Offenbach wants to invest money sustainably and securely with investment guidelines

At its last meeting, the City Council adopted an investment guideline for the city. With immediate effect, these guidelines regulate how and where Offenbach invests available funds. The central aspect here is the security of the investments.

The investment guideline thus takes into account the principle of the Hessian Municipal Code to avoid financial risks and primarily to ensure the constant solvency of the treasury. The security of the investment therefore also has priority over maximizing the potential return. Specifically, the administration must ensure an appropriate mix and diversification of investments on the one hand and take into account the creditworthiness of the debtor (exclusively investment grade) on the other. "We have a responsibility towards our citizens," says City Treasurer Martin Wilhelm. "The investment guideline not only specifies where and how the available funds can be invested, but also reminds us to use them consciously and sustainably."

In addition to the security of the investment, the City of Offenbach is committed to investing its money sustainably in future with the new guideline. In doing so, it will be guided by compliance with ethical, ecological, human rights and democratic standards. "The ten principles of the UN Global Compact have provided us with important guidance in this regard," explains Markus Riedl, Head of the Municipal Treasurer's Office. "Aspects such as discrimination, environmental protection, human rights violations as well as child and forced labor are also playing an increasingly important role in the way we invest and spend money. We want to be more mindful and act responsibly here." Accordingly, investments with debtors that violate the principles of the UN Global Compact or generate significant sales in the area of controversial weapons or with the production of nuclear energy are to be excluded.

In 2023, the City of Offenbach invested up to 200 million euros at its peak. This mainly relates to investments in public institutions.

The investment guidelines apply to the City of Offenbach as well as to the city's own municipal companies and legally dependent foundations. Stadtwerke Offenbach draws up its own guidelines for all municipal utility companies, but these will essentially be based on the city's investment guidelines.