Daiwa Securities Group SDGs Data Edition 2021 Photo: Children born to Daiwa Securities Group employees between April 2020 and March 2021
Reporting Period: FY2020 (April 2020 to March 2021) Some information on events and activities carried out prior to the beginning of or after the end of FY2020 are included.
Economic Report
Overall satisfaction with Daiwa Securities Co. Ltd. (according to a customer survey)
Results of SDGs bonds (Impact Investment bonds) for retail investors
Daiwa Securities Living Investment Corporation Total amount of assets acquired (Unit: million yen)
Number of implementations and customers attracted to SDGs/ESG seminars

Management Report
Remuneration for Directors and Corporate Executive Officers of Daiwa Securities Group Inc. in FY2020
* Performance-linked remuneration does not include the amount granted as Restricted Stock
* Officers serving as both directors and corporate executive officers are listed as corporate executive officers in the type of of cer column * Performance-linked remuneration does not include the amount granted as Restricted Stock.

Social Report
Scope of data

Consolidated: Entire Group (except for equity-method affiliates) Daiwa Securities Group Inc., Daiwa Securities Co. Ltd., Daiwa Asset Management Co. Ltd., Daiwa Institute of Research Holdings Nine Group companies: Ltd., Daiwa Institute of Research Ltd., Daiwa Institute of Research Business Innovation Ltd., Daiwa Securities Business Center Co. Ltd., Daiwa Property Co., Ltd (now Daiwa Facilities Co., Ltd.), and Daiwa Corporate Investment Co., Ltd. Seven Group companies: Daiwa Securities Group Inc., Daiwa Securities Co. Ltd., Daiwa Asset Management Co. Ltd., Daiwa Institute of Research Ltd., Dai- wa Institute of Research Business Innovation Ltd., Daiwa Securities Business Center Co. Ltd., and Daiwa Corporate Investment Co., Ltd Two Group companies: Daiwa Securities Group Inc., Daiwa Securities Co. Ltd. *1 Financial advisors *2 Includes employees in regional and local career-track positions (without job transfers involving relocation) and specialists * The data covers seven Group companies from April 2019. For April 2021, four Group companies (Daiwa Securites Co. Ltd., Daiwa Asset Management Co.Ltd., Daiwa Institute of R Daiwa Securities Business Center Co.Ltd.). *1 Average annual salary includes bonuses and other. There is no wage gap based on gender or nationality.
* The data covers nine Group comparies from FY2019. The data until FY2018 covers ten comparies including Sumitomo Missui DS Asset Management Company, Limited (the former Dai
(the former Daiwa SB Investments Ltd.). * 1 The number of people completing training in coaching, presentation, negotiation skills, logical thinking, communication, inheritance and business succession master cours course, derivatives basic course, midde-market corporations master course, real estate basic course, financial modeling basic course, time management (advonced course), moti fime management (basic course), enhancement of question-asking abilities, corporate analysis basic course (intermediate accounting course), corporate analysis master course reports), IB origination, behavioral science (secret art of teaching'skills to continue trying), stress management, coaching (basic course), or facilitation.
(the former Daiwa SB Investments Ltd.) (according to filings by employees). *2 These figures cover Daiwa Securities Co. Ltd.
Ltd.).
* This data covers two Group companies. *1 Figures indicate employees at the two companies that are members of Daiwa Securities Group Employees' Union. *2 in addition to annual paid vacation, Daiwa Securities Group offers three days of special summer vacation. These figures show usage rates for annual paid vacation when the included.
* This data covers all consciidated Group companies.
*1 Employees eligible for childcare leave include non-regular employees (contract workers, part-timers, etc.)

