The Implementation and Effectiveness of 2023 Sustainable Development Promotion Plan

Parties Involved	2023 annual action plan	Implementation Status
Customers	Through investor conferences, facilitate interactive discussions between listed, OTC, and emerging market companies and investors to understand the future industry outlook, operational prospects, and ESG sustainable development strategies of the issuing companies.	The Corporate Banking Department organizes a total of 34 sessions of investor conferences, and the average number of participants per session was approximately 55 people.
	Investment and financial literacy seminars/participation in corporate forums.	Investment and financial literacy seminars/participation in corporate forums: Holding investment and financial management seminars: (1) 2023 second-half investor conference was held on June 28th. (2) “2023 Fourth Quarter Taiwan Stock Market Outlook Media Briefing” was held on September 26th. (3) “2024 First Half Investment and Financial Management Seminar” was held on November 22nd. Corporate forums were held every quarter, inviting institutional investors, including Capital Investment Trust Corporation, and dozens of other institutional investors to participate. In 2023, a total of 36 Capital Securities Lecture events were held, continuously enhancing customer investment knowledge through online video content. In 2023, a total of 678 individual stock research reports were published, with approximately 95% of the reports disclosing ESG information about the stocks.
	Optimize Capital Securities digital services Enhance the content of Capital Securities YouTube channel, “Wealth Creation Perspective,” with video livestreams. Increase the proportion of electronic orders to total orders, promote the Capital Securities Mobile Winner smart order and API order placement functions. Promote all-in-one account opening (securities, sub-brokerage, futures, and trust accounts can be opened at once). Optimize Capital Securities One Account service. Strengthen Capital Securities’e-service counter functionality, digitizing customer counter services.	Optimize Capital Securities digital services As of the end of 2023, Capital Securities YouTube channel, “Wealth Creation Perspective” had approximately 11,113 subscribers, with an increase of 3,524 subscribers over the year. On average, 379 viewers watched each livestream. In 2023, a total of 248 videos were uploaded on “Wealth Creation Perspective,” including videos for One Account and trading competition marketing. Each video had an average of 2,467 views, totaling 612,000 views for the year. Optimize the interface of the Mobile Winner app, providing post-market information for Taiwan stocks, adding smart order pre-risk control functionality, and increasing order speed. Optimize the Capital Securities Account Opening function by: (1) Consolidating financial proof documentation to save customers’ upload time. (2) Implement a salesperson referral code exclusive link. (3) Launch the new version of the Capital Securities Account Opening to streamline the account opening process. Optimize Capital Securities One Account service (1) Introduce a trust deduction feature to expand its usage, making it convenient for investors to subscribe to funds, including overseas bonds and other trust services. (2) Develop the foreign currency One Account feature. Enhance Capital Securities e-service counter functionality by: (1) Add a separate entrance for customer referrals and stock lending functions, as well as online signing of security lending account opening applications. (2) Add an interest rate field to “Capital Securities Convenience Loan” to make it more convenient for customers to transfer collateral and borrow, thereby increasing customer willingness to borrow and improving fund utilization and control efficiency.
	Sell products that align with ESG concepts.	Sell ESG concepts products. In 2023, the sales of 2 ESG ETF IPOs totaled 51.04 billion dollars. In 2023, a total of 12 sustainable bonds were underwritten, amounting to 62.3 billion dollars, accounting for 12.83% of the company’s total bond underwriting volume.
	Take care of the vulnerable and elderly, providing a large-font and voice-enabled version of the mobile app online system to facilitate trading for elderly and visually impaired investors.	The following functions all provide large-font services: Whole stock quotes, order placement page, order confirmation, trade confirmation, historical order confirmation, historical trade confirmation, profit and loss calculation, stock subscription, stock auction, push messages & settings.
	Committed to creating an accessible online environment for people with disabilities, enabling them to enjoy the convenience of the internet in their daily lives.	The official website officially launches the Capital Securities Financial Friendly Service Zone, providing an accessible online environment.
	Customers are provided with electronic account statements for a full range of products. Continuous efforts are devoted to the promotion of electronic account statements instead of the paper copies to effectively reduce consumables such as paper and ink used for printing and to bring down the cost and pollution generated from transportation and the transport of paper-based mails.	Provide a new version of the electronic statement interface, improving user-friendliness and readability, reducing the file size of statements, increasing transmission efficiency, and reducing storage space requirements. The subscription rate was 68.7% in 2023.
