Bonded loans to corporations, method selection, timeline

-What is SBTi’s view on how to handle bonded loans to corporations? Can they be handled as corporate bonds or loans or completely leave them away for the moment?
-Is it enough to just include corporate bonds in the target setting as a first step?
-SBTi specifies three methods to cover the positions in the portfolio of the financial institution. How strictly are these methods handled, or what leeway does PostFinance have in applying those methods (apart from combining the methods, we are aware of this possibility)?
-SDA approach: Is the coverage of additional sectors planned for the future and if so what would be the timeframe?
-Could PostFinance define measures and targets (possibly including also methods other than those approved by SBTi) that would be realistically implementable for the company by the end of the year and then develop a compliant SBTi-target in close exchange with your organisation? It probably needs some flexibility on the part of SBTi, since it will hardly be possible to submit a comprehensive and compliant target with the methods currently available.

Hi @Brigitt,

Thank for the question and your patience.

  • Bonded loans have a lot in common with bonds and loans and should therefore be treated in a similar way, hence they should be in scope.
  • You are are free to use any of the methods available in the framework, as laid out in table 5.2 (p. 55-57) in the guidance document, in any combination you want.
  • More SDA coverage is planned, but we don’t have any fixed release schedule.
  • Currently the SBTi doesn’t allow use of any other methods than those included in the framework. We are working on a set of meta criteria to allow use of other methods for target setting and hope to be able to deliver these during 2022.