NOMURA ASSET MANAGEMENT

NOMURA

Responsible Investment

NOMURA ASSET MANAGEMENT ("we" hereafter) follows the principles outlined below in order to fulfill our fiduciary duty (Note 1) as an asset management company.

  • Providing the best possible investment performance for our clients is our primary purpose; accordingly, we aim to achieve medium- to long-term growth in the assets entrusted to us by our clients.
  • In accordance with the Stewardship Code (Note 2) and the Corporate Governance Code (Note 3), we strive to establish a virtuous cycle of investment growth through the following actions: engaging in constructive dialogue, exercising voting rights, giving due consideration to ESG factors (Note 4), etc. Based on this virtuous cycle of investment growth, we endeavor to promote "the earnings power of corporations", "the formation of national wealth" and the realization of a healthy, sustainable society.
  • As an asset management company, we aim to earn and maintain the trust and confidence of our clients and wider society; we therefore contribute to the development of society through our investment business.
  • (Source)Prepared by Nomura Asset Management with reference to documents, etc., of the Financial Services Agency and the Ministry of Economy, Trade and Industry
  • (Note 1)Fiduciary duty is a concept expressing the responsibility of an investment company that gives top priority to customer's interests.
  • (Note 2)This code requires of institutional investors (shareholders) that they promote the value creation, the sustainable growth, etc., of the listed corporations in which they invest, and that they aim to increase the medium-to long-term returns on investments.
  • (Note 3)This code requires of listed corporations that they aim to increase their corporate value over the medium to long term by means of improving their performance (increasing their earning power) and strengthening their supervisory functions (the quality of their management).
  • (Note 4)ESG is an abbreviation for Environment, Society, and Corporate Governance.

Basic Responsible Investment Principles of Nomura Asset Management

As a fiduciary asset manager, we are committed to acting at all times in the best interest of our clients based on our expertise while exercising the due care required to carry out our duties.

Organizational Structure for Responsible Investment

To manage any potential conflicts of interest that might arise through our stewardship activities, our Company has established a Responsible Investment Committee comprising senior managers who are independent of but familiar with our investment management and research operations.

Our Approach Based on Stewardship Code

We have stipulated our "Ideal Form of Business Management of Investee Companies", "Basic Policy for Engagement" and "Basic Policy for Proxy Voting" to outline the company’s social responsibilities as an asset manager.

Our Approach to Each of the Principles for Responsible Institutional Investors

We have accepted and signed the Japan Stewardship Code and UN PRI on 23rd May 2014 and 1st March 2011, respectively. We have also agreed and have signed the Principles for Financial Action for the 21st Century together with the Nomura Securities Co. in January 2012.