	Efforts are continued to offer customers website and App online services, and promote through tutorial videos. In addition to advancing toward the goal of paperless operations and reducing customers’ cost of transportation and time required for coming to the counter, these measures can promote energy conservation and carbon reduction for environmental protection.	In 2023, a total of 95 tutorial videos were uploaded online, covering Super Winner, Pocket God of Wealth, Mobile Winner, Account Opening, Capital Securities LINE@, and Service Zone.
	Strengthen organizational resilience to create a digitally trusted environment to ensure the security of customer transactions and sustainability.	The Chief Information Security Officer attended the Financial Institutions’ CISO Contact Meeting, where discussions took place on important cybersecurity policy measures, regulatory focuses, cybersecurity trends, and collaborative cybersecurity initiatives. Conducted a Business Continuity Management Impact Analysis training session in March. Completed the BSI audit for ISO 27001 Information Security and BS 10012 Personal Data Protection in March and obtained certification. Conducted IoT training in August, and completed vulnerability scanning, high and medium-risk patching, and patching plan arrangements in December. Passed the three major system certifications (ISO 27001 renewal audit, ISO 22301 certification, BS 10012 certification) in September. Revised regulations in accordance with cybersecurity internal control and self-discipline norms in November. Conducted two dual-site disaster recovery drills in the first and second halves of the year. Completed a total of eight DDoS drills in 2023 to ensure uninterrupted operations despite external attacks. Incorporated the overall execution of information security in 2022 into the Internal Control Statement. Outsourced the establishment of SOC/SIEM defense mechanisms, resulting in a quarterly decrease in reported incidents. In 2023, a total of 530 incidents were reported, with no cybersecurity incidents. All related reported cases were promptly resolved.
Shareholders/Investors	Hold investment and wealth management seminars:	In 2023, a total of 89 physical customer seminars were held at branch offices, providing investment knowledge to clients.
	Organize annual investors’ conference call on financial services provided by the company.	Quarterly online investors’ conference call were conducted throughout 2023, presenting financial business-related information and reporting on sustainable development initiatives and practices.
	In accordance with the Risk Management Best-Practice Principles For Securities Firm and TCFD framework, disclose the direct and indirect impacts of climate change, assess and disclose the most significant related risks and opportunities of the company’s business activities.	The TCFD report for the year 2022 was completed and presented for review to the Sustainable Development Committee and the Board of Directors. It was subsequently published on the company’s website.
Suppliers	I. Require vendors to provide environmentally and socially friendly products.	Continue to request suppliers The products (raw materials) provided should meet government-approved environmental, energy-saving, water-saving, and green building material standards or bear green product labels. They should also adhere to standards for recycled materials, low pollution, recyclability, resource efficiency, and other factors that contribute to social benefits or reduce social costs, while maintaining similar performance with less environmental impact. When signing various procurement contracts, suppliers should diligently complete the “Supplier Human Rights and Environmental Sustainability Commitment.” Relevant clauses should be included in the contract to demonstrate the mutual commitment of our company and the supplier to implement and fulfill sustainable development principles.
Suppliers	Regularly conduct information-related supplier management to ensure the quality of information security.	Conduct supplier evaluations, which include assessing service standards and information security.
Employees of our company	Strengthen the professional competence and skill enhancement of employees to enhance their expertise in climate change, the trend of net zero transition, and sustainable development.	The Corporate Banking Department held quarterly ESG issue education and training sessions in the fiscal year 2023. Internal talent training at Capital Securities Financial University, with a total of 35 participants completing the program. The Human Resources Department organized 36 internal education training sessions and an online course on “Financial Friendly Service, Convention on the Rights of Persons with Disabilities,” with a total participation of 1,186 individuals. A total of 3,532 individuals participated in external training sessions.
	Provide industry-specific training courses for the brokerage department’s sales staff.	Capital Investment Management Corp. provided a total of 75 industry-specific training sessions for its sales representatives. Conduct the “Next Week Market Briefing” meeting every Friday to provide brokerage department colleagues with the latest market trends and industry updates.
