Our Initiatives asa Responsible Investor for
Human Rights

Initiatives as a responsible investor
Fulfill our responsibilities as an institutional investor by conducting appropriate assessments and due
diligence to avoid or minimize negative environmental and social impacts, including human rights issues,and incorporating them into our investment decision-making processes.
Integration intoinvestment
process

As a responsible investor
As a responsible investor, Dai-ichi Life iscommitted to working toward therealization of a society in which humanrights are respected. We consider respectfor human rights to be one of the key
themes of responsible investment, and wewill contribute to solving human rights
issues in society as a whole by integrating
it into our investment process, promoting
the initiatives of investee companies
through engagement activities, andsupporting activities to respect humanrights through theme-based investments.

2Realization of asociety that
respects humanrights
Engagement

Through engagement activities,
including collaboration with otherfinancial institutions, we will strive topromote the initiatives of portfolio
companies by holding constructivediscussions and making proposals.

ThematicInvestment

Through thematic investments, we
support the efforts of diverse
stakeholders, including
corporations and local governments,
to respect human rights.

Incorporation into the investment process (1)Basic Policy on Responsible Investment
In our “Basic Policy on Responsible Investment”, we stipulate the following environmental and social considerations in our investments.

◼

We fully consider the impact on the environment, society, and human rights of the business activities and projects of companies, governments, and other entities that are subject toinvestments.

◼

We do not invest in or finance projects that violate laws, public order, or morals, that manufacture inhumane weapons, or that have a significant negative impact or risk on climatechange, the local environment, society, and human rights.

Environmental and social (including human rights) assessments
In project finance, we make investment decisions with the following environmental and social assessments, referring to the Equator Principles. We conduct regular monitoring ofinvested projects and conduct engagement as necessary. In addition, for sectors and businesses that require special attention from the perspective of environmental and social impact, wealso take measures in consideration of inherent risks(please refer to the following section for details).
◼ Environmental impact assessments◼ Explanation and understanding of the community and stakeholders
Assess whether detailed studies and assessments have been conducted to avoid or minimize theAssess whether the project is well explained to the local community and relevant
impact of the project on biodiversity, climate change, and other environmental impacts, and to take stakeholders and whether their understanding of the project has been obtained.
appropriate measures.
◼ Social impact assessments◼ Establishment of a grievance mechanism
Assess whether studies and evaluations have been conducted to avoid or minimize the social impacts Assess whether effective grievance mechanisms are in place for affected
communities and stakeholders.
of the project on the local community and related stakeholders, and to take appropriate measures.
◼ Implement appropriate environmental and social measures◼ Transparency and disclosure
Evaluate whether appropriate measures are planned and implemented to minimize the impact of the Assess whether information on the environmental and social impacts of operations isproject on the environment and society.
appropriately disclosed and reported to stakeholders.

Policies in specific sectors
3⚫
⚫

Coal
Oil & Gas⚫
⚫

Palm OilForest⚫
⚫

BiomassWater⚫

Weapons* Negative screening also conducted for coal, oil and gas, and weapons

Incorporation into the investment process (2)ESG integration framework (equity, corporate bonds, and loans)
Cross-sector assessment

ESG integration methodology
We consider human rights to be one of the key
themes of responsible investment, and we believethat the promotion of human rights initiatives by
the companies in which we invest will lead toincreased corporate value and the realization of asociety in which human rights are respected.
We evaluate companies' human rights risks andinitiatives, and incorporate them into ourinvestment process, including the results of ourengagement.
Specifically, ESG analysts conduct sectorspecific research and analysis and evaluate eachcompany. The results are shared with equity andcredit analysts and reflected in investment
process for each asset (equities, bonds, and loans).

Main evaluation perspectives onhuman rights

ESG analysts
Select important ESG themes/cross-sector research
and analysis
VariousESG issues

ClimateChange

Humangovernance
ESGアナリスト
Rightsetc.

Business model Human rights risks assumed based on the nature ofbusiness, regions of operation, supply chain, etc.
 Status of human rights incidents

ESG Assessment

Status of efforts torespect human rights
 Governance structure to mitigate human rights risks

 Status of implementation of human rights due diligence Remedial mechanisms in place

Internal rank ofeach company

Disclosure of information

Equity/credit analysts

4In addition, in the case of sovereigns, humanrights issues are positioned as an importantevaluation factor in measuring a nation's politicaland economic stability and are appropriately
incorporated into credit risk assessments.

Research and analysis of each company

Evaluation of each company

 Status of information disclosure on human rights
initiatives
 Effective, transparent, and objective information
disclosure

Engagement activities
Selection of companies to engage (FY2023)

Engagement with investee
companies

We recognize that one of the important roles of a
responsible institutional investor is to promote
understanding of and initiatives toward humanrights through engagement with investee
companies, and we focus on engagement withrespect for human rights.
We are committed to contributing to therealization of a society where human rights arerespected by engaging in constructive discussions
and making proposals to promote understanding
and initiatives by our investee companies, withthe formulation of human rights policies,
implementation of human rights due diligence,and establishment of remedy mechanisms as themain points to be checked during engagement.

5We select companies for engagement based on the natureof their business, the presence or absence of humanrights risks based on their supply chain, as well as thevalue of our holdings, etc. In FY2023, we conducted
human rights-themed engagements with approximately
40 companies out of approximately 200 companies weengaged during the year. The following is a summary of
our human rights activities.

Key confirmation points in humanrights themed engagement
Human rights policy⚫
⚫

The policy is publicly disclosed and known to all
stakeholders.
The policy is approved by management, including topmanagement.

