In 2021, we formulated Vision 2030, our management vision through to 2030. As part of the process, we singled out and evaluated important medium- to long-term social issues, and through dialogue with stakeholders identified Materiality.

When formulating the Medium-term Management Plan "Passion for the Best" 2026 in 2024, we updated Vision 2030 after re-opening discussions on what kind of group we believe Daiwa Securities Group should be, including from the perspective of sustainability.

We aim to achieve Vision 2030 by managing the progress of our efforts using KPIs to achieve a sustainable society and further improve our value.

Process of Formulating and Revising Vision 2030

The core concept of Vision 2030 is creating a prosperous future through financial and capital markets. As professionals in the financial and capital markets, we deliver high-quality solutions, while contributing to a carbon neutral society and promoting innovation inside and outside the Group to realize a prosperous future for all.

Under the materiality of the Green & Social, we deliver financial products and services that contribute to solving social issues. Additionally, under the Foundation of Sustainable Management, we promote decarbonization within our own operations to strengthen the foundation that supports sustainable corporate management.

Vision 2030

Materiality

100 years of life

In preparation for achieving a society where anybody can live comfortably in the area of 100-year lifespans, we will help to maximize the value of assets to meet the diversifying needs of customers.

Innovation

In addition to aiming to generate innovation for a prosperous society through cooperation with our partners both in Japan and overseas, we will expand the number of new business opportunities and take on the challenge of self-transformation.

Green & Social

In order to achieve a sustainable and carbon-free society, we will focus on providing financial products and services that help resolve social issues.

Diversity & Inclusion

In order to strengthen our competitiveness, we aim to become an organization in which employees can express their individuality and demonstrate their expertise, and achieve personal growth and job satisfaction.

Foundation of sustainable management

In order to achieve these themes of 100 years of life, Innovation, Green & Social, and Diversity & Inclusion, we will make the base that supports sustainable corporate management even more robust.

We believe sustainability, including climate measures, not only contribute to a sustainable society, but also help expand our sustainable business, strengthen the sustainable management foundation that underpins it, and ultimately improve our corporate value, by bolstering governance, improving our reputation, and expanding earnings.

We established sustainability KPIs as part of the Medium-term Management Plan "Passion for the Best" 2026. These KPIs include the SDGs bond league table and GHG emissions.

• *1DOI: Daiwa Office Investment Corporation, DLI: Daiwa Securities Living Investment Corporation, DLP: Daiwa Securities Logistics Private Investment Corporation
• *2Total of Scope 1 and Scope 2 (market-based)
• *3The targets cover project finance in the power generation sector. Include some estimated values.

Led by the Sustainability Managers in each division and Group company, we continually monitor progress in its KPIs. Issues identified in the process, as well as measures to be taken moving forward are shared between sustainability managers and the Head of Sustainability and reported to the Sustainability Promotion Committee and Board of Directors. We aim to achieve our Vision 2030 goals through the implementation of a KPI-centered PDCA cycle.

To strengthen executives' incentives related to sustainability initiatives, we have incorporated the sustainability KPIs in the evaluation system for performance-linked remuneration.

We recognize the importance and urgency of addressing climate change, one of the most serious issues facing the world, in order to realize a carbon neutral society as soon as possible. To that end, we have formulated the Daiwa Securities Group Net Zero Carbon Declaration.

Based on the declaration, we aim to achieve ① net zero GHG emissions within our own operations by FY2030 and ② net zero GHG emissions within our investment and loan portfolios, etc. by 2050. In addition, we will continue to support our customers' efforts to decarbonize their businesses and new technologies that contribute to the realization of a decarbonized society in order to ③ support the smooth transition to a carbon-neutral society through our business activities.

Roadmap for achieving Net Zero Carbon

• *As of August 2021