Invest in the Future. Transform it now.
Sustainable investment approach
Focus on liquidity, high credit ratings and interest rate hedging
KfW's liquidity portfolio
€33bn*
Sustainable Investment Approach for the Liquidity Portfolio
securing KfW's liquidity
Best-in-Class
Approach
Strategy
Pure fixed income portfolio
Buy-and-hold strategy
Only very good credit ratings (min. investment-grade)
■ No relevant interest rate risks due to comprehensive
interest rate hedging
Asset classes
Government bonds and bonds issued by government-
related issuers and agencies
■ Covered bonds
■ Financials
ABCP, ABS
*as of Dec 31, 2022
KFW Invest in the Future. Transform it now. / November 2023
ESG Integration
■ Only investments in
bonds of issuers whose
sustainability score is
among the best 50% of
the respective sector
(sovereign issuers:
"Prime status")
◉
Sustainability
assessment of issuers
performed by an external
ESG data provider (ISS
ESG)
Exclusion Criteria
■ Exclusion criteria
substantially based on the
"IFC Exclusion List" and
the exclusion list of KfW
Group
■ Investments only in bonds
issued by companies that
are in compliance with the
exclusion criteria
+ Human Rights Screening
Engagement
■ The sustainability rating of
an issuer is crucial for a
potential bond investment
Dialogue with the issuers
on a regular basis
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