Total holdings: approx. 1,400 companies

Human rights due diligence(including general and separate accounts)⚫
⚫

Supplychain

Effectiveness and appropriateness of methods, processes,and scope of coverage.
Appropriate PDCA cycle, including the formulation ofresponse policies based on the results of implementation.

Business

Relief and grievance mechanisms⚫

Invested
amountetc.

Engagement with approximately 200 companies(including approximately 40 companies on humanrights themes)⚫

Design that meets requirements for transparency, fairness,and accessibility.
Appropriate response measures based on the content ofconsultation must be considered.

Promote understanding and initiatives of investee
companies through constructive discussions andproposals

Examples of engagement
Tracking 4-step milestones(1) Raise issue: We raise a matter it considers to be an issue with an (3) Address issue：The investee company begins addressing theinvestee company
issue(2) Recognize issue：The investee company recognizes that it must (4) Solve issue：We confirms that the issue has been solved
address this issueCompanyA

Mining industry
Issue
Goal

Strengthening efforts to address humanrights issues

Formulation of Human rights policy

Stage of Progress

2413

Recognize issue
Raise issueCompanyB

Solve issue
Address issue◼ Conducted 4 engagements
since FY2019, including anagenda on respect forhuman rights.

◼ Shared recognition of theimportance of addressing
human rights issues,exchanged views on thedevelopment of humanrights policies, etc.

Food industry
Issue
Goal

Strengthening efforts to address humanrights issues
Conduct effective human rights due
diligence

Stage of Progress
2143

Recognize issue

6Dialogue overview

Raise issue

Solve issueAddress issue

Dialogue overview◼ Conducted threeengagements including anagenda on respect forhuman rights from FY2020.
Exchange of views on therealization of effective
human rights due diligence,
while presenting guidelines
to be referred to.

Response of the investee
company

Exercising voting
rights◼ Reaffirming the importanceof respect for human rights,
formulated and disclosed
the company's first humanrights policy and initiatedhuman rights due diligence
initiatives.

◼ No voting with theinvestee
company's humanright response as adecision criteria.

Response of the investeecompany

Exercising voting
rightsFuture policy◼ A “Human Rights
Enlightenment Promotion
Committee” has been
established, and a reportingand consultation desk has
been set up under thecommittee.

◼ No voting with
the investee
company's humanright response asa decision criteria.

◼ Confirmation and follow-up
of the effectiveness andappropriateness of humanrights due diligence
methods, processes, scope,etc.

◼ Plans to expand human rights
due diligence initiatives in thefuture, based on a renewed
awareness of the importanceof human rights due diligence.

Future policy◼ Follow-up on theimplementation of humanrights due diligence.
◼ Follow-up on efforts toestablish remedy
mechanisms.

Engagement activities (collaboration with other financial institutions)
Dai-ichi Life recognizes that in order to realize a society in which human rights are respected, it isnecessary to make efforts not only by the company itself, but also by society as a whole in cooperation
with various stakeholders. Dai-ichi Life engages with companies regarding respect for human rights anddisseminates opinions through collaborative efforts with PRI, The Life Insurance Association of Japan,and other organizations.

Initiatives at Life Insurance Association of Japan
We participate in the Stewardship Activities WG and the ESG Investments WG established by The Life Insurance Association of Japan(LIAJ) and promote activities together with other participating life insurance companies. The WG conducts collaborative engagements onthemes such as “Enhancing Disclosure of ESG Information,” holds study sessions on the latest trends in ESG, including human rights, andformulates recommendations based on surveys of companies and investors, In the latest report released in April 2024, we made a newrecommendation calling for companies to promote respect for human rights, and we are focusing on initiatives through collaboration withother companies.

Participation in “Advance”
established by UN Principles for Responsible Investment (PRI)

Proposal Report(The Life Insurance
Association of Japan)

We have joined Advance, a collaborative engagement initiative established by the United Nations Principles for Responsible Investment.
Together with other participating companies, we are promoting respect for human rights through dialogue.
 Launched on December 1, 2022
 An initiative for institutional investors established to promote corporate initiatives on social issues,particularly human rights, among ESG issues through collaborative engagement.
 The initiative promotes efforts to respect human rights through dialogue with companies that face highhuman rights risks. About 220 major institutional investors from around the world participate in thisinitiative.

7

Thematic investments
We also focus on creating positive impacts through sustainability thematic investments. We willcontribute to solving human rights issues in society as a whole by standing by and proactivelyfunding initiatives that contribute to respect for human rights by a diverse range of stakeholders.
Sustainability thematic investments“Gender Bond” issued by Asian Development Bank••▲ Photo courtesy of ADB

Invested approximately 10 billion yen in “Gender Bonds” issued by the Asian Development Bank (ADB). The
funds raised by the bonds are used for ADB's projects to promote women's activities in the Asia-Pacific region.
For example, the project in Bangladesh supports women entrepreneurs by providing them with access tofinancial institutions and business start-up support facilities, in addition to supplying funds.

Impact Investment in TYPICA Holdings, Inc.
•••
▲ Photo courtesy of TYPICA

8TYPICA is a Japanese start-up company operating a distinctive online platform that bridges coffee bean producers
in developing countries with roasters in advanced countries, enabling direct trade of coffee beans between them
the platform also enables coffee producers to choose their own selling prices, and purchasers to scrutinize detailed
breakdowns of their purchases, including the amount paid to the producers, ensuring heightened price transparency.
The service is expected to have a broad ripple effect throughout the region by improving and stabilizing the incomeof coffee growers, thereby reducing poverty among them, raising the educational level of children, and raisingawareness of human rights.