Focus on ESG products and services

BCF offers reliable services of impeccable quality at reasonable prices. It attaches great importance to a structured, clear and rigorous advisory process that guarantees professional support at every stage. Customers are fully informed, in detail, about the potential risks associated with the products and services offered.

Investment products are categorised according to their level of complexity. Only advisors certified in the relevant investment category are authorised to offer them to customers. BCF publishes all its flat fees transparently, both for its asset management and wealth management advisory services.

BCF makes all its employees, including its financial advisors, aware of ethical principles, customer financial protection and sustainable development issues.

BCF relies on effective monitoring mechanisms in place to track business relationships, transactions and compliance with economic sanctions in force. It attaches particular importance to combating money laundering and terrorist financing and ensures that all employees are aware of these issues. Employees are required to read reference documents on these topics and to sign a statement confirming their commitment. Regular internal and external training is provided. For certain positions, this training includes knowledge tests to ensure an adequate level of expertise.

BCF does not enter into business relationships with persons domiciled abroad who have no connection with the bank’s economic area.

BCF is careful to avoid any form of inappropriate incentives by adopting a moderate remuneration policy. Variable remuneration is not based solely on quantitative business targets, but also takes qualitative criteria into account, such as adherence to ethical values, the quality of the advice provided, the extent to which ESG issues are integrated into the business and customer satisfaction.

Reliable, committed, competent and attentive: this is how BCF employees should be perceived by their clients. The Bank attaches great importance to service and proximity. BCF’s strategic objectives set out what customers have a right to expect from their bank.

BCF regularly measures customer satisfaction by conducting market research. The quality of its services is also checked through mystery shopping. This involves test customers visiting the bank’s counters or contacting the Bank with requests by telephone or e-mail. BCF also has a complaints system to collect and manage customer feedback.

These tools are invaluable for keeping a critical eye on services and processes with the aim of continuously improving them. Employees also have access to a suggestion box, managed by a group of employees between the ages of 20 and 35, the BCF Youth Council, which allows them to submit proposals for improving customer relations.

Quality management is a priority for BCF: it is regularly monitored and continuously improved. All the analyses conducted confirm the effectiveness of the management systems and the high quality of their implementation within the Bank.

Through its responsible lending policy, BCF plays a key role in ensuring the prosperity of its economic area and a stable supply chain. Lending is an important part of BCF’s business model. Geographically, it is mainly concentrated in the canton of Fribourg and the neighbouring regions.

The Bank focuses on private individuals, small and medium-sized enterprises (SMEs) and public corporations. At BCF, lending goes hand in hand with integrity, respect for ethical principles and sustainable development criteria.

In 2021, BCF launched two new mortgage products, the Eco Mortgage and the Eco Renovation Mortgage, designed for homeowners who meet certain energy standards when purchasing or building a property, or renovating or extending a residential, rental, commercial, light industrial or industrial building. In addition to personalised advice from the very first contact with BCF, customers benefit from a discount on the medium and long-term fixed rate. The conditions
are as follows:

Eco Mortgage Product

– 0.5% discount on fixed interest rates for 5 to 10 years, 15 years and 20 years on max. CHF 500,000.00 for residential properties and max. CHF 1,000,000.00 for rental, commercial, light industrial or industrial properties;
– New construction / Consolidation of a building loan: Minergie, Minergie P or A certificate; CECB global A certificate; SNBS label;
– Purchase of an existing building: Minergie, Minergie P or A certificate; CECB global A, B or C certificate; SNBS label.

Eco Renovation Mortgage Product

– 0.5% discount on fixed interest rates for 5 to 10 years on max. CHF 250,000.00 for residential properties and max. CHF 500,000.00 for rental, commercial, light industrial or industrial properties;
– Renovation: Minergie, Minergie P or A certificate; CECB global A, B or C certificate; SNBS label; renovation provided for under the federal and cantonal building programme.

