Triodos Bank: Delivering Positive Impact and Financial Stability

Triodos Bank has been a pioneer in sustainable banking for over 40 years, with a focus on delivering positive impact alongside financial stability.

Triodos Bank was founded in 1980 in the Netherlands, initially focusing on microfinance and community development.

The bank's mission is to make a positive difference in the world by providing financial services that are in line with its values of sustainability and social responsibility.

Triodos Bank has been recognized for its commitment to sustainability, including being named the world's most sustainable bank by the Global Finance magazine in 2019.

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Triodos Bank is an independent bank that prioritizes its mission and identity. This means they're not driven by the interests of shareholders, but by a desire to make a positive impact.

One way they protect their mission is by not having shareholders, but instead, Depository Receipt Holders. This unique approach allows them to stay true to their values and goals.

Their focus on independence is crucial to their identity, and it shows in the way they do business. They're not beholden to external pressures, but can make decisions based on what's best for their customers and the environment.

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Triodos Bank is a leader in sustainable finance, with a commitment to a science-based net zero target. It's one of the first banks to join the Net-Zero Banking Alliance (NZBA) in April 2021.

The bank has made £9.4 billion in loans to projects across Europe benefitting people and planet. This is a significant investment in sustainable initiatives.

Triodos is transparent about its lending practices, making it the gold standard of banking. They lend to only the most ethical initiatives, including many green projects focused on building a sustainable future.

The bank has co-authored the UN Principles For Responsible Banking and co-founded the Global Alliance of Banking On Values. These partnerships demonstrate its commitment to improving the financial sector as a whole.

Triodos has developed the Partnership for Carbon Accounting Financials (PCAF), which has now been adopted by over 100 financial institutions worldwide. This initiative helps to standardize carbon accounting practices.

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Here are some key statistics on Triodos' impact:

These numbers demonstrate the bank's commitment to delivering positive impact and driving change in the financial sector.

Triodos Bank's financials are looking strong, with a net profit increase of 3.4% to EUR 36.2 million in the first half of 2024.

The bank's return on equity (RoE) remains within its target range, at 5.6% - a solid performance that should give investors confidence.

Despite a slight increase in the cost to income ratio to 76%, the bank's capital position remains robust.

Here's a breakdown of the bank's key financial ratios:

The bank's capital position is also looking healthy, with a CET1 ratio of 17.1% and a Total Capital Ratio of 20.7%. This should provide a solid foundation for future growth and stability.

Triodos Bank has reported a solid net profit, with a 3.4% increase to EUR 36.2 million in the first half of 2024. This is a great sign of financial stability.

The bank's return on equity (RoE) remains within its medium-target range of 5-7%, at 5.6%. This means that the bank is generating a consistent and healthy return on its equity.

One area where the bank's performance could be improved is its cost-to-income ratio (C/I), which was 76% in the first half of 2024. This is slightly above the bank's medium-term target range of 70-75%.

Triodos Bank's capital position remains robust, with a Common Equity Tier 1 (CET1) ratio of 17.1% and a Total Capital Ratio of 20.7%. This provides a solid foundation for the bank's future growth and stability.

Here's a summary of the bank's key financial metrics:

The bank's strong financial position has also enabled it to pay an interim dividend of EUR 1.27 per Depository Receipt (DR), which represents 50% of its first-half net profit.

Triodos is registered with the FSCS, so your money is insured against loss up to £85,000 in total.

Triodos is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority.

You have a choice of a physical digipass or a Mobile Secure Key that allows you to login and make payments using your smartphone as a security device.

Around the clock debit card transaction monitoring is in place to protect you from potential threats.

Triodos offers 24/7 availability if you suspect you have been the victim of fraud.

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Triodos Bank is a global pioneer in sustainable banking, founded in 1980 with an ethos that banking can be a powerful force for good.

It operates in the Netherlands, the UK, Belgium, Spain, and Germany, offering everyday ethical banking services for individuals, businesses, and charities.

Triodos was the first and is still the only bank to be awarded a Good With Money 'Good Egg' mark.

The bank offers a range of impact investment opportunities, including socially responsible investment and direct investments, which have raised over £187 million for 50 individual organisations.

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Triodos has a crowdfunding platform that makes it easier for sustainably-minded investors to find social investment opportunities.

It currently has around 73,000 customers in the UK, with 740,000 worldwide, putting their money to work for positive change.

Triodos has been awarded a Which? Eco Provider badge for its current account and has been named Ethical Bank of the Year for three years running at the British Bank Awards.

Triodos charges a flat fee of £3 per month for its current account, which might seem like a fair price to pay for making a positive impact with your money.

You'll also face a 2.5 per cent charge for using your debit card abroad, so factor that into your travel plans.

One thing to note is that Triodos withdrew its overdraft facility in June 2024, which could be an inconvenience for those who want a buffer on their finances.

