Fubon Financial

Fubon Financial Holdings Ranked Top 5% in TWSE's "Corporate Governance Evaluation" for the 3rd Consecutive Year

2017.05.23

Fubon Financial Holdings is once again recognized for sound corporate governance! After being assessed using 103 indicators during TWSE's 3rd "Corporate Governance Evaluation," Fubon Financial Holdings ranked among the top 5% out of 843 public listed companies for the third consecutive year! This accomplishment is evident of the determination and efforts that Fubon Financial Holdings has committed to adopt world-class corporate governance practices.

TWSE held an award ceremony for its 3rd "Corporate Governance Evaluation" today (the 23rd), during which Fubon Securities Chairman Gang Shyy was present to receive the award on behalf of Fubon Financial Holdings. Fubon Financial Holdings has long devoted itself to enhancing corporate governance practice, and being ranked top 5% in TWSE's "Corporate Governance Evaluation" for the third consecutive year proves that the Company has been recognized for its efforts in adopting sound corporate governance.

"Corporate Governance Evaluation" is an exercise jointly initiated by TWSE and TPEX and executed by Securities and Futures Institute to assess all TWSE and TPEX-listed companies. A total of 843 listed companies were included in this year's evaluation. The evaluation is structured using 99 indicators and 4 score adjustments (for a total of 103 indicators) developed based on the 5 OECD Principles of Corporate Governance 2004. These indicators were divided into six main aspects, namely: "Protection of shareholders' interests," "Fair treatment to shareholders," "Board structure and functionality," "Information transparency," "Corporate social responsibilities" and "Others."

In order to cope with the risks and opportunities associated with climate and social changes, Fubon Financial Holdings began an "ESG Visioning Project" at the end of 2015 that introduced five main strategies targeting: leading investment, innovative finance, golden practice, honest lending, and tender care based on its brand value of "positive energy." By exerting influence in the financial sector, Fubon contributes to 12 of the United Nation's "Sustainable Development Goals" (SDGs) including good health & well-being, quality education, climate action, and sustainable cities and communities.

In this year's evaluation, Fubon Financial Holdings performed exceptionally well in 3 of the 6 main aspects, namely: "Protection of shareholders' interests," "Fair treatment to shareholders," and "Corporate social responsibilities." Fubon Financial Holdings addresses shareholder interests by introducing an electronic voting system and by providing detailed information and descriptions in shareholder meeting manual about the discussed agenda. Fubon was also the first among its peers to actively involve shareholders in corporate governance by voting shareholder meeting agendas on a case-by-case basis. Information is updated and disclosed to stakeholders through annual reports, website and other appropriate means of communication.

With regards to climate change, Fubon actively supports the government's environmental protection policy and began planning for the establishment of ISO 14064-1 Greenhouse Gas Inventory System since 2012. It became the first financial holding company to complete organizational greenhouse gas survey and obtain external certification for the achievement. In 2017, Fubon completed greenhouse gas survey in accordance with ISO 14064-1 on all branches under the financial holding company and the 4 subsidiaries, and planned to introduce ISO 50001 Energy Management System as a means to raise energy efficiency and reduce energy costs. In addition to creating green value-adding services, Fubon has also been bringing suppliers' attention to social responsibilities and environmental protection by requiring them to sign a "Supplier Commitment" that regulates their conducts in regards to employee rights, human rights, workplace health and safety, environmental protection, and prohibition of commissions/kickbacks.