ESG Governance and Oversight

In 2021, an internal ESG committee was established to focus on enhancement of relevant policies, procedures and disclosures to reflect Ambac’s ESG practices and objectives. To ensure that ESG is appropriately managed and communicated throughout the organization, we have designed the following governance structure:

  • Board of Directors: Primary oversight of ESG activities has been assigned to the Governance & Nominating Committee, which will oversee strategy and public reporting
  • Executive Leadership Sponsors: Ambac's CEO, General Counsel and Chief of Staff will provide direction on ESG strategy and public reporting
  • ESG Committee: Senior leaders from Investor Relations, Legal, Human Resources and Investment Portfolio Management meet frequently to drive decision-making, accountability and ownership of ESG reporting and policy initiatives
  • Employees: Ambac’s commitment to ESG is firmwide and includes input and participation from employees across the organization
ESG Structure

Corporate Social Responsibility and Sustainability

Ambac's long-term success depends not only on how we execute against our strategic priorities but also how we manage our relationships with our stakeholders, the communities in which we work, and our employees. For this reason, we take an integrated approach to sustained value creation and managing risk in and around our business. In 2021, Ambac developed responses to the Global Reporting Initiative ("GRI") voluntary reporting framework and, with respect to certain investments, the "key performance indicators" promulgated by the Sustainability Accounting Standards Board ("SASB").

Click the links to review our GRI Content Index and SASB Content Index.

Business Overview

Ambac Financial Group, Inc.'s largest subsidiary, Ambac Assurance Corporation, is in active run off and has not written new business since 2007. We are an event driven company which impacts our ability to drive our strategic initiatives. Our primary focus is on risk reduction, loss mitigation and asset recoveries with risk management playing a key role in our operations.

Ambac's Risk Management Group is primarily responsible for the development, implementation and oversight of loss mitigation strategies, surveillance and remediation of our insured portfolio. We continue to aggressively pursue and execute on various strategies to stabilize our insurance platform in order to reduce and mitigate potential adverse development, preserving future optionality and opportunities. Strategies implemented include commutations, risk transfers through reinsurance and other measures, proactive facilitation of refinancings, and policy terminations. In 2020, our active de-risking efforts resulted in an 8% decrease of our riskiest exposures, or Adversely Classified and Watchlist Credits, to $13.2 billion at December 31, 2020. By de-risking our legacy insurance platform, we believe the performance of this portion of our business will become more stable and predictable over time.

As we look to expand our operations by exploring opportunities involving the acquisition and/or development of new businesses, risk versus reward remains at the forefront of our decision-making process, including Sustainability and Corporate Responsibility.