The global turmoil caused by the COVID-19 pandemic
has now subsided, and people are finally able toreturn to their normal daily lives. After experiencing
the unusual circumstances of the past few years, I
think it is important that we remember to appreciate
the peaceful times we have, and approach all of
our efforts with an extra sense of focus. Currently,
in addition to the emergence of new geopoliticalrisks, various climate change-related disasters areoccurring in Japan and other parts of the world. At
the beginning of this year, the World MeteorologicalOrganization (WMO) announced that the global
average temperature in 2023 was the highest
on record. Local, national and global issues are
becoming increasingly serious and complex, whichmakes now the time to consider and implement
actions to address the many social issues we face.

Hiroyasu Koike
CEO Message

President & CEO

Striving to be
an asset management firm thatmakes the world a better place07

Responsible Investment Report 2023

Disruptions caused by geopolitical risks are causing
significant volatility in energy prices. The pricefluctuations remind us of the challenges of dependence
on fossil fuels and worsen uncertainty around the futurebalance of energy supply and demand. This also affects
companies’ actual capital investment plans, leading
to increased business uncertainty. Furthermore, theoccurrence of disasters due to rising temperaturesposes the question of how to build a sustainable
society. For example, worsening climate change
could result in a vicious cycle, where water and foodshortages lead to an increase in involuntary migration,
which could then spark new geopolitical risks. Issues
that need to be addressed on a global scale, such as
climate change, are also closely related to human rights
and other social issues raised in the SDGs. In this way,
we believe we must view climate change not as a single

issue, but as a multifaceted problem related to a varietyof other issues.
As a responsible investor, we aim to realizeboth social and economic value through our asset
management business. The core idea to solving
these social issues is the investment chain (virtuous
cycle of investment). Companies that generate
economic profits are fully capable of contributing toa sustainable and prosperous society. As an asset
management firm, we play an important role increating a virtuous cycle of investment and realizing
a sustainable and prosperous society by connecting
investors and companies through investment. Thisis the core of our investment chain philosophy. In
order to support this virtuous cycle, engagement(constructive dialogue) between asset management
firms and investee companies is essential. Basedon this kind of dialogue, we want to help companies
realize what we view as desirable management andenhance their corporate value, as well as encouragethem to undertake ESG/SDGs-related initiatives.
In conclusion, I would like to emphasize that
Nomura Asset Management will continue to embracechange, provide the best ESG products, enhance
corporate value and build a sustainable society,not just as a responsible institutional investor, butalso as an asset management firm that strives tomake the world a better place. The essence of theasset management business is to provide productsthat meet customers’ needs as well as the best
performance and services. I also firmly believe that in
the process of providing such products and services,
it is our responsibility to create both economic value
and social value.

Using our expertise and foresight to stay ahead of change, we pursue
exceptional performance and create cutting-edge solutions to exceed
all expectations.

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