We want to be a responsible business partner that attaches the highest priority to ethical conduct and integrity and protects the interests of our clients. Our corporate governance systems must guarantee monitoring, prevent rule violations and manage potential risks to the environment and society arising from our business activities in an effective manner. Our goal is to firmly embed sustainability principles into our operational activities.
As a minimum, we adhere to international standards and guidelines, in relation to areas such as compliance, data protection, anti-money laundering and corporate governance. New business initiatives, new products or changes in existing business are introduced only after they have undergone a stringent approval process.
Acting responsibly and protecting the interests of the various stakeholder groups in the process means that we constantly weigh risks against the benefits that are created. Business initiatives with a potentially negative effect on the environment or society are subjected to painstaking scrutiny. Internal standards guarantee that certain transactions in sensitive sectors can be excluded.
We regard the standards of the OECD, the World Bank and the International Labour Organization as binding. We are a signatory of the UN Global Compact and the UN Principles for Responsible Investment (UN PRI) and we take environmental and social factors into account in the analysis process for investment products.
We are constantly improving our management and control processes. For example, in 2011 we introduced our framework for environmental and social risks, founded our Anti Financial Crime Committee and launched our Responsible Business Initiative for the private client business area. In 2012 we were recertified once again for the next three years according to the ISO 14001 Standard, we updated our Code of Ethics, which applies group-wide, and we reinforced our control processes, for example by introducing our “Red Flag” warning system.
With the aid of it we can identify and report violations of compliance regulations. Then the results are incorporated into decisions on promotions and bonus payments. At the end of 2012, the “Red Flag” incidents in the Corporate Banking & Securities as well as the Global Transaction Bank divisions already decreased by nearly 50% in comparison with the previous year. The corporate governance of Deutsche Bank is consistently geared to creating added value in the long term for everyone who participates directly or indirectly in our business activities.