Sustainable Development Information
The company’s Board of Directors has approved the Sustainable Development Best Practice Principles and Sustainable Development Policy to establish a framework for promoting sustainability. Additionally, the company has established a functional committee, the Integrity and Sustainability Committee, composed of three independent directors. This committee is required to convene at least once a year and is responsible for formulating and overseeing the implementation of integrity management policies and preventive measures, as well as supervising sustainability and fair treatment-related matters. Its main responsibilities include:
- Assisting in integrating integrity and ethical values into the company’s business strategies and establishing anti-corruption measures in compliance with legal and regulatory requirements.
- Regularly analyzing and assessing the risks of unethical behavior within the company’s business operations and formulating preventive measures accordingly, including setting up standard operating procedures and behavioral guidelines for relevant work activities.
- Planning internal structures, staffing, and responsibilities to implement a monitoring and checks-and-balances mechanism for business activities with a higher risk of unethical behavior.
- Promoting and coordinating integrity policy training and awareness programs, as well as establishing a whistleblowing system to ensure its effectiveness.
- Assisting in embedding sustainability and fair treatment values into the company’s corporate culture.
- Reviewing the company’s policies and objectives regarding sustainable development and fair treatment.
- Supervising the implementation and effectiveness of the company’s sustainability and fair treatment initiatives.
In 2025, the Ethics and Sustainability Committee convened a total of four meetings to deliberate on a number of important proposals. The key matters are summarized in the table below, and all were duly submitted to the Board of Directors for resolution in accordance with established procedures.
| Meetings | Key Matters Discussed |
|---|---|
| March 5, 2025 The 3rd Term, 3rd Meeting of the Ethics and Sustainability Committee |
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| May 6, 2025 The 3rd Term, 4th Meeting of the Ethics and Sustainability Committee |
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| August 19, 2025 The 3rd Term, 5th Meeting of the Ethics and Sustainability Committee |
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| November 5, 2025 The 3rd Term, 6th Meeting of the Ethics and Sustainability Committee |
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The company established the ESG Committee in October 2022, responsible for the planning and execution of various ESG initiatives. The General Manager serves as the convener, with members including heads from the Proprietary Trading Dept., Equity Proprietary Trading Dept., Managed Futures Dept., Leverage Transaction Dept., Financial Innovation Dept., Finance Dept., Domestic Institutions Dept., Digital Growth Dept., Risk Management Dept., Sustainable Governance Division, General Affairs Division, and Corporate Governance Officer. The Sustainability Governance Office serves as the dedicated (or concurrent) unit for promoting sustainable development and is responsible for overseeing ESG-related operations. Its primary duties include establishing and reviewing various sustainability-related regulations and guidelines, compiling and preparing the annual sustainability report and sustainability activity plan, monitoring domestic and international sustainability trends and developments, and raising awareness among employees to foster a corporate culture of sustainability development.
The Board of Directors regularly reviews the progress of sustainability initiatives and greenhouse gas inventory planning and implementation on a quarterly basis. Additionally, the Board receives an annual report (at least once a year) on the company’s sustainability activities and implementation outcomes. Based on the effectiveness of the initiatives, the Board provides relevant recommendations and necessary adjustments.
The Board not only ensures that the overall objectives of the sustainability strategy are clearly defined but also monitors changes in global and local sustainability regulations. This ensures that the company’s strategic initiatives comply with relevant legal requirements and can be adjusted in a timely manner to stay aligned with its established goals.
- On March 12, 2024, the Company reported to the Board of Directors on the Implementation Results of the 2023 Sustainability Promotion Plan and the 2024 Sustainability Promotion Plan.
- On March 6, 2025, the Company reported to the Board of Directors on the Implementation Results of the 2024 Sustainability Promotion Plan and the 2025 Sustainability Promotion Plan.
- On May 8, 2025, the Company reported to the Board of Directors on the implementation status of the 2025 first-quarter sustainability promotion initiatives and greenhouse gas inventory planning and execution.
- On August 21, 2025, the Company reported to the Board of Directors on the implementation status of the 2025 second-quarter sustainability promotion initiatives and greenhouse gas inventory planning and execution.
- On November 6, 2025, the Company reported to the Board of Directors on the implementation status of the 2025 third-quarter sustainability promotion initiatives and greenhouse gas inventory planning and execution.
- The Implementation Results of the 2025 Sustainability Promotion Plan and the 2026 Sustainability Promotion Plan are scheduled to be reported to the Board of Directors in March 2026.
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Customer Money Laundering Risk
The directors expressed concern regarding the identification of high-risk jurisdictions and inquired about the main countries of origin of high-risk customers. They recommended that, in accordance with relevant regulations and internal control systems, the Company should continue to regularly review and monitor the risk profiles of high-risk jurisdictions and customers in order to strengthen its anti-money laundering management.
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Principles for the Identification of Customer Complaint Cases
The directors expressed concern regarding the definition and practical handling of customer complaint cases. The Company currently adopts a relatively inclusive approach in identifying customer complaints, whereby any customer complaint is recorded and filed for case management purposes, so as to facilitate subsequent follow-up and oversight and to reduce the risk arising from the absence of proper records.
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Fair Treatment of Customers and Protection of Customer Rights
The directors recommended that the Company continue to place emphasis on the principle of fair treatment of customers and assess the feasibility of establishing a customer complaints committee, with a view to strengthening the protection of customer rights and enhancing the appropriateness of complaint handling mechanisms.
To align its operational objectives with its sustainable development goals, the Company conducts annual performance evaluations for its senior executives. In addition to financial indicators, the evaluation framework incorporates specific ESG-related performance indicators.
Financial indicators include profit achievement rate, profit growth rate, market share of trading volume, trading volume achievement rate, profitability achievement rate, and operating expense control ratio. Non-financial indicators cover business planning and strategy, leadership and management capabilities, work performance, professional knowledge and learning ability, ethics and work attitude, the level of regulatory compliance and risk management, as well as integrity and sustainability–related ESG aspects. These ESG aspects include the fulfillment of the duties of care and loyalty, the implementation of fair and friendly customer service, adherence to the Code of Ethical Conduct, awareness of information security and personal data protection, and knowledge of sustainable development. All of the above serve as important bases for the performance evaluation of senior executives.
The Company has incorporated the above ESG-related performance indicators into the overall performance assessment weighting applied to the remuneration and performance-based compensation of senior executives. Among them, the weighting assigned to integrity and sustainability–related ESG performance indicators accounts for approximately 5% to 15%, depending on the executive’s level of position, and is directly linked to variable compensation such as year-end bonuses, performance bonuses, and employee profit-sharing. Through this performance management mechanism, the Company strengthens senior management’s accountability for sustainable operations and corporate governance responsibilities.
