■ Responsible Investmentt
Referencing the Principles for Responsible Investment (PRI), E.SUN incorporated ESG issues
into investment analyses and decision-making processes, signifying the importance the bank
attaches to the corporate social responsibility performance of the invested target. The
"Securities Sustainable Investment Management Principles" states that a negative list must
be made for industries or enterprises that are potentially controversial, such as the
tobacco, firearms, gambling, fur trade, mining and logging industries. Loan applications
must be subject to due diligence evaluation and stringently reviewed, and E.SUN will only
undertake loans that have been evaluated as posing no adverse effect on the sustainable
development of the environment, society, and governance.
E.SUN also incorporates ESG indicators of impartial institutions at home and abroad
into investment review standards, such as DJSI, MSCI ESG rating, RobecoSAM score, Bloomberg
ESG score, Taiwan Enterprise Sustainability Award, Sustainalytics ESG risk rating, Taiwan
Sustainability Index constituent stocks, Taiwan companies Governance evaluation, etc.,
preferentially selecting medium and low ESG risk companies as investment targets. As of
December 2020, E.SUN Bank's bond investments categorized as low-to-medium ESG risk occupied
a ratio of 98.66%, and equity investments categorized as low-to-medium ESG risk occupied a
ratio of 100%.
Furthermore, through shareholder activism, E.SUN promotes the sustainable development of
invested companies through communication with investee companies, participation
in shareholder meetings, and exercise of voting rights. For example, in 2020, E.SUN
sent emails to more than 80% of the persons in charge of investment targets, expressing that
E.SUN not only pays attention to the company's financial performance but also ESG
performance, and that the bank hopes to connect business partners in the value chain to work
together on climate change, environmental protection and social welfare.
Green bonds amounting to
Total of green bo1nds
New Taiwan Dollar
The bank has the highest issuance among Taiwan's domestic banks, in New Taiwan Dollars
as well as foreign currencies. The funds raised are lent to industries in renewable
energy, greenhouse gas reduction, and water resources conservation.
In addition to issuing green bonds, E.SUN also assists customers in raising funds for
sustainable development activities. Since 2017, it has acted as the underwriter of 7 green
bond issuances, with a total underwriting amount of more than NT$7.1 billion, including
serving as the underwriter for the first foreign issuance (Crédit Agricole CIB) and the
largest issuance made by a private enterprise (Chimei). These efforts made over the years
have been continuously recognized by professional institutions and, in 2020, enabled E.SUN
to win the title of Best Bond house in Formosa awarded by The Asset for the fifth year
■ ESG product promotion
E.SUN incorporates ESG assessments in the review process of wealth management products, and
refers to the ESG ratings of third-party impartial institutions (such as Bloomberg,
Morningstar, etc.), rigorously screens wealth management products with ESG themes and
concepts, and divides the ESG assessment scores into three levels, "positive, neutral and
negative." If the product is evaluated as negative, an explanation must be provided and
approved by all review members, otherwise it will not be put on the market and offered to
customers for purchase. Instruments with positive ESG performance are actively promoted
through diversified marketing approaches. In terms of wealth management business partners,
E.SUN also simultaneously review their environmental, social and corporate governance
practices, and works with partners in jointly promoting ESG-related financial products to
achieve sustainable finance.
As of the end of 2020, E.SUN put a total of 1,055 wealth management products with ESG
themes on the market, and total sales of ESG-themed products reached NT$20.9 billion.
E.SUN Securities, on the other hand, is also committed to promote ESG-related products.
In 2020, the total sales proportion of ESG-themed products in E.SUN Bank and E.SUN
Securities was 17%, enabling the joint promotion of environmental sustainability while
improving asset allocation.
Proportion of customers invited to
interact or participate
in ESG in 2020.