Our work, investments and processes has environment, social and governance (ESG) considerations built firmly in our core. We are determined to support the firms we invest in to improve their corporate value and grow sustainability by putting ESG factors first in their businesses.
As a company, we influence and nurture a culture of people creating multiple impact in our workplaces, communities and the world we live in.
Since 2018, our Corporate Sustainability Department has driven sustainability into our corporate culture. From curating our strategy and aligning ourselves to maximise our impact in our offices through 3 core pillars: Diversity, Equity & Inclusion, Social Impact & Well Being and Environment & Climate.
We also support employee volunteering, fundraisers for disaster reliefs and contributions towards various causes within our Corporate Sustainability remit.
Nikko AM sees the implementation of environmental, social, and governance (ESG) factors in our investment processes as an ongoing journey of how best to apply the highest standards.
ESG factors are rooted in our investment philosophy, with a process that consistently integrates ESG considerations. We believe that attention to ESG is about good investment discipline and is not a separate exercise. Instead, it is core to the business and inherent to long-term value creation.
Sustainability and ESG factors are the driving force behind our investment decisions. In 1999, we launched Japan’s first socially responsible investment fund, and we keep improving our ESG efforts and developing innovative ESG solutions for your investments. For example, the pioneering ESG assessments and digital tools we have created help us to make the best possible decisions.
We also understand the urgent need to address climate change through our business so, in 2021, we joined the Net Zero Asset Managers Initiative. In November 2022, as part of our participation in the initiative, we have launched a 2030 greenhouse gas emission reduction target. This interim target is to reduce our greenhouse gas emissions by 50% by 2030 (compared to levels as of 31 December 2019) for 43% of total groupwide AUM (as of end December 2021). Further details with regards to our climate change approach will be released in our next TCFD report. This shows our commitment to strengthening our response to the crisis, in line with the Paris Agreement.