Climate Change Data

Environmental Metrics

ESG Focus Areas

• Sound development of society
• Support for investment and asset building
• Well-being and diversity of directors and employees
• Management structure to support business growth

Environmental Achievements

• Increased electronic delivery of documents to 99.6% from 98.7% in FY2021, reducing paper usage.
• Sourcing beverages in label-less PET bottles.
• Encouraging reduced energy use through lower air-conditioning settings.
• Replacing ceiling lighting with LED lighting.

Social Achievements

• Launched "Money Satellite," a video streaming platform providing investment information.
• Doubled the headcount of representatives at the share trading helpline.
• Launched a new investment information tool, "Market Lab."
• Maintained a low employee turnover rate of 6.5% in FY2022.
• Achieved 15.9% women in managerial positions in FY2022.

Governance Achievements

• Transitioned to a company with an Audit and Supervisory Committee.
• Established the Nomination and Remuneration Committee.
• Implemented a 360-degree feedback system for employee evaluation.
• Conducted an evaluation of Board effectiveness.

Climate Goals & Targets

Environmental Challenges

• High dependence of main revenue source (stock brokerage) on high-frequency traders, leading to correlation between stock market conditions and business performance.
• Competition in the online securities industry, including commission reductions.
• Need to diversify revenue sources.
• Maintaining customer trust and reliability in a changing business environment.
• Addressing the 20 million yen problem (retirement savings shortfall).

Mitigation Strategies

• Strengthening forex business, U.S. equity business, and investment trust business.
• Improving service quality and convenience of trading tools.
• Expanding product and service lineup to meet diverse investor needs.
• Enhancing communication with customers through various channels.
• Providing easy-to-understand investment information and support.
• Maintaining a high ROE to exceed the cost of equity.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: IFRS Foundation’s International Integrated Reporting Framework, SASB standards, UN’s Sustainable Development Goals (SDGs), GRI standards

Awards & Recognition

• Three stars on the 2023 HDI-Japan Help Desk Benchmark (security industries category) for 13 consecutive years.

Environmental Metrics

ESG Focus Areas

• Corporate Governance
• Stakeholder Engagement
• Human Capital Development
• Information Disclosure and Transparency
• Sustainability

Social Achievements

• Achieved growth in employee engagement scores every year since FY2019.
• Certified by the Minister of Health, Labour and Welfare (Kurumin Certification) as a company that supports child-rearing.
• Exceeded targets for training time and cost per employee in FY2023.

Governance Achievements

• Established a whistle-blowing system with a third-party organization.
• Established the Nomination and Remuneration Committee, consisting mainly of Outside Directors, to monitor conflicts of interest between major shareholders and minority shareholders.
• Actively discloses information, including monthly business figures and non-financial information, in an Integrated Report on its website.

Climate Goals & Targets

Environmental Challenges

• The volatile nature of the financial markets greatly affects securities, the Company’s main business.

Mitigation Strategies

• Formulated an 18-month management plan based on market and competitive environments to adapt to rapid changes.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: SASB, GRI, SDGs, TCFD

Certifications: Kurumin Certification