Japan Pension Fund Association

No leading practices identified for the financial institution.

It is recommended that the financial institution discloses that it links performance criteria for remuneration at the senior executive level to specific sustainability targets. It has an opportunity to disclose how it determines a living wage for the regions where it operates and could disclose a publicly available policy statement prohibiting bribery and corruption. In addition, the institution could disclose the breakdown of clients and/or beneficiaries by income group.

It is recommended that it discloses that it conducts third-party assurance or verification of their target reporting and that it monitors other scope 3 categories (by category), and details the methodology applied in their footprint calculation. The financial institution could disclose that it has established a transition plan covering its own operations, supply chain and portfolio and that it’s scope 1-3 emissions reduce in line with its interim targets. It is also recommended that the financial institution discloses its processes for avoiding divestment from low-income and lower-middle countries as unintended consequences of its sustainability strategies and targets.

It could also disclose that it’s risk assessment process includes risks associated with the ILO fundamental rights at work for those impacted by its provision of products, services and capital, and that it has a process for mitigating such risks when identified. Moreover, it is recommended that it discloses that it has a process for identifying the social risks associated with its provision of products, services and capital in relation to the net zero transition, and it could provide an example of the specific conclusions reached and actions taken or to be taken on at least one of its salient human rights issues of it’s the products, services and capital it offers as a result of assessment processes in at least one of its activities in the last three years.

This scorecard refers to information in English which was publicly available by July 15 2024. AuM and Total assets are stated in USD for comparability and have been calculated based on reported local currency values multiplied by applicable IMF currency converter values.