These drawbacks might be worth considering before opening a Triodos current account.

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Triodos Bank publishes details of every organization it lends to and invests in, providing a clear picture of its financial activities. This level of transparency is a testament to the bank's commitment to openness and accountability.

The bank's annual report is available online, highlighting key facts and figures related to loans and funds entrusted. This report is a valuable resource for anyone looking to understand the bank's financial performance.

Triodos Bank offers a range of account options, including conventional savings accounts, ethical funds, and venture capital, as well as conventional personal current accounts and business banking services. Its active international department supports microfinance initiatives across the developing world.

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Triodos Bank publishes details of every organization it lends to and invests in, providing transparency in its financial dealings.

You can find the bank's annual report online, which highlights key facts and figures about loans and funds entrusted.

Triodos offers conventional savings accounts, as well as ethical funds and venture capital, making it a unique banking option.

The bank also provides conventional personal current accounts and business banking services, catering to a wide range of customers.

Triodos has an active international department, supporting microfinance initiatives across the developing world.

As a result, the bank has an annual list of all the loans it has made, making it the only commercial bank in the UK to do so.

Triodos Bank only lends to businesses and charities that it judges to be of social or ecological benefit.

It uses a "positive screening" approach, which means it looks for organizations that are doing good, rather than just avoiding those that are doing harm.

The bank lends to hundreds of organizations, such as fair trade initiatives, organic farms, and renewable energy projects.

Triodos Bank excludes organizations that are directly involved in non-sustainable products and services or non-sustainable working processes for more than 5% of their activities.

It also excludes organizations involved in producing or distributing nuclear energy, weapons, fur, pornography, and environmentally hazardous substances.

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Triodos Bank has a unique ownership structure, with 43,521 depository receipt holders at the end of 2021.

These holders have limited voting rights and are not allowed to own more than 10% of the shares.

The bank's shares are owned by the Stichting Administratiekantoor Aandelen Triodos Bank (SAAT), which issues depositary receipts to individuals and institutions.

Trading in certificates was temporarily suspended in March 2020 due to an imbalance between buyers and sellers, and resumed in October 2020 with a cap on sales.

A group of certificate holders joined forces in November 2021 to form the 'Triodom' platform, which later led to the establishment of the Triodos Bank Depositary Receipt Holders Foundation in March 2022.

The foundation represents concerned customers with a combined depository capacity of €120 million and filed a petition with the Enterprise Chamber of the Amsterdam Court of Appeal in October 2022.

Trading in certificates was halted again in January 2021, but resumed in July 2023 on the Captin trading platform, where the price as of mid-July 2024 was €31.

Triodos Bank's commitment to service and experience is evident in its approach to customer relationships. The bank's customer-centric model is built on the idea that customers are partners, not just clients.

The bank's online platform is user-friendly and accessible, allowing customers to manage their accounts and make transactions easily. This is reflected in the bank's high customer satisfaction ratings, with many customers praising the simplicity and efficiency of the online service.

Triodos Bank's customer service team is available to assist with any queries or issues, providing a personal touch that sets the bank apart from larger institutions.

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The cost of using certain financial services can add up quickly. A flat fee of £3 per month is charged for a personal current account.

You'll also be charged 2.5 per cent to use your debit card overseas, which can be a significant expense for travelers. This might make it worthwhile to look into additional debit or credit cards for international trips.

For those who invest, a 0.4 per cent annual service charge is applied, which is then charged monthly.

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Triodos's customer service is available during normal business hours as well as the weekend, making it convenient for customers to reach out when they need assistance.

The bank's commitment to accessibility is impressive, with features designed to make their services inclusive for everyone.

A card services line is available 24/7 to deal with any fraud concerns, providing customers with peace of mind.

Customers on Trustpilot praise the "amazing patience and courtesy" of Triodos's support staff, highlighting the high level of service they receive.

Their comprehensive complaints procedure ensures that customers' concerns are taken seriously and addressed promptly.

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Triodos Bank is known for its unique approach to banking, and here are some of the features that set it apart.

Triodos Bank is a global pioneer in sustainable banking, with a strong focus on environmental and social responsibility.

Their approach to banking is guided by the principle of "people, planet, and profit" - a philosophy that prioritizes the well-being of people and the planet alongside financial returns.

Triodos Bank has a long history of supporting renewable energy projects, with over 50% of their loan portfolio dedicated to sustainable energy.

This commitment to sustainability has earned Triodos Bank a reputation as a leader in the field of sustainable finance.

Their customer-centric approach means they prioritize the needs of their customers, offering a range of products and services that support their financial goals and values.

With a strong focus on transparency and accountability, Triodos Bank publishes regular reports on their sustainability performance and impact.

Their commitment to transparency and accountability has helped to build trust with their customers and stakeholders.

By prioritizing sustainability and social responsibility, Triodos Bank is helping to create a more equitable and environmentally conscious financial system.