Both the Eco Mortgage and Eco Renovation Mortgage products were developed by BCF to raise its customers’ awareness of environmental issues and encourage them to play an active role in reducing their environmental impact. The benefits of these products are described on our website www.bcf.ch :
Eco Mortgage :
https://www.bcf.ch/fr/prives/hypotheques-et-credit/hypotheques/hypotheque-eco
Eco Renovation Mortgage :
https://www.bcf.ch/fr/prives/hypotheques-et-credit/hypotheques/hypotheque-eco-renovation

Apply the SBA Guidelines

Since 2023, BCF, as a member of the Swiss Bankers Association (SBA), has applied the “Guidelines for Mortgage Providers on the Promotion of Energy Efficiency” published by the SBA in 2022. These guidelines are binding on the Bank and aim to help customers maintain the long-term value of the buildings to be financed by improving their energy efficiency.  The Bank has incorporated these elements into its mortgage advice for single-family and holiday homes.

BCF informs customers about the building renovation grants to which they may be entitled and refers them to independent specialist services for specific advice. It also ensures that its customer advisors receive regular ongoing training on the long-term preservation of property value and the energy efficiency of buildings.

An online renovation calculator

Since the end of 2023, BCF has made the renovation and CO2 emissions calculator developed by Wüest Partner AG available to its customers free of charge on its website at www.bcf.ch. This interactive and integrated tool offers real added value to mortgage financing advice. It can be used to evaluate and estimate costs, schedule future renovations, and calculate the sustainability of single-family homes, flats in co-owned buildings and real estate investments. The calculator can be used to estimate the optimum time for renovation and future renovation costs for each building element. Since the beginning of 2024, the app has also provided an overview of grants available for the energy renovation of properties.

As a financial services provider, BCF can exert a certain degree of influence to steer the use of the assets entrusted to it towards responsible choices, thereby helping to reduce potential negative impacts on sustainability. Aware of this responsibility, BCF promotes the responsible management of financial investments, constantly tightening the criteria applied in this area and ensuring transparency, in particular by integrating the MSCI data into all its portfolios.

BCF increases its expertise and commitment to responsible investment year after year. Investments are no longer analysed solely in terms of returns, but also in terms of their environmental and social impact. The BCF is resolutely committed to contributing to a more sustainable global financial system.

In particular, thanks to a partnership with MSCI, BCF is able to provide customers with a report on the sustainability of an investment portfolio if desired. In addition, MSCI assigns a sustainability rating to all funds in the BCF/FKB range.

BCF funds generally achieved good ratings as of 31 December 2024: on a scale ranging from AAA (best rating) to CCC (worst rating), the BCF/FKB (CH) Active Balanced and BCF/FKB (CH) Active Yield, BCF/FKB (CH) Active Dynamic and BCF/FKB (CH) Equity Switzerland funds each received a rating of AA.

As a member of the Swiss Bankers Association (SBA), BCF is committed to applying the Guidelines for Financial Services Providers on the Integration of ESG Preferences and ESG Risks and the Prevention of Greenwashing in Investment Advice and Portfolio Management. A revised version of these guidelines was published by the SBA in May 2024 with the aim of strengthening Switzerland’s position as a leading hub for sustainable finance. This revision represents a significant step forward and actively contributes to the transition to a more responsible and sustainable economy.

The application of these guidelines ensures a uniform minimum standard for the integration of ESG preferences and risks in investment advice and asset management. In particular, the guidelines are intended to prevent greenwashing in investment advice and asset management services provided to customers.

Careful selection ensures that the ESG investments offered target companies that meet strict ethical criteria, based on sound economic performance, environmental compatibility, strong social responsibility and transparent, robust governance. This gives the Bank’s customers access to a wide range of ESG investments. BCF’s approach to responsible investment is summarised in the “Taking Account of Customer’ ESG Preferences” document. This document, which is regularly updated in line with changes in practice and BCF’s investment approach, provides a clear and concise presentation of the characteristics, associated risks and guiding principles of investments that incorporate ESG criteria to varying degrees.

