Letter from the Chairman & President

The impact of COVID-19

The year 2020 is a special year in human history.

Under the COVID-19 pandemic, the economy, society, and environment around the world have been greatly affected, with some aspects being a temporary impact and others being permanent changes. The pandemic has on the one hand, changed the way people live and work, and on the other hand, accelerated the digital transformation of businesses and increased the depth and breadth of digital services for the general public.

Standing at the origin of the subsequent trends triggered by this major historical event, E.SUN is aware that amid the short-term response to the pandemic, what's more important is the long-term preparation for the future after COVID-19. Therefore, E.SUN will focus on FinTech, expansion in Asia, and risk management to strive toward the goals of sustainable development.

Back to nature

In 1970, Milton Friedman, winner of the Nobel Memorial Prize in Economics, published an article titled "The Social Responsibility of Business Is to Increase Its Profits." In 1987, the United Nation (UN) published Our Common Future, providing an official definition of sustainable development: "Development that meets the needs of the present without compromising the ability of future generations to meet their own needs." In 1997, English scholar John Elkington proposed the Triple Bottom Line theory, positing that corporate social responsibility is the most fundamental responsibility that companies must fulfill toward the economy, environment, and society. In 2004, Who Cares Wins (WCW) UN Global Compact proposed for the first time to include ESG factors in investment decisions, placing emphasis on integrating ESG issues in financial analyses, asset management, and securities brokerage. In 2015, the UN announced the Sustainable Development Goals (SDGs), which consisted of 17 goals and 169 indicators.

From CSR and ESG to SDGs, from shareholders to stakeholders, and from localization to globalization, we understand that this was never a question of which to choose, but a challenge of how to be inclusive in business management while keeping in pace with time. Peter F. Drucker pointed out three dimensions in "The Practice of Management" in 1954. First, the purpose of business survival is to generate economic outcomes. Second, a business is an organization composed of people working together and needs to cultivate employees and develop a certain level of governance. Third, a business is a social institution rooted within the society and community and needs to take into consideration external social influence and social responsibilities. Therefore, if we go back to nature, the scope of operation that a company needs to consider would include the main business activities, the teams within the business, the society outside of the business, and everything involved in the business.

No one can be a bystander

The disasters triggered by climate change and the COVID-19 pandemic have swept every corner of the world. These phenomena further underline that the notions of "global village," "world village," "We Are the World," or "Community with Shared Future for Mankind" are no longer merely ideas but a fact that already exists. There has never been a moment like this in human history where people are so closely connected. Through the media of economy, culture, politics, finance, economy, climate, Internet, and even diseases, everyone becomes so closely related to the society and environment, influencing and supporting each other through thick and thin.

Given the common goal of dissolving urgent crises while ensuring that everyone can live a better life, no one can be just a bystander any more. The country, society, businesses, and individuals therein must all play a part in sharing their expertise and responsibilities and work together. From now on, tangible concrete efforts and the cohesion of correct intangible values are the only way to make a difference directly or generate a positive effect indirectly on the future.

Corporate responsibilities and practices

For businesses situated in this new era, new environment, and new trend, ESG is not only the standard for making investment decisions but also the basic condition for surviving the contemporary era. Industries around the global are transforming into a green supply chain, which poses stricter carbon requirements and due diligence on participating vendors. As a result, businesses must tackle material ESG issues head-on, shoulder the responsibilities required of them, and adopt the necessary practices, because those ignorant of reality will be eliminated by the torrent of the great era.

For the financial sector, each and every industry and business and everyone involved can be fully integrated through responsible investment, responsible lending, sustainable financial products, corporate/retail banking loans, wealth management, primary markets, and secondary markets, among other platforms. Subsequently, a massive ESG influence is generated. This is also the main reason why the financial sector has been expected to play a key role in the trends of ESG development and be given heavy responsibilities.

The efforts and expectations of E.SUN

Since its establishment in 1992, E.SUN has been committed to achieving the vision of turning "E.SUN employees into first-class citizens of the world and E.SUN into a first-rate global corporate citizen."

At the time, a group of like-minded financial professionals embarked on a mission to set up a professional management team committed to building the best bank in Taiwan, with the expectation of striving toward sustainable operations. After nearly 30 years of dedicated efforts, E.SUN has deeply cultivated the basic skills required to fulfill CSR, internalized ESG into its main business operations, and became a driving force for change and innovation. This effort will continue now and forever.

We expect companies to commit to ESG without thinking about competition, because ESG is not a zero-sum concept but a common good. What everyone is competing for is not about winning or losing in business but to fight for "our common future." This is by no means a short-term competition, but a long-term goal that can be achieved only by combining the strengths of various companies, industries, and countries, changing the way people think, and putting more effort into doing the right thing together.

Just as carbon emission will not reach net-zero, everything that everyone has may go down to zero. Only by bracing the new challenges of ESG can we find new opportunities and jointly create a new brigher future.