Making a Difference

SICO is working toward becoming a responsible investor that integrates ESG into its investment decision process

As a regional investment bank, SICO strives to be ahead of the curve by aligning its ESG policies with international best practices from leading independent global organizations, including the UNPRI, the world’s leading proponent of Responsible Investing, and the UN SDGs.

SICO remains committed to promoting responsible investments and takes pride in being an ethical organization that prioritizes diversity, environmental sustainability, and sound governance throughout it operations. Accordingly, the Bank is working to integrate ESG considerations into the fabric of its operations, which allows the Bank to create long-term value for all of its stakeholders, including its clients, partners, employees, and the community at large.

Supporting Our People

SICO is an equal opportunity employer with a diverse workforce and a culture that empowers women. Since 2014, the Bank has been led by its first female CEO, Najla Al-Shirawi, and SICO takes pride in the fact that its Board of Directors and senior management team includes women in leadership roles. SICO’s Board of Directors includes three female Board Members, amounting to more than a 30% representation. Additionally, 39% of SICO’s total workforce is made up of women, with nine women currently in leadership positions. The Bank’s initiatives are spearheaded by an Equal Opportunity committee, created in 2017 to ensure equal employment opportunities and an ongoing enhancement of policies, procedures, and practices to promote gender inclusion and diversity.

In 2021, SICO successfully conducted a four-day, interactive, online diversity and inclusion training for members of its management team to create awareness about the team’s unique qualities and attributes and to highlight the fact that a diverse and inclusive workforce leads to improved performance, a healthier workplace, increased employee satisfaction, and better innovation across the organization. A second staff-wide session on diversity was also conducted in cooperation with Bloomberg. Both initiatives were a part of SICO’s ongoing strategy to incorporate inclusive policies and practices that empower and create equal opportunities for its employees.

SICO also rolled out its first annual Employee Engagement Survey with LAWES, a globally renowned survey designed to measure engagement. The survey allowed SICO to take an in-depth look at criteria specific to the organization and to identify strengths and weaknesses. SICO’s overall engagement index score stood at 4.33 on a five-point scale, which places the Bank well organization that prioritizes diversity, environmental sustainability, and sound governance throughout it operations. Accordingly, the Bank is working to integrate ESG considerations into the fabric of its operations, which allows the Bank to create long-term value for all of its stakeholders, including its clients, partners, employees, and the community at large. Investing in human capital by focusing on women’s empowerment, diversity and inclusion, education, and access to employment Minimize carbon footprint and integrate environmental awareness into our operations in line with Bahrain’s commitment to net zero carbon emissions in 2060 Adhering to the highest standards of Corporate Governance and ensuring oversight of ESG integration into the investment process Social Environmental Governance above the 75th percentile. The excellent score revealed that SICO’s staff is highly engaged, which generally translates into higher levels of growth, profitability, and innovation across the organization.

As part of SICO’s ongoing desire to improve employee benefits, the Bank is introducing a new employee savings scheme (ESS), which is expected to officially launch in Q2 2022. The best-in-class savings scheme will be an added benefit that can further boost the Bank’s ability to attract and retain world-class talent.

Mentoring and developing talent and promoting from within the organization remain a top priority at SICO. CFA and higher education support was provided. Additionally, training courses covering everything from banking and finance to soft skills and topics related to leadership and management, risk, anti-money laundering, and diversity and inclusion were conducted throughout the year in cooperation with leading global and local experts, such as the Bahrain Institute of Banking and Finance (BIBF), Roshcomm, Bloomberg, PRI Academy, and Thomson Reuters Compliance Learning, among others.

SICO participated as a mentor in two “Bloomberg Vision” events, as part of Bloomberg’s GCC gender diversity initiative, “A Fair Share.” As part of the initiative, SICO was able to mentor 25 female students in KSA and to participate in networking sessions that matched female fellows with finance professionals.

