Fubon Financial

In terms of senior leadership accountability, the responsibility for sustainability issues within Fubon Financial lies with the Corporate Governance and Sustainability Committee. Additionally, Fubon Financial has gender-balanced representation among its senior leadership roles where 41.7% are women. In terms of its approach towards impact management, it acknowledges that its financing activities have both positive and negative impacts. Fubon Financial also discloses a list of trade associations of which it is a member including sustainability- and non-sustainability-related organisations.

Fubon Financial’s subsidiary, Fubon Asset Management, is a member of Climate Action 100+. Moreover, Fubon Financial discloses the aggregate amount and share of finance it devotes to climate solutions while specifying what these solutions are (they include green bonds). Fubon Financial provides evidence that it collectively engages with companies to which it provides financial services on the topic of their nature- and biodiversity-related impacts by being a member of FAIRR.

Fubon Financial has publicly available policy statements committing it to respect human rights, the ILO core labour rights, and the health and safety of workers. It describes the process for identifying and assessing its human rights risks and impacts in specific locations or activities covering its own operations and discloses what it considers to be its salient human rights issues. Fubon Financial further describes its global system to take action to prevent, mitigate or remediate salient human rights issues, and this includes a description of how its global system applies to its financing activities. Fubon Financial discloses the proportion of its total direct operations workforce for each employee category by age group and gender. It also discloses the amount of finance it directs towards SMEs. Fubon Financial has a policy prohibiting bribery and corruption and discloses a global tax strategy which an executive-level body has responsibility over. It also discloses income tax payments for all its tax jurisdictions.

In terms of its approach to senior leadership accountability, Fubon Financial could link the remuneration of its executive and management teams to sustainability performance criteria. Fubon Financial discloses a statement committing to gender equality but has an opportunity to commit to women’s empowerment as well. In terms of female representation in leadership positions, women are underrepresented on the board of directors where only two out of 15 board members are women. In addition, Fubon Financial could disclose the ratio of basic salary and remuneration of women to men in its total direct operations workforce for each employee category and the actions taken to address any pay gaps. Moreover, Fubon Financial has an opportunity to describe its engagement approach on sustainability themes and impact topics with clients and investees.

Fubon Financial has an opportunity to disclose a target to reach net-zero financed emissions by 2050 as well as interim emissions reduction targets at the group level, such as a 45% reduction in financed emissions by 2030. Fubon Financial could disclose key sectors or companies identified as priorities to engage with on climate issues, specifically alignment with the Paris Agreement, and that the latter is one of its engagement priorities with companies to which it provides financial services. Fubon Financial could align its climate solutions (green bonds) with internationally recognised frameworks and disclose time-bound targets explicitly for its climate solutions. Regarding nature and biodiversity, Fubon Financial could demonstrate how it is committed to minimising its negative impacts or financing regenerative solutions.

Fubon Financial has an opportunity to describe the process for identifying its human rights risks and impacts through its relevant financing activities. Moreover, it could disclose the amount of finance directed towards women-owned businesses, another usually excluded group and low-income developing countries. Fubon Financial has a grievance mechanism accessible to workers and external stakeholders but it is unclear whether it can be used to raise human rights complaints and if complainants can choose to remain anonymous.