Nomura Holdings

Nomura discloses its positive engagement with companies on supporting the Task Force on Climate-related Financial Disclosures recommendations and disclosure, disclosing targets for the ratio of women in managerial positions and setting greenhouse gas emissions reduction plans. Furthermore, the bank has identified and prioritised its impacts through a materiality assessment process which included feedback from internal and external stakeholders.

As a member of Net-Zero Banking Alliance (NZBA), Net Zero Asset Manager Initiative (NZAMI) and Climate Action 100+, Nomura discloses a target of net-zero financed emissions by 2050 and that it collectively engages with its clients on the topic of climate change. In relation to biodiversity, the bank commits to preventing related negative impacts associated with its products and to monitoring clients on biodiversity-related issues in its wholesale division and investment. In addition, Nomura provides evidence that it collectively engages with its clients and investees on the topic of deforestation.

Nomura discloses the proportion of its total direct operations workforce for each employee category by age group and gender. Furthermore, it has a policy prohibiting bribery and corruption as well as a global tax strategy.

Nomura has an opportunity to assign responsibility for sustainability to the board of directors and link the remuneration of its senior leadership to sustainability performance criteria. The bank has the opportunity to disclose a commitment to gender equality and women empowerment, the proportion of women in senior leadership roles and how it addresses any gender pay gaps. Women are also underrepresented on the board of directors where only three out of 12 board members are women. For its asset management and wholesale divisions, Nomura discloses its approach to environmental, social and governance (ESG) engagement but could provide similar evidence for its retail division as well as describe its approach to engagement escalation.

Nomura has an opportunity to disclose the key sectors and companies it has identified as priorities to engage with on climate change, specifically on the alignment with the Paris Agreement. Although the bank discloses the amount of finance provided towards sustainable finance and investment, it could provide similar evidence specifically devoted to climate solutions, including related targets. Furthermore, Nomura Asset Management has an interim emission reduction target by 2030 but the bank has an opportunity to set an interim target at the group level. No evidence was found regarding Nomura’s approach to fossil fuels that spans across the fossil fuel value chain and its financing activities, such as the amount or share of finance it directs towards fossil fuels or its stance on financing companies with new fossil fuel projects.

Nomura could disclose publicly available policy statements committing it to respect human rights, the ILO core labour rights, and the health and safety of workers. Furthermore, the bank has an opportunity to describe a comprehensive process for identifying its human rights risks and impacts across all its activities, and to establish a grievance mechanism accessible to all stakeholders to raise human rights and bribery and corruption complaints. To provide transparency on financial inclusivity, Nomura has an opportunity to disclose the amount of finance directed towards low-income developing countries.