SICO employees also participated in the CFA Society Bahrain’s Qodwa Mentorship Program, which pairs candidates with experienced charter holders as mentors who can help them achieve their academic and professional goals. The program, which is currently in its fourth round, has been running successfully and has thus far delivered more than 45 hours of valuable training and 50+ fruitful mentorships.

SICO continued to prioritize the health and safety of its people during year two of the COVID-19 pandemic. The Bank conducted a health checkup for all employees aged 35 and above for women and aged 40 and above for men.

SICO is committed to promoting a flexible work environment for the wellbeing of all its employees. In an effort to provide the best support for staff and ensure optimal work-life balance, SICO is offering Work From Home (WFH) options. SICO’s WFH Policy aims to improve employee wellbeing, increase job satisfaction, improve productivity, and ensure that SICO continues to retain employees and attract talented new applicants.

Strict precautionary measures were taken throughout the year to sanitize offices and provide sanitizers, gloves, and masks for all employees during working hours. Social distancing and masking rules continued to be enforced in order to ensure a safe workspace with all guidelines and policies clearly communicated on email and around-the-clock communication channels available to all employees for guidance and assistance in case of emergency.

In an effort to promote and facilitate open communication between staff and management, SICO held its first virtual town hall meeting in the first quarter of the year where CEO Najla Al-Shirawi shared key updates on the business and thanked the entire team for their resilience and adaptability during the toughest months of the COVID-19 pandemic.

Developing talent, mentoring and promoting from within the organization is a top priority at SICO

Addressing Climate Challenge

SICO is committed to doing its part to help limit climate change and reach the government of Bahrain’s goal of net zero carbon emissions in 2060. We fully recognize that making a positive impact will require collective action, which is why we are working diligently with like-minded entities to promote environmental preservation among our peers and the community at large. We are taking steps to implement green policies with the aim of fostering a healthy, clean, and safe environment.

In 2021, SICO was active with a number of key initiatives that are already starting to have a multiplier effect and make a difference. One of the major environmental initiatives of the year was our support for Bahrain’s national afforestation campaign “Forever Green”. SICO was the first Bank in Bahrain to launch this type of initiative and, as such, management was keen to build on the success of their first project in 2020 to plant trees on 16^th December Avenue in collaboration with the National Initiative for Agricultural Development (NIADBH) and the Northern Municipality. The “Forever Green” campaign aims to plant more than 50,000 trees at 27 sites in various governorates on a total area that covers more than 70,000 sqm at a total cost of more than BD 500,000.

SICO also launched an electronic e-waste initiative in partnership with Crown Industries, a recycling operation in Bahrain. The initiative involved the collection and recycling of discarded electronics, such as mobile phones, computers, and televisions and other personal electronic equipment. Such an initiative not only saves space and reduces storage costs, but also offsets the negative impact of e-waste on the environment.

SICO will continue with both internal green initiatives and the planting of trees in 2022. The Bank is also in the process of conducting its first carbon footprint assessment, scheduled to be complete in Q1 2022.

Developing Our Communities

Education

SICO has always been a firm believer in making quality education available for all. Since establishment, SICO has sponsored multiple education and career development initiatives in partnership with a number of local sponsors, including the BHB, the CFA Society, and the Bahrain Institute of Banking and Finance (BIBF). A key pillar of SICO’s corporate social responsibility program is to provide hands-on training for young Bahrainis that is in sync with the future needs of the job market.

In 2021, SICO signed a new agreement with BIBF to deliver a “Digital Ambassadors” program to provide Bahraini youth with the digital knowledge and skills they need to tackle the professional challenges of the digital transformation. The three-week training program for students in their final year of university introduces them to practical digital tools, skills, and concepts that they will need to enter the workforce.

SICO continued to sponsor the BHB’s TradeQuest Program, a competitive financial simulation that is geared to provide university and high school students with real-life experiences simulating the local and international financial markets. Participants form investment teams consisting of 7–8 members are given virtual portfolios worth BD 500,000 and USD 4 million to invest in companies listed on the BHB and New York Stock Exchange (NYSE). Students are then asked to trade both markets during specified trading sessions via an electronic trading platform on BHB’s website. Students are provided with mentors throughout the process and then evaluated based on their team strategy and the financial performance of their portfolio.

