OCBC

The financial institution assigns decision-making and oversight responsibility for its sustainability strategy to the highest governance body, with performance criteria for senior executive remuneration linked to sustainability targets. Furthermore, it delegates the responsibility for implementing its sustainability strategy to specific functions or teams within the institution.

The institution transparently identifies the key sectors, clients and investees for climate engagement and monitors its Scope 1-2 emissions. Moreover, it has interim targets for the latest 2030 aligned with a 1.5C trajectory and demonstrates that its Scope 1-3 emissions are reducing in line with these targets. Lastly, the institution reports its operational details by country.

The financial institution expects suppliers to respect specific workers’ rights but has the opportunity to reference all ILO fundamental rights at work. While anti-bribery and anti-corruption clauses are included in contracts with its business relationships, the consequences of breaching these clauses are not specified. The institution states it does not make political contributions in its Sustainability Report, yet this commitment is not formalised in a public policy document.

While the institution identifies and prioritises material sustainability impacts, it has the opportunity to disclose the objective criteria and evidence used in its materiality analysis. Although it provides a partial list of trade associations it is a member of, disclosing a comprehensive list would further improve transparency. The institution refers to sectors and areas for nature-related impacts but could explain how those were identified and prioritized as those with the highest impact with regard to its provision of products, services, and capital.

It is recommended that the financial institution disclose the breakdown of clients or beneficiaries by income group and clarify processes to prevent divestment from low-income and lower-middle-income countries due to its sustainability strategies and targets. Its risk assessment process should incorporate risks related to ILO fundamental rights at work for those affected by its products and services, with a mitigation process for identified risks.

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.