Number of women newly appointed to directors

* The data covers seven Group companies from the end of FY2019. The data until end of FY2018 covers eight companies including Sumitomo Mitsui DS Asset Management Company, Li Daiwa SB Investments Ltd.), with the exception of Daiwa Asset Management Co. Ltd., which has its own employee union, and Daiwa Property Co., Ltd., (now Daiwa Facilites Co., ployee union.
Research, Ltd. and Daiwa Institute of Research Business Innovation, Ltd., and assistance to communities inside and outside of Japan through foundations and NPOs include Daiw * Program costs for FY2019 were retroactively adjusted, given the expansion of targets for educational and research programs in economics and finance in FY2020
Cumulative number of people completing the Daiwa Scholar Program

Environmental Report
Scope of data

Energy consumption, CO 2 emissions, clean water consumption: Domestic: We have incorporated figures on energy consumption and CO, emissions for Daiwa Securities Co. Ltd., Daiwa Property Co., Ltd. (now Daiwa Facilities Co., Ltd.) and Daiwa Institute of Research Ltd., the three companies with a reporting obligation under laws and regulations. Daiwa Institute of Research Business Innovation, Ltd. has also been included in the calculation in light of its significant impact on the Group's environmental load. The data for Gran Tokyo North Tower and Daiwa Yaesu Building, where Daiwa Securities Group is based, includes data for Group companies other than those mentioned above. The data for outside tenants is no longer included from FY2020. Overseas: London, New York, Hong Kong, Taipei, Singapore, Seoul, Baltimore/Washington D.C., Mumbai and Manila offices. Waste: Gran Tokyo North Tower, Daiwa Yaesu Building, Toyocho Center Building, Daiwa Eitai Building, DIR Headquarters Building, and Osaka Branch Building of Daiwa Securities. Paper consumption: Domestic: Group overall (limited to companies handled by Daiwa Office Services.) Overseas: London, New York, Hong Kong, Taipei, Singapore, Seoul, Baltimore/Washington D.C., Mumbai and Manila offices. Countermeasures is used. * The figures and totals for cold water in FY2018 and FY2019 have been revised. Countermeasures is used. * The figures for steam and cold water in FY2018 and FY2019 have been revised. *1 GJ: Gigajoule (10° joules). Calculated using coefficients from the Act on the Rational Use of Energy for each energy type. For usity gas, the coefficient from the Act on Countermeasures is used *1 G.I. Gigajoule (10* joules). Caiculated using coefficients from the Act on the Rational Use of Energy for each energy type. For usity gas, the coefficient from the Act on *1 GJ: Gigajoule (10" joules). Calculated using coefficients from the Act on the Rational Use of Energy for each energy type. For usity gas, the coefficient from the Act on
* The figures and totals for steam and cold water in FY2018 and FY2019 have been revised.

Calculation methods
Scope 1 and 2
Calculations have been made in accordance with methods stipulated in the Act on the Rational Use of Energy and the Act on Promotion of Global Warming Countermeasures. (Disclosed figures have been rounded off) A) Electricity Domestic: We use the CO 2 emission factor (basic emission factor) for each electricity supplier. Overseas: Figures for CO 2 are calculated using the latest figures published by the local government or electricity provider. Figures for CO 2 emission factors in regions for which data is difficult to obtain are the latest published for each country by the International Energy Agency (IEA). B) Utility gas Domestic: After consumption is calculated as the volume of gas under normal conditions, each provider's CO 2 emission factor or calorific value and the emission factor specified by law are used to calculate CO 2 emissions. Overseas: Same calculation method as above "Japan" (calculated based on the calorific value and emission factor defined in the Act of Promotion of Global Warming Countermeasures). C)Heavy oil, diesel fuel, kerosene Calculated on a consumption basis.
Scope 3
Calculated using emission factors from the emission factor database for corporate GHG emissions accounting over the supply chain (Ver.3.1) and IDEAv2.3 (For calculating supply chain greenhouse gas emissions). (Disclosed figures have been rounded off)
D)Leased cars
The fuel used in leased cars used as company cars. Categorized in accordance with the Basic Guidelines on Accounting for Greenhouse Gas Emissions Throughout the Supply Chain. E) Commuting Calculated by multiplying commuting costs paid by Daiwa Securities to officers and employees by emission factors and attendance rate. F) Business travel Calculated by multiplying passenger-kilometers involved in overseas business travel (international flights) at Daiwa Securities Group Inc., Daiwa Securities Co. Ltd. and London and Hong Kong offices by emission factors.

