A passion for
sustainability

As a leading independent asset manager focusing on real estate, renewable energy and aircraft leasing, we find ourselves in a privileged position: we’re able to directly and positively influence environmental and social aspects of sustainability. Our business is not solely about investments, but also about taking responsibility for people and preserving a highly liveable world.

As a manager of real capital assets, we strive to make a direct and meaningful contribution to promoting sustainability. We’re convinced that a clear focus on environmental, social and governance (ESG) principles lays the foundations for commercial success.

Sustainability in figures

0

%

invested in renewable energy, green hydrogen and ESG real estate investment funds

~

0

nationalities in our team

0

%

reduction in CO2e since 2018

0

funds

are classified as Article 8 or Article 9 funds under SFDR.

>

0

million people

a year can be supplied with electricity from our renewable assets.

ESG strategy

At KGAL, we want to be part of the solution to global sustainability-related challenges. We follow a holistic interpretation of sustainability and have integrated corresponding principles into our business and risk strategy. This includes defining clear targets and strict exclusion criteria, integrating ESG criteria into investment processes and ensuring transparent reporting.

These efforts are based on international standards. In 2018, for example, we signed up to the UN Principles for Responsible Investment (UN PRI) as an unequivocal commitment to our responsibility.

You can find information in accordance with Regulation (EU) 2019/2088 of the European Parliament and of the Council on sustainability-related disclosures in the financial services sector here:

Sustainability-related disclosures

The results of our assessment of the UN PRI 2023

Policy Governance and Strategy

Real Estate

Infrastructure

Confidence Building Measures

Our contribution to climate protection

At KGAL, we have set ourselves the target of reducing our investment funds’ greenhouse gas emissions to Net Zero by 2045. We’ve calculated our corporate carbon footprint every year since 2018 and are now working to ensure our data recording activities are comprehensive across all our asset classes. While our forward-looking climate strategy takes physical and transitory climate risks into account, it also highlights opportunities. By investing in renewable energy infrastructure and key future technologies in the field of green hydrogen, we’re making a meaningful contribution to the energy transition.

Sustainability in our investment strategies

We are
pioneers


131 operational solar farms and wind farms in 9 countries

steadily rising
impact


Over 612,000 tonnes of CO2e emissions avoided

Specific decarbonization

more than 2,600 GWh fed into power grids

Future-oriented energy source

Green power capable of supplying 652,000 households

Up to 270 million euros is available in the KfW Bankengruppe Power-to-X Development Fund for investment in green hydrogen projects.

The funds in our sustainable infrastructure asset class invest exclusively in renewable energy assets. As a result, they have contributed directly to decarbonising the European energy sector since 2003. We always strive to minimise the negative impacts of our activities on the environment, including with regard to biodiversity.

In addition to our wind and solar power assets, since 2023 we have also invested in future-focused technologies related to green hydrogen. These include a pioneering project to produce hydrogen-based synthetic aviation fuel (eSAF) in Denmark.

Binding ESG strategies

for all our new funds. We have also implemented ESG strategies for the majority of our existing funds.

Green electricity in 70% of properties

across all owner-controlled areas

100% of our properties

have a defined Decarbonisation Pathway through the CRREM Tool.

31 KPIs

are part of the ESG scoring of our Art.9 residential real estate fund Core 5

Besides making vital contributions to sustainability, investments in green buildings are also commercially attractive. They offer higher returns, higher selling prices and higher rental incomes – while minimising potential risks, especially with regard to the climate. For this reason, ESG considerations are central to our real estate investment decisions.

Buildings account for a significant proportion of global greenhouse gas emissions and resource consumption. In addition to these environmental challenges, our funds also take account of social issues. For example, as one of only a handful of Article 9 real estate funds, our Core 5 fund aims to promote climate protection, affordable housing and social infrastructure.

Young fleet

Average fleet age of 7 years – significantly better than industry standard

High efficiency

Airbus A320 NEO aircraft account for one-third of our fleet

Extensive transparency

We measure our CO2e emissions produced through kerosene consumption on a daily basis

Always on

Our fleet consumes 2.71 l kerosene on average per km of travel

As part of the international transport ecosystem, aviation plays a vital role in commercial and social processes. At the same time, however, the sector has considerable responsibility in environmental affairs, not least in terms of greenhouse gas emissions. In addition to examining ESG risks, especially with regard to the climate, we primarily invest in efficient aircraft. The aircraft in our funds have an average age of 7 years, which is significantly lower than the global industry average of 10 years.

We survey our lessees’ ESG efforts on an annual basis. We disclose the results of these discussions, and the CO2 emissions generated by our aircraft, transparently for each of our funds.