In 2021, Daiwa Securities Group formulated Vision 2030, our management vision for the group we aim to become by 2030. Through this process, we identified and organized the medium- to long-term social issues that are important to the Group and, through dialogue with stakeholders, identified our management materiality.

In 2024, when formulating the Medium-Term Management Plan "Passion for the Best" 2026, we revisited discussions on what kind of group Daiwa Securities Group should be—including from a sustainability perspective—and revised Vision 2030.

To realize both a sustainable society and an increase in the Group's value, we manage the progress of our initiatives using KPIs and aim to realize Vision 2030.

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 provide high-quality solutions and contribute to the realization of a "prosperous future" for society through promoting innovation inside and outside the Group and contributing to a decarbonized society.

With respect to our response to climate change, under the materiality of "Green & Social," we focus on providing financial products and services—including sustainable finance—that help resolve social issues. Under "Foundation of Sustainable Management," we promote our own decarbonization as one way of strengthening the base 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 view the promotion of sustainability, including climate change, as contributing not only to the sustainability of society but also to the expansion of our sustainable business and the strengthening of the sustainable management foundation that underpins it—and ultimately to the improvement of corporate value—through expanding earnings, improving our reputation, and strengthening governance.

Direction of Sustainability Measures

In conjunction with the Medium-term Management Plan "Passion for the Best" 2026, we newly established sustainability KPIs. The Group KPIs with a high degree of relevance to climate change 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
• *2Projects that utilize new digital technologies and are either innovative or contribute to business transformation. Cumulative total for FYs 2024–2026
• *3Trials for DX projects and AI/data science projects. Cumulative total for FYs 2024–2026
• *4Our own GHG emissions are the total of Scope 1 and Scope 2 (market-based). FY 2030 (single year)
• *5GHG emissions from the investment portfolio refer to project finance in the power generation sector. FY 2030 (single year). Includes some estimated values.
• *6Cumulative total for FYs 2005–2030

Led by the Sustainability Managers at each division and Group company, we continuously monitor our KPIs. Issues identified in this process, as well as measures to be taken going forward, are shared between the Head of Sustainability and each Sustainability Manager and reported to the Sustainability Promotion Committee and the Board of Directors. By running a KPI-centered PDCA cycle, we aim to realize Vision 2030. To strengthen executives' incentives related to sustainability initiatives, a portion of the sustainability KPIs is incorporated into the evaluation system for performance-linked remuneration.

Recognizing the importance and urgency of addressing climate change—one of the most serious issues the world faces—and in order to make a medium- to long-term contribution, Daiwa Securities Group has formulated the Daiwa Securities Group Net Zero Carbon Declaration.

Based on this declaration, we aim to achieve (1) net zero GHG emissions within our own operations (Scope 1 and Scope 2) by FY2030 and (2) net zero GHG emissions within our investment and loan portfolios, etc. (Scope 3) by 2050. In addition, (3) as support for a smooth transition to a carbon-neutral society through our business activities, we will continue to support our customers' decarbonization efforts and new technologies that contribute to a decarbonized society.

Roadmap for Achieving Carbon Neutrality