Climate Change Data

SPARX Group

Climate Impact & Sustainability Data (2021-04-01 to 2022-03-31, FY2022 (to March 31, 2023), FY2023 (to March 31, 2024))

Reporting Period: 2021-04-01 to 2022-03-31

Environmental Metrics

Total Carbon Emissions:132.77 tCO2e/year
Scope 1 Emissions:6.13 tCO2e/year
Scope 2 Emissions:126.64 tCO2e/year
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:Not disclosed
Water Consumption:Not disclosed
Waste Generated:Not disclosed
Carbon Intensity:167.07 tCO2e/1M US$

ESG Focus Areas

  • Climate Change

Environmental Achievements

  • Reduced Scope 1 and Scope 2 GHG emissions by 6.5% from FY2020 to FY2021 (141.98 tCO2e to 132.77 tCO2e)

Social Achievements

  • Not disclosed

Governance Achievements

  • Established a “Basic Sustainability Policy”, a Group Risk Management Committee, and a Responsible Investment Committee to address climate-related risks and opportunities.

Climate Goals & Targets

Long-term Goals:
  • Achieve carbon neutrality by 2050 for all portfolio companies and projects.
Medium-term Goals:
  • 33% reduction in GHG emissions by FY2030 (compared to FY2020 baseline).
Short-term Goals:
  • By 2025, at least 50% of the listed equity and alternative equities investment portfolio companies should support TCFD and implement emission reduction plans.

Environmental Challenges

  • Physical risks from large-scale natural disasters impacting business continuity and asset values.
  • Transition risks from stricter climate-related regulations and decarbonization technology adoption impacting asset values.
Mitigation Strategies
  • Regularly reviews BCP and bolsters management systems for business continuity.
  • Monitors and manages climate-related risks alongside other ESG factors in the risk management process.
  • Conducts scenario analysis to understand the impact of climate change on client assets.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Not disclosed

Climate-Related Risks & Opportunities

Physical Risks
  • Large-scale natural disasters
Transition Risks
  • Stricter climate-related regulations and decarbonization technology adoption
Opportunities
  • Potential corporate revenue from technological innovations and market changes addressing climate change problems

Reporting Standards

Frameworks Used: TCFD

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Not disclosed

Awards & Recognition

  • Not disclosed

Reporting Period: FY2022 (to March 31, 2023)

Environmental Metrics

Total Carbon Emissions:109.80 tCO2e/year
Scope 1 Emissions:6.13 tCO2e/year
Scope 2 Emissions:103.67 tCO2e/year
Scope 3 Emissions:576.47 tCO2e/year (estimated)
Renewable Energy Share:Not disclosed
Total Energy Consumption:Not disclosed
Water Consumption:Not disclosed
Waste Generated:Not disclosed
Carbon Intensity:Not disclosed

ESG Focus Areas

  • Climate Change

Environmental Achievements

  • Reduced Scope 1 and Scope 2 GHG emissions by 22.7% from FY2020 to FY2022 (109.80 tCO2e in FY2022)
  • Switched six Japanese Group companies to renewable energy contracts in September 2022.

Social Achievements

  • Not disclosed

Governance Achievements

  • Established a Basic Sustainability Policy and governance structure involving the Board of Directors and Management Meeting.
  • Established a Sustainability Planning department.
  • Established a Group Risk Management Committee.
  • Established a Responsible Investment Committee.

Climate Goals & Targets

Long-term Goals:
  • Achieve carbon neutrality by 2050 for all Group companies and portfolio companies.
Medium-term Goals:
  • 33% reduction in Scope 1 and Scope 2 GHG emissions by FY2030 (compared to FY2020).
Short-term Goals:
  • By 2025: At least 50% of portfolios in all Japanese Equity funds should be companies supporting TCFD and implementing emission reduction plans.

Environmental Challenges

  • Physical risks from natural disasters (acute and chronic)
  • Transition risks from stricter regulations and market shifts
  • Reputational risks from a lack of effort in addressing climate change
Mitigation Strategies
  • Regularly reviews BCP and bolsters management systems for business continuity.
  • Managing climate-related risks as a factor impacting all risk categories (under Basic Group Risk Management Rules).
  • Working to develop a framework to encourage portfolio companies to promote climate change-related initiatives.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Not disclosed

Climate-Related Risks & Opportunities

Physical Risks
  • More disasters, including torrential rains and massive typhoons
  • Increased damage to Group offices or employees
  • Negative impact on earnings due to rising sea levels
Transition Risks
  • Rising GHG emission prices (carbon taxes)
  • Tighter emissions reporting system requirements and regulations
  • Delayed response to changes in industrial structure due to rapid technological innovation
  • Changing investor preferences
Opportunities
  • Potential corporate revenue from technological innovations and market changes addressing climate change problems
  • Finding investment opportunities in companies possessing technologies that will bring about rapid changes in the industrial structure

Reporting Standards

Frameworks Used: TCFD

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Not disclosed

Awards & Recognition

  • Not disclosed

Reporting Period: FY2023 (to March 31, 2024)

Environmental Metrics

Total Carbon Emissions:80.96 tCO2e/year (Scope 1 & 2)
Scope 1 Emissions:5.30 tCO2e/year
Scope 2 Emissions:75.66 tCO2e/year
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:Not disclosed
Water Consumption:Not disclosed
Waste Generated:Not disclosed
Carbon Intensity:Not disclosed

ESG Focus Areas

  • Climate Change

Environmental Achievements

  • Reduced Scope 1 and Scope 2 GHG emissions by 43.0% from FY2020 to FY2023 (80.96 tCO2e in FY2023)
  • Switched six Japanese Group companies to renewable energy contracts in September 2022

Social Achievements

  • Not disclosed

Governance Achievements

  • Established a Sustainability Planning department
  • Established a Group Risk Management Committee
  • Established a Responsible Investment Committee

Climate Goals & Targets

Long-term Goals:
  • Achieve carbon neutrality by 2050 for all portfolio companies and projects
Medium-term Goals:
  • Not disclosed
Short-term Goals:
  • By 2025: At least 50% of portfolios in Japanese Equity funds to be companies supporting TCFD and implementing emission reduction plans

Environmental Challenges

  • Physical risks from natural disasters
  • Transition risks from stricter regulations and market shifts
  • Reputational risks from insufficient climate action
Mitigation Strategies
  • Regularly reviews BCP and management systems for business continuity
  • Developing a framework to encourage portfolio companies' climate initiatives
  • Utilizing climate change-related data from external vendors for investment decisions

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Not disclosed

Climate-Related Risks & Opportunities

Physical Risks
  • More disasters, including torrential rains and massive typhoons
  • Increased damage to Group offices or employees
  • Negative impact on earnings due to rising sea levels
Transition Risks
  • Rising GHG emission prices
  • Tighter emissions reporting system requirements
  • Delayed response to changes in industrial structure
  • Changing investor preferences
  • Increased reputational risk
Opportunities
  • Potential corporate revenue from technological innovations and market changes addressing climate change problems
  • Finding investment opportunities in companies possessing technologies that will bring about rapid changes in the industrial structure

Reporting Standards

Frameworks Used: TCFD

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Not disclosed

Awards & Recognition

  • Not disclosed