China Vered Financial Holding Corporation Limited
Climate Impact & Sustainability Data (2022, 2023)
Reporting Period: 2022
Environmental Metrics
Climate Goals & Targets
Long-term Goals:
- Setting a Foothold in Hong Kong, Covering Asia, Focusing on the Future Globalisation Process
Environmental Challenges
- Sluggish Hong Kong financial market conditions due to global financial instability, including the "triple kill" in the stock, bond, and foreign exchange markets.
- Downward trend in the real estate industry.
- Suspension of trading due to late release of 2021 audited results.
Mitigation Strategies
- Focus on risk prevention and control, liquidity management, and enhanced asset allocation.
- Adherence to a "double reduction" strategy (cutting fixed-income asset proportion and lowering concentration risk in real estate).
- Strategic disposal of assets with potential risk.
- Efforts to resume trading in accordance with Stock Exchange requirements.
Supply Chain Management
Climate-Related Risks & Opportunities
Reporting Period: 2023
Environmental Metrics
Total Carbon Emissions:124.49 tCO2e/year
Scope 1 Emissions:1.18 tCO2e/year
Scope 2 Emissions:111.99 tCO2e/year
Scope 3 Emissions:12.32 tCO2e/year
Total Energy Consumption:197.64 MWh/year
Waste Generated:0.6548 tonnes/year
Carbon Intensity:2.88 tCO2e/m2
ESG Focus Areas
- Product and service quality
- Customer service and level of satisfaction
- Anti-corruption
Environmental Achievements
- Implemented energy-saving measures (LED lighting, T5 fluorescent tubes, maintaining indoor temperature at 25°C), resulting in a reduction of greenhouse gas emissions.
- Implemented a continuous internal recycling program for consumable goods.
Social Achievements
- No strikes or workplace fatalities.
- Provided comprehensive benefit packages, career development opportunities, and internal training.
- Implemented health and safety measures (clear passages, fire drills, first-aid boxes, etc.).
- Provided anti-corruption training to directors and employees.
Governance Achievements
- Compliance with the Code Provisions of the CG Code.
- Established an Audit Committee, Nomination Committee, and Remuneration Committee.
- Adopted a Board Diversity Policy.
- Adopted the Model Code for Securities Transactions by Directors of Listed Issuers.
Climate Goals & Targets
Medium-term Goals:
- Reduce greenhouse gas emission intensity by 10% (in tCO2e/m2) within 10 years starting from 2022.
- Reduce waste generation intensity by 20% (in kg/m2) within 10 years starting from 2022.
- Reduce total energy consumption intensity by 20% (in MWh/m2) within 10 years starting from 2022.
Environmental Challenges
- Volatility and uncertainty of macroeconomic conditions.
- Financial volatility.
- Uncertain economic outlook and political conditions.
- Potential impact on economic activities and asset prices.
- Impact of local and international regulations.
- Third-party risks.
Mitigation Strategies
- Maintained prudence and temperance in management.
- Optimized internal management, strengthened risk prevention and control, and improved corporate governance.
- Launched private credit, special opportunity investment, and cross-border wealth management businesses.
- Implemented a “double reduction” strategy to minimize the negative impact of real estate and risky assets.
- Actively revitalized existing assets and accelerated cash realization.
- Focused on high-quality, high-growth areas.
- Explored special opportunities for non-performing assets.
- Implemented cost control measures.
- Engaged only reputable third-party providers and closely monitored their performance.
Supply Chain Management
Responsible Procurement
- Transparent and fair procurement process considering environmental and social risks, integrity, competence, quality, and price.
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather events (typhoons, storm surges, heavy rains) causing employee injuries, power outages, supply chain disruptions, and damage to assets.
Transition Risks
- Tightening of climate-related policies incurring costs and rising operating costs.
Opportunities
- Development of energy-efficient products and promotion of green financial services.
Reporting Standards
Frameworks Used: Hong Kong Stock Exchange ESG Reporting Guide
UN Sustainable Development Goals
- SDG 3
- SDG 4
- SDG 7
- SDG 8
- SDG 10
- SDG 12
- SDG 13
- SDG 16
The Group has established eight SDGs most relevant to its business and sustainable development strategy.