	In every quarter, physicians are arranged to come to the Company providing health consulting services for employees.	Health consultations were scheduled quarterly for the fiscal year 2023.
	Conduct employees’ office environment inspections every half year.	Environmental testing for the fiscal year 2023: completed in March for the first half of the year and completed in September for the second half of the year.
	Various welfare measures of the Welfare Committee.	In the fiscal year 2023, the Welfare Committee provided subsidies for various welfare measures including marriage, funeral, hospitalization, childbirth, travel, and vaccines. A total of 2,386 individuals applied for these subsidies, amounting to nearly 12 million dollars in total.
	Establish an employee cybersecurity development training program and enhance the information security awareness of all staff.	The dedicated cybersecurity team has obtained a total of six certifications. Provide online information security and business continuity awareness materials for all staff to attend classes. Conduct cybersecurity training, as well as ISO 27001 transition training for mid to senior-level executives.
	Develop new features in the app for sales representatives to instantly share messages and send greetings to clients, further reducing communication costs such as postage and manpower while promoting environmental conservation and carbon footprint reduction.	Introduce a new electronic greeting card feature and provide sales representatives with the ability to query customer inventory.
	Healthy-workplace series of activities. Healthy diet: provide information related to healthy eating. Building a smoke-free office environment. Promoting sports activities: (1) Providing subsidies to establish sports clubs. (2) Promoting “Health Exercise for Office Workers” on the Company’s internal website. Promoting “human-induced harm and illegal infringement prevention” and “prevention measures for abnormal load-induced diseases.” Organized health promotion seminars. Application for the solution to offer thoughtful inoculation of free flu vaccines in the workplace.	Healthy-workplace series of activities. Healthy Eating: Provide “My Plate” balanced diet principles for all staff to refer to, and introduce the “Capital Securities Health Education Corner” to periodically provide staff with health education-related information. Announcement of measures related to tobacco control and prevention of smoking-related harm. Promoting sports activities: (1) A total of 26,000 NT dollars was allocated for subsidy to two social clubs. (2) Announce “Workplace Vitality Exercise” for all staff to refer to promote health and fitness. Continuing to implement the “Human-Induced Harm and Illegal Infringement Prevention” and “Prevention Measures for Abnormal Load-Induced Diseases.” Host six health promotion seminars and activities: (1) Organized seminars on “Employee Stress Adjustment Counseling and Advice” and “Promotion of Employee Physical and Mental Balance Course Consultation” in April. (2) Hosted seminars on “Eating Right for Optimal Health” and organized a “Technology-based Fitness Assessment” event in September. (2) Held seminars on “Introduction and Application of Long-Term Care 2.0 Resources Management” and organized an event on “Introduction of Government Counseling Resources” in October. Organized workplace flu vaccine services, with a total of 101 people receiving vaccinations in November.
	Employee group insurance The Company provides employees with a broad variety of group insurance coverage from life, accidental injury, accidental medical treatment, to occupational hazard. Employees are invited to include their family members in group insurance at a discounted premium. Term life, accidental injury, medical treatment, and cancer insurance policies have been offered to care for employees and their family members.	Employee group insurance The Company purchases group insurance for each of its employees with additional coverage on life, accidental injuries, accidental medical treatment, and occupational hazards. EProvide employees and their dependents with group insurance at discounted rates, including term life insurance, accident insurance, medical insurance, and cancer insurance, among others. As of the end of the year, a total of 596 employees and 701 dependents have opted for the self-paid group insurance.
	Massage services to employees.	A total of 1,296 applications were submitted in the fiscal year of 2023.
	Regular health checks for employees.	Employee health checkups were conducted across the province from August to October.
		Hosted the “Capital Securities ESG, Embracing a Sustainable Future” series, including the “Introduction to RPA and Results Presentation Seminar.”
Communities and groups
	I. Serve as lecturers for practical courses on campus.	Please refer to II, III as follows.
	Collaborate with the company and Tamkang University for the new academic year to provide mentorship courses.	Collaborating with the Department of Finance and Banking at Tamkang University on the industry–academia partnership to conduct a lecture course titled “Practical Operations of Asset Management for Sustainable Business,” taught by industry experts from our group.
