Excellent Governance

Shinhan Bank President Cho Yong-byoung (4th from right) poses with other award winners at the 2015 Corporate Governance Structure Excellent Firms award ceremony at the Korea Exchange on Oct. 13.
Shinhan Bank President Cho Yong-byoung (4th from right) poses with other award winners at the 2015 Corporate Governance Structure Excellent Firms award ceremony at the Korea Exchange on Oct. 13.

 

The Shinhan Financial Group (Chairman Han Dong-woo) announced that it received the grand prize at the “2015 Corporate Governance Structure Excellent Firms” award ceremony held at the Korea Exchange on Oct. 13.

The Korea Corporate Governance Service (KCGS) selects excellent firms in terms of corporate governance structure every year, based on the environmental, social responsibility, and governance (ESG) evaluations of all listed firms.

Of the 828 listed companies in Korea, Shinhan Financial Group was the only firm given the grade of A+ in its 2015 ESG management evaluation report, receiving the grand prize this year after the excellence award in 2013.

The group earned equally high marks in the three sectors – governance structure, social responsibility, and environmental management. Also, it got reviews that the balance between the group-level social responsibility strategy establishment, which reflects the global trend, and the strategy execution of each subsidiary, which considers the distinct characteristics of business models, stood out in the social responsibility sector as well.

In particular, the group also won the top rating in the social responsibility sector, recognized for pursuing co-existence with partner companies and actively developing financial products for vulnerable members of society.

For the environmental management sector, moreover, the group had high scores for establishing a systematic internal environmental management system, participating in the Carbon Disclosure Project (CDP), the United Nations Global Compact and the United Nations Environment Programme Finance Initiative (UNEP FI) as a member company, raising concerns over the environmental management of its executives and employees, improving the system, and actively communicating with interested parties.

Meanwhile, Shinhan Financial Group is listed on major social responsibility management indexes at home and abroad, being credited for its efforts to fulfill such a social responsibility, and is receiving consistent attention from global institutional investors and long-term investors, including pension funds.

Shinhan is listed on the socially responsible investing (SRI), SRI Governance and SRI Eco indexes, which are chosen by the Korea Exchange, as well as the Dow Jones Sustainability Index World (DJSI World), FTSE4Good, and MSCI ESG indexes. Through the global sustainable management indexes, the group is receiving recognition for its sustainable management ability from investors at home and abroad.

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