SICO also sponsored the Ibn Khuldoon National School’s 8^th annual Model United Nations (MUN) Conference. The conference brings together students to roleplay as UN delegates and simulate UN committees. MUN participants significantly improve their leadership, public speaking, teamwork, and negotiation skills, while also expanding their vision on contemporary global issues.

In addition, SICO sponsors some of Bahrain’s flagship educational programs, including the Al Mabarrah Al Khalifia Foundation and the Crown Prince’s International Scholarship Program (CPISP). The CPISP is a program established by Bahrain’s Prime Minister and Crown Prince, HRH Prince Salman bin Hamad Al Khalifa, operated through funding by the Crown Prince and a number of local and international sponsors, and it seeks to support talented individuals in their academic journey. SICO has worked with CPISP since 2006 and has supported more than 140 scholars in pursuing higher education degrees at some of the world’s leading educational institutions.

Healthcare and Social Services

SICO has been involved in a number of initiatives over the years aimed at improving healthcare and social services in Bahrain, attesting to the value it places on improving the wellbeing of our community. The Bank regularly extends support to a number of organizations and initiatives. Among the organizations it has previously supported are:

• Smile Bahrain
• Think Pink
• Alia Early Intervention

In addition, SICO sponsors a number of initiatives with the aim of promoting good health and wellbeing among the local community. The Bank has spearheaded multiple initiatives, including blood drives, sponsorships of Movember activities, and breast cancer awareness, and it has also offered support to local football teams in order to promote the revitalization of Bahrain’s sports sector and youth athletics.

In 2021, SICO supported the efforts of the Founder and Chairperson of the Board of the Shaikh Ebrahim bin Mohammed Center for Culture and Research (Shaikh Ebrahim Center), H.E. Shaikha Mai Bint Mohammed Al-Khalifa. The Shaikh Ebrahim Center was established in 2002 as a forum for dialogue on philosophy, literature, poetry, culture, and the arts. Since its inauguration, it has hosted over 400 speakers, philosophers, poets, and thinkers who have presented their thoughts in the center’s weekly lecture program. Additionally, the center has also restored traditional Bahraini houses in Muharraq and Manama.

SICO allocated resources to support the efforts of Bahrain-based non-profit Shamsaha, the Middle East’s only crisis response center for women in search of empowerment, independence, and safety. The funding was targeted toward empowering women who have experienced domestic abuse through covering different expenses, such as medical bills, transportation, and emergency food and shelter, as well as expense related to skills development, microfinance loans, employment, and legal aid. The initiative falls in line with SICO’s longstanding commitment to giving back to its local community and supporting women and vulnerable segments of the society.

SICO also signed an MOU with Warsha Consultancy and Development, Bahrain-based social enterprise, to establish a framework for collaboration on the “Support and Accelerate Women’s Inclusion” (SAWI) project. SAWI is a two-year project funded by the US State Department and the Middle East Partnership Initiative (MEPI) that aims to partner with 10 transnational Bahraini employers from the higher education, STEM, healthcare, and banking sectors to develop, improve, and implement inclusive policies and practices for improved recruitment, retention, and promotion of women. The MOU outlines the basis for collaboration regarding the improvement of inclusive HR polices at both SICO and in the Kingdom of Bahrain. It tasks both parties with working closely to draft and improve new and existing policies that focus on improving the recruitment, retention and promotion of women, and removing barriers that stand in the way of women’s employment. The collaboration also entails the proposal of concrete initiatives that will support the implementation of such policies.

SICO supported a nationwide public awareness campaign on fraud spearheaded by the Bahrain Association of Banks (BAB) to create awareness of electronic fraud operations targeting financial services.

The campaign’s messages, delivered under the hashtag (#Be_Alert), were communicated on various digital channels to users of financial services in Bahrain in an effort to help combat and curb the spread of fraudulent activities.