	Expand the collaboration with National Taiwan University of Science and Technology to cover the entire academic year.	Collaborate with industry mentors from National Taiwan University of Science and Technology to complete relevant mentorship courses for the Financial Finance Program, Master’s Program, and EMBA Program.
	“Capital Securities Love Reading Program.”	Capital Securities Love Reading Program On May 23rd, the 2023 “Capital Securities Love Reading Program” launch event was held at Changxing Elementary School in Taoyuan City, where each student was presented with a financial book. Hosted the “Capital Securities Love Reading Program – How to Use Board Games and Picture Books to Teach Children Financial Literacy?” event. Volunteer training program called upon colleagues to participate in volunteer reading activities at schools. Held Love Reading donation ceremonies and volunteer activities at schools respectively in September and October. Organized a city tour for students from Youmu Elementary School on December 15th, inviting them to visit the Taipei 101 Observatory and the Taipei World Trade Center, allowing the students to observe Greater Taipei from different perspectives and explore our hometown.
	Blood donation activity	Conduced the “United in Love, Spreading Happiness Charity” blood donation campaign with a total of 19 sessions held across the north, central, and southern regions, resulting in 1,133 bags of blood donated in November and December.
	To assist students of colleges and universities in understanding and experiencing the financial industry early and to assist them in determining their future careers, thereby reducing the gap between school learning and job practice, the Company actively organizes diverse industry and academic collaboration programs in order to cultivate students to become financial talents with theoretical bases and practical skills. The industry–academia collaboration initiatives undertaken by our company include industry speaker programs and off-campus internship programs.	Industry Lecturer Program: (1) Collaboration with Tamkang University on the “Practical Operations of Asset Management for Sustainable Business” lecture series. (2) Collaboration with Soochow University on the Capital Market Practices and Operations course. (3) Negotiated with National Sun Yat-sen University on the “Practical Operations of Asset Management” lecture series. Off-campus Internship Program: (1) Conducted off-campus internship promotion sessions at Taipei University, Taipei University of Commerce, Shih Hsin University, and Soochow University.

Non-Governmental Organization/Non-Profit Organization
	Collaborated with the Securities Association to provide course incentive programs to universities, and offering relevant mentorship courses for the incentives provided.	Collaborated with the Securities Association or media companies to organize mentorship courses. In March, organized two physical events: Northern Region Industry-Education Training and Central Region Industry-Education Training. In May, collaborated with the Taiwan Securities Association to hold lecture courses at Taipei University. In November, hosted one event at National Chengchi University in collaboration with the association for a warrant marketing project. In November, hosted two warrant events at National Tsing Hua University in collaboration with the media. In December, organized one event at Soochow University in collaboration with the association for universities.
	Government Funds Presentation	Presented “Outlook for the Taiwan Stock Market in 2024” to Chunghwa Post in December.
	Collaboration between universities and the industry.	Collaborated with 26 schools and 31 departments for industry–academia cooperation, involving a total of 134 students, with 59 being retained for employment.
Investee
	Through investor relations activities, engaging in dialogues and interactions with invested companies to understand future industry trends, operational outlook, and ESG sustainable development strategies.	Implementation status of ESG Responsible Investments: In the first half of the year, there were a total of 200 investment targets, with 147 domestic targets (including stocks and bonds). 104 out of the top 50% in the corporate governance evaluation, accounting for 71%; 114 companies have issued sustainability reports, accounting for 78%; 72 companies are constituents of ESG-related index ETFs approved by Exchanges or OTC markets, accounting for 49%. In the second half of the year, there were a total of 225 investment targets, with 170 domestic targets (including stocks and bonds). 106 out of the top 50% in the corporate governance evaluation, accounting for 62%; 114 companies have issued sustainability reports, accounting for 67%; 74 companies are constituents of ESG-related index ETFs approved by Exchanges or OTC markets, accounting for 44%.
	CSC Capital Management Co. and CSC Private Equity Fund I Co. collaborate to assist invested companies in sustainable development and promote related measures.	CSC Capital Management Co. and CSC Private Equity Fund I Co. formulated operational guidelines for sustainable development ESG investment assessment, and continued to conduct ESG investment assessments, engaging in dialogue with 37 invested companies.