The Board of Directors is the highest decision-making body within the Company's climate risk management mechanism. The Board shall approve the climate risk management policy and, based on this policy, guide, oversee, and manage the Company's implementation of climate risk-related indicators and targets. The Board of Directors shall incorporate climate risk factors into its risk appetite, strategy, and operational plans, and bear ultimate responsibility for ensuring the establishment and maintenance of an appropriate and effective climate risk management system.
The Company has established a Risk Management Committee under the Chairman's leadership, chaired by the Chairman. This committee implements the Board's significant decisions regarding the climate risk management policy and related matters, and establishes a supervisory and reporting mechanism to oversee the Company's climate risk management operations.
The senior management should establish climate risk management policies, management systems, and monitoring indicators, regularly review their effectiveness and implementation, and designate relevant departments or working groups to carry out climate-related work. The Risk Management Division should establish the company's climate risk management mechanism to identify, measure, monitor, and report on climate risks, implement appropriate measures under different scenarios, and submit reports to the Board of Directors and the Risk Management Committee on a regular and ad hoc basis.
Starting in 2023, SinoPac Securities' Risk Management Division will submit semi-annual climate change risk management implementation reports to the Risk Management Committee and the Board of Directors, providing an overview of climate change risks (including physical and transition risk indicators) and tracking the implementation of climate-related risk indicators and targets.