Yuanta Financial Holding Company (FHC) has announced new measures to align its sustainability practices with global standards and increase the transparency of its sustainability information. The company’s 2024 Climate and Nature-related Financial Disclosures Report adopts the International Financial Reporting Standards (IFRS) S2 Climate-related Disclosures, reflecting an effort to meet international benchmarks in environmental, social, and governance (ESG) reporting. For three years in a row, Yuanta FHC’s Task Force on Climate-related Financial Disclosures (TCFD) Report has received “Level 5+ (Excellence)” certification from the British Standards Institution for compliance audits.
According to Yuanta FHC, the company is focusing on sustainable financial products, responsible investment and financing, low-carbon operations, and sustainable supply chains as part of four transformation strategies: energy, industry, lifestyle, and society. These efforts are intended to improve both the completeness and transparency of ESG disclosures.
The company also emphasized its commitment to social stability by integrating anti-fraud initiatives into daily operations. "Adhering to the concept of social inclusion and mutual prosperity, Yuanta FHC strives to become a force for social stability by integrating anti-fraud measures into daily operations, carrying out customer care, and conducting anti-fraud publicity campaigns on a non-scheduled basis," according to the company statement. It highlighted the launch of an “Anti-Fraud Hotline” that offers 24-hour real-time consultation and assistance. The firm is also using artificial intelligence technology to detect abnormal cash flows in advance as a way to protect customer rights and assets.
Yuanta FHC said it manages sustainability opportunities and risks by incorporating financial impact assessments into its processes. The company references IFRS sustainability disclosure standards along with the “double materiality principle,” which considers both how sustainability issues affect Yuanta FHC itself and how its actions impact society and the environment. "The aim is to strengthen operational resilience and assist investors in understanding the true sustainability risks and opportunities," according to their release.
This year marks Yuanta FHC’s first full disclosure of voluntary adherence to both the Principles for Responsible Investment (PRI) and Principles for Responsible Banking (PRB) in its ESG report. This move aims at helping investee companies improve their own environmental, social, and corporate governance practices.
Yuanta FHC stated that its 2024 TCFD Report exceeds regulatory requirements by explaining climate- and nature-related risk management through governance structure, strategy development, risk management systems, as well as performance indicators and targets. The group completed carbon inventory assurance for all financial assets under management in support of achieving net-zero emissions by 2050.