Everything You Should Know About ESG and Its Advantages 8.7.24

1. Everything You Should Know About ESG and Its Advantages To help you as ESG Awards, Datuk Wira Ismith Matthew De Alwis responded, saying, "There has been a significant impact of ESG on the financial markets." enterprises and investors alike are starting to realize that stronger and more resilient economies and enterprises may be achieved by adopting an ESG-driven viewpoint. Consequently, this understanding has altered how people and organizations make investments. For instance, many are increasingly concentrating on reducing the amount of carbon risk in their portfolios. As of right now, we think that the local environment is having trouble developing its capacity to address sustainability-related concerns, such as a lack of technical knowledge, competencies, and abilities regarding how to implement a top-down, sustainability-driven model at every organizational level. Being a Sustainability Award, an established financial institution, has to actively look for opportunities to work with regulators and other businesses to help it build a presence in the local green economy. De Alwis continued. They are confident that the integration of carbon exposures, ESG ratings, financial quality metrics, and active engagements, among other factors, in a diversified and risk-controlled portfolio has historically produced better risk-adjusted returns for investors than simply investing in a broad market index. This is done to ensure sustainable performance for Keeanga Investors' stakeholders. Talking about the advantages of ESG, as well as our goals and aspirations, is all very well and good, but how can we make sure that these intents and policies are carried out successfully? According to De Alwis, a few essential elements are needed for an ESG implementation to be successful. In our opinion as ESG Award, the first step towards guiding the company's ESG agenda and creating the right corporate culture, which results in successful ESG implementation, is having a competent and supportive board. Moreover, throughout the implementation phase, the ESG targets need to be clear, feasible, and time-bound. Both qualitatively and numerically, these concerns must be addressed by policies, programs, and oversight systems. Keeanga Investors think that an active ownership and

2. effective stewardship approach across the investment value chain is the foundation for consistently delivering outstanding performance. By encouraging ethical and environmental practices, they hope to impact investee firms as shareholders while searching for long-term value-accretive investments. We as a Sustainability Awards, Businesses also lacked dependability and openness when it comes to the disclosure of ESG data. There is a lack of uniform criteria, metrics, and emphasis when it comes to ESG practices; for example, some may emphasize and concentrate on human rights issues, while others may concentrate on climate change. In addition to emphasizing climate change, which is widely regarded as one of the most important issues of our time, MDEC recently launched the Malaysia Digital Climate Action Pledge (MDCAP), which aims to inspire digital tech companies to commit to specific actions addressing climate change and to support the decarbonization of SMEs. This year, MDEC is focusing on ESG issues on their investment. As an associate of the sustainability agenda, we are committed to the objective of advancing the impact investment scene in Malaysia. As an expert ESG Awards, it takes careful balance-taking to ensure that these requirements are met in a way that is both ecologically and environmentally sustainable and benefits society as a whole. Two instances of this are the nature-based infrastructure and the blue economy. According to Dr. Nair, climate change is a very significant issue that has been receiving attention over the last ten years. Initiating the MDCAP program to promote climate action within digital economy ecosystems, MDEC adopted a proactive stance. In addition, social issues like forced labor and the B40 group's financial difficulties have made ESG increasingly appealing in Malaysia. There are difficulties associated with these goals. De Alwis states that one of the challenges they had in putting their ESG goals and advantages into practice was the ignorance of our retail investors in Malaysia regarding ESG.