Sompo Holdings

The financial institution has a publicly available policy statement committing to respect ILO core labour rights and human rights. Decision-making and oversight responsibility for the sustainability strategy is assigned to the highest governance body, while implementation responsibility is delegated to specific functions, teams, or committees. It discloses a list of trade associations it is a member of.

The financial institution does not provide products, services, or capital to new fossil fuel projects or clients involved in such projects. It identifies key sectors, clients, and investees for engagement on climate issues and monitors its scope 1-2 emissions, as well as emissions from associated financing activities (scope 3 category 15) and other scope 3 categories by category.

The financial institution has an opportunity to disclose its methodology for determining a living wage in its operational regions and to include anti-bribery and anti-corruption clauses in contracts. It states that political contributions are made with internal approval but could clarify if these are exceptions and the criteria for them.

While the financial institution identifies material sustainability impacts, further detail on the objective criteria used for prioritisation could be explained. Although third-party assurance is conducted for GHG target reporting, there is no evidence of similar verification for other targets. It is recommended to link senior executive remuneration to specific sustainability targets.

The financial institution could present a time-bound strategy for phasing out support for fossil fuel projects lacking alignment with a 1.5°C trajectory and provide comprehensive details on its carbon footprint calculation methodology, including emissions coverage and data sources. Other recommendations include disclosing client breakdowns by income group, processes to avoid negative impacts on low-income countries, risk assessments related to ILO fundamental rights, and mitigation processes for identified risks. Additionally, it could identify social risks associated with its products and services in the net zero transition and provide examples of actions taken on salient human rights issues of its products, services and capital 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.