Environmental Accounting
Scope of data Sales branches of Daiwa Securities Co. Ltd. and Group companies located in Gran Tokyo North Tower
*2 Daiwa Securities Co. Ltd. branches
*3 Gran Tokyo North Tower
[Scope of dd:a] Sales branches of Dawa Securites Co. Ltd. and Group companies located in Gran Tokyo North Tower
Financial Capability Data
We report the deals we lead-managed by classifying them into items in an easy-to-understand way for our stakeholders in Japan in reference to the SASB's FN102-17. ☆ Industry Classification ... Classified based on the Tokyo Stock Exchange's sector classification. Unlisted issuers are classified by Daiwa Securities Group Inc. ⭐️Scope … Total amount of issues for which Daiwa Securities Group served as lead manager. For equity offerings, however, we include only the value of the Group's book-runner deals and exclude the tranches for which the Group did not serve as book runner. ☆ Figure … There may be discrepancies in total amounts due to rounding off.

Independent Assurance Report
To the President and CEO of Daiwa Securities Group Inc. We were engaged by Daiwa Securities Group Inc. (the "Company") to undertake a limited assurance engagement of the social and environmental performance indicators marked with [ 202 ] (the "Indicators") for the period from April 1, 2020 to March 31, 2021 included in its SDGs Data Edition 2021 (the "SDGs Data") for the fiscal year ended March 31, 2021. Some Indicators which are subject to this assurance engagement are cumulative totals as of March 31, 2021 or figures for the period from January 1, 2020 to December 31, 2020.
The Company's Responsibility
The Company is responsible for the preparation of the Indicators in accordance with its own reporting criteria (the "Company's reporting criteria"), as described in the SDGs Data.
Our Responsibility
Our responsibility is to express a limited assurance conclusion on the Indicators based on the procedures we have performed. We conducted our engagement in accordance with the 'International Standard on Assurance Engagements (ISAE) 3000, Assurance Engagements other than Audits or Reviews of Historical Financial Information' and the 'ISAE 3410, Assurance Engagements on Greenhouse Gas Statements' issued by the International Auditing and Assurance Standards Board. The limited assurance engagement consisted of making inquiries, primarily of persons responsible for the preparation of information presented in the SDGs Data, and applying analytical and other procedures, and the procedures performed vary in nature from, and are less in extent than for, a reasonable assurance engagement. The level of assurance provided is thus not as high as that provided by a reasonable assurance engagement. Our assurance procedures included: Interviewing the Company's responsible personnel to obtain an understanding of its policy for preparing the SDGs Data and ● reviewing the Company's reporting criteria. o Inquiring about the design of the systems and methods used to collect and process the Indicators. ● Performing analytical procedures on the Indicators. o Examining, on a test basis, evidence supporting the generation, aggregation and reporting of the Indicators in conformity with the Company's reporting criteria, and recalculating the Indicators. o Visiting one of the Company's domestic business sites selected on the basis of a risk analysis. o Evaluating the overall presentation of the Indicators.
Conclusion
Based on the procedures performed, as described above, nothing has come to our attention that causes us to believe that the Indicators in the SDGs Data are not prepared, in all material respects, in accordance with the Company's reporting criteria as described in the SDGs Data.
Our Independence and Quality Control
We have complied with the Code of Ethics for Professional Accountants issued by the International Ethics Standards Board for Accountants, which includes independence and other requirements founded on fundamental principles of integrity, objectivity, professional competence and due care, confidentiality and professional behavior. In accordance with International Standard on Quality Control 1, we maintain a comprehensive system of quality control including documented policies and procedures regarding compliance with ethical requirements, professional standards and applicable legal and regulatory requirements. KPMG AZSA Sustainability Co., Ltd. Tokyo, Japan November 4, 2021