Based on the decision of our Board of Directors, we became a signatory of the PRI on February 19, 2020, and committed to act in the best long-term interests of our beneficiaries. We believe that ESG issues can affect the performance of investment portfolios (to varying degrees across companies, sectors, regions, asset classes, and time). We also recognize that applying these principles may better align investors with broader objectives of society. Therefore, we committed to the following:
• To incorporate ESG into investment analysis and decision-making processes;
• To be an active owner and incorporate ESG into our ownership policies and practices;
• To seek appropriate disclosure on ESG by the entities in which we invest;
• To promote acceptance and implementation of the principles within the investment industry;
• To work with the PRI Secretariat and other signatories to enhance their effectiveness in implementing the principles; and
• To report on our activities and progress towards implementing the principles.
Our management promotes and supervises the implementation of responsible investment across the entire organization. Furthermore, the management supervises the inclusion of climate-related risks in any applicable investment cases by the analyst team and the dedicated ESG analyst.
We hold meetings from time to time regarding ESG of relevant investments including climate change, pollutant emissions, human capital management, occupational health and safety, ownership and control, litigation status, etc. and ensure that all the investment and risk management processes of our investment cases before and after investment are reviewed and tracked.
For example, when implementing investment and risk management related to climate change, we will conduct pre-investment and post-investment reviews and tracking according to whether climate change is a material topic for relevant investment activities. Climate change is one of the priority issues for us to consider when it makes investments in products related to equity investments and catastrophe bonds (i.e., some sectors with high climate change vulnerability). Relevant investment and risk management will be strictly implemented.