In 2024, as part of implementing the SBA guidelines for all existing customer relationships, BCF collected the ESG preferences of all its customers.

Our investment policy : Investir en soutenant le développement durable (bcf.ch), incluant les préférences ESG

BCF only buys and sells Fairtrade-certified or traceable gold with the exception of its old bars. This is in response to strong demand from institutions and private investors.

Fairtrade Gold

The label Fairtrade Max Havelaar is used for 1-20g bars. It ensures better protection for people and the environment in artisanal gold mining. Here are a few examples:
– long-term business development with mines;
– a guaranteed minimum price;
– a Fairtrade premium of USD 2000 per kilogram for the mines in question. This additional income is invested in community projects (schools, water supply, health centres, etc.) and helps to improve the mining operations;
– health and accident protection measures (safety, training, protective clothing, etc.);
– prohibition of forced labour, abusive child labour or any other form of discrimination.

The Fairtrade code allows the gold to be traced back to the mine. For further information, www.maxhavelaar.ch

Traceable gold

The term “traceable” is now used for bars weighing more than 20 grams and ensures traceability as proof of the origin of the gold.

Traceable gold supply chain:

• the gold originates from a certified mine;
• – the DNA marker is sprayed onto the raw gold;
• at the refinery, a PCR test is performed on the raw gold to detect the marker. The gold is then processed separately;
• traceable gold bars have a unique serial number and may be stamped;
• there is no mixing with untraceable gold during the production of bars;
• the origin information is recorded by Zurich Cantonal Bank;
• the customer has complete transparency and traceability;
• the premium charged by the refinery is used to support environmental and social projects.

As part of its ongoing commitment to sustainability, BCF decided to voluntarily participate in the 2024 edition of the Paris Agreement Capital Transition Assessment (PACTA) Climate Test. This test, supported by the Swiss Confederation, the Swiss Bankers Association (SBA) and the Association of Swiss Cantonal Banks (ASCB), makes it possible to verify the extent to which the portfolios (global equities, corporate bonds and credit portfolios) are aligned with the objectives of the Paris Climate Accord. BCF decided to participate in all three modules of the test: quantitative analysis of real estate and mortgage portfolios, quantitative analysis of equity and bond investments, and qualitative analysis of climate strategy and climate-relevant measures.

The 2024 edition placed particular emphasis on real estate and mortgages, with a focus on measuring the CO2 emissions intensity of buildings in Switzerland. BCF was pleased with the results of the test, which enabled it to position itself within the market and set clear targets for reducing CO2 emissions. The average direct emissions of BCF’s mortgage portfolio at 31 December 2023 amounted to 27.1 kg of CO2 per m2 per year. This is below the average of the other participating banks (29.3 kg CO2 per m2 per year).

On 31 December 2023, 46% of BCF’s mortgage portfolio was heated sustainably (the average of other participating banks was 34%). In addition, 17% of the energy reference areas financed were equipped with solar photovoltaic systems, compared to an average of only 7% for the other participating banks.

Results of the Pacta 2024 Climate Test:
2024 Mortgage PACTA Climate Test
2024 Investments PACTA Climate Test

In addition to its participation in the 2024 PACTA Climate Test and for the second consecutive year, BCF commissioned Wüest Partner AG to assess the CO2 emissions of its mortgage portfolio. This test enabled the Bank to obtain a detailed assessment of the mortgage portfolio, not only in terms of emissions, but also in terms of the quality of the data as a whole, in particular the energy data. This information is an important basis for assessing credit risks and for discussing with customers the issue of long-term value retention and, therefore, the energy efficiency of buildings. That is why the Bank is constantly committed to improving the quality of the data.

Assessment results:
Climate Impact Evaluation of Portfolio