability

Self-Image

Our Values

High expectations are placed on the banking sector to promote a future in which environmental, social and economic needs are balanced in such a way that future generations, too, will enjoy good living conditions. As a bank organised as a registered cooperative society, we uphold the cooperative values of responsibility, partnership and reliability, and act in the interests of our members and customers.  Our decisions and business activities are geared towards stability and long-term orientation.  In our core business - residential and commercial property finance - we support the preservation and creation of sustainable work and living spaces through long-term financing solutions. We also focus on running our own operations in a resource-efficient manner.

You can contact us at nachhaltigkeit@mhb.de
 

We report regularly on sustainability: the annual non-financial statement (= sustainability report) and allocation reporting have been included in the annual report since the financial year 2024. Our progress in the ESG area is measured by the rating agencies ISS Stoxx and Morningstar Sustainalytics, which specialise in sustainability.  
To exchange expertise and ensure our ongoing development, we are actively involved in various associations, networks and working groups, including:
 

1. BVR (Federal Association of German Volksbanks and Raiffeisenbanks)
2. vdp (Association of German Pfandbrief Banks)
3. VFU (Association for Environmental Management and Sustainability in Financial Institutions)

We address the issues of climate protection and adaptation to climate change in our transition plan. In this plan, we have defined specific targets and measures to achieve them. We report on both the targets and the measures in our sustainability report. 

In 2024, we defined decarbonisation pathways for our loan portfolio, covering both our retail and commercial banking businesses. Decarbonisation pathways were also defined for our investment portfolio and our own business operations. These pathways are reviewed annually on the basis of current findings and updated where necessary. In determining these decarbonisation pathways, we follow the industry-standard ‘Carbon Risk Real Estate Monitor’ (CRREM) 1.5-degree pathway. In addition to business policy decisions, political and macroeconomic factors also have a significant influence on the decarbonisation of the German economy (for example, the availability of sustainable heat and electricity sources).

Our “MHB Grünes Darlehen” an annuity loan for private individuals, promotes the construction, purchase, modernisation, or refinancing of buildings with an energy consumption of up to 55 kWh/m² per year through a preferential interest rate. It can be combined with funding from the Kreditanstalt für Wiederaufbau (KfW) or other subsidies.

With the MHB EnergyEfficiencyLoan for professional property investors, we finance energy-efficiency refurbishments in existing properties, in particular investments in insulation, building services or the building envelope, which raise the energy standard and reduce the primary energy performance by at least 30 percent..

In our annual Impact Report, all properties identified as ‘green’ (in accordance with the MHB Green Funding Framework, assessed by a second-party opinion from EthiFinance) are recorded, and the greenhouse gas emissions saved by this portfolio are calculated - in comparison with reference buildings and their average energy consumption - with the support of our partner, the Wuppertal Institute for Climate, Environment and Energy.

At our head office, we operate a comprehensive environmental management system in accordance with DIN EN ISO 14001:2015 for building operations. You can find out more in our Environmental Policy Guidelines, as well as selected key figures and further information in our Sustainability Report. 

Employees

We support the professional development of our employees through training and further education.  With our working time arrangements - in particular working from home, part-time work and flexitime - and our employee benefits, we foster a healthy work-life balance. 

As a member of the “Erfolgsfaktor Familie” (Family as a Success Factor) business network - an initiative of the Federal Ministry for Family Affairs and the German business community - we are actively committed to supporting a healthy work-life balance. Flexible working time arrangements, targeted further training programmes and our family-friendly corporate culture are key elements of this. In this way, we create a working environment that takes into account the diverse life circumstances of our employees.

As part of our diversity policy, we actively promote diversity and equal opportunities. As a signatory to the Diversity Charter, we join over 6,500 organisations committing to a prejudice-free and respectful working environment. Through our Female Empowerment Programme, we are sending a clear signal in favour of greater equality of opportunity and female empowerment in the workplace, and we support the ‘Women in Leadership’ (FIF) initiative.

The health of our employees and health and safety at work are also of central importance to us. We are committed to the mental and physical health of our employees. For example, we offer voluntary health check-ups, a fitness allowance, an Employee Assistance Programme, and a wide range of other social benefits such as a company pension scheme, supplementary health insurance and other perks.  
Further information on targets, measures and key figures can be found in our Sustainability Report.

Society

The MHB Family Loan is designed for families with at least one child to help them finance their own home and offers favorable terms with a reduced interest rate.
Furthermore, we are committed to causes beyond our business activities and support selected social causes. We have set out the details of this in an internal policy on charitable giving. 

Governance

We have established binding governance structures: the Executive Board bears overall strategic responsibility, the Supervisory Board performs the supervisory function, and all employees act within the framework of defined responsibilities and guidelines.

We have set out the structures and responsibilities for all sustainability issues in our internal ESG framework. The Executive Board is regularly involved in board meetings on ESG-specific strategy or risk issues. Furthermore, an ESG Committee comprising all divisional heads has been established to provide information on and discuss sustainability-related developments and, where necessary, to prepare decisions for the Executive Board. The MHB Sustainability Team comprises staff from various specialist departments who act as advocates for sustainability; they exchange information at quarterly meetings and develop cross-departmental ideas within the framework of the environmental management system. The sustainability managers and ESG risk managers work within the Non-Financial Risk Management division under the CRO. 

Compliance

Compliance with legal and regulatory requirements is an integral part of our corporate governance. Our compliance function includes, amongst other things, the prevention of corruption, bribery, money laundering and terrorist financing, and employees undergo training on these topics every two years following their appointment. Reports of suspected breaches can be submitted via our whistleblowing system.

Data Protection and Information Security

To protect personal data, Münchener Hypothekenbank complies with the statutory requirements, regulations and rules governing the processing and use of data. Staff receive training on data protection and cybersecurity every two years. In addition, further awareness-raising measures take place on a regular basis. Further information on data protection can be found in the footer of this website.

Human Rights

The Code of Conduct sets out a framework of binding standards for all employees, including members of the Executive Board of MHB and its subsidiaries, to ensure lawful, responsible and ethically sound business conduct. It is provided alongside the employment contract and must be countersigned. The Human Rights Policy is derived from the Code of Conduct. The policy also sets out principles and requirements for our suppliers of products and services regarding their responsibility towards people and the environment. We regard international principles and initiatives such as the United Nations Universal Declaration of Human Rights and the Labour Standards of the International Labour Organisation (ILO) as minimum standards for decent work.