Environment
HP Fonds seeks to contribute to the reduction of CO2 footprints on both an operational and investment level. Investing in mortgage bonds helps to contribute to this, as the direct access to cheap financing for the borrower makes it possible to make environmental improvements on homes and properties. If there are suitable opportunities within the HP Fund's investment universe to invest in bonds earmarked for financing environmentally friendly initiatives, investment will be made.
Society
Danish mortgage bonds are a socially beneficial instrument. First of all, it provides cheap financing, which promotes ownership of one's own home; it increases the likelihood of ongoing maintenance and care for the surroundings, thus providing cleaner and better cities. The callable option embeded allows the borrower to repay the loan by repaying the outstanding debt at par and thus reduces the risk of debtor insolvency in the event of falling interest rates, which is also good for job mobility in society; and since the borrower simply issues a bond through a given mortgage lender, he can repurchase bonds in the market and deliver back to the lender to repay the loan. This repurchase option means that the borrower's real outstanding debt is reduced by rising interest rates and that the risk of insolvency is also reduced here; ultimately for the benefit of the bond market, bondholders and society.
Governance
The legal requirements for lending in mortgage institutions have been worked through for many years, and appear solid with thorough registration of loans as well as real estate and provide cheap housing finance in support of a democratic and egalitarian societal development.
HP Fonds will in no way participate in or make money laundering possible. That is why we have developed effective policies and business procedures for anti money laundering area, just as this is a special focus area for the company's compliance officer.
HP Fonds focuses on creating good working conditions for its employees, which is reflected in the high average seniority the Company has.
HP Fonds has an open corporate culture and does not discriminate on the basis of gender, race, sexuality or religion.