Chairman Jo Yong-byeong Returns Abroad After 2 Years, Highlights 'K-ESG' Achievements (Comprehensive)

Touring the US, UK, France, etc. for Overseas IR... Comprehensive Introduction of Issues and Performance
Plan to Spread Carbon Neutrality Strategy in New Southern Regions like Vietnam and Indonesia

Shin Yong-byeong, Chairman of Shinhan Financial Group, participated in the "Marrakech Partnership," an official event of the 26th United Nations Climate Change Conference of the Parties (COP26) held in Glasgow, UK, on the 3rd, discussing the low-carbon transition in the financial sector.

First Overseas Business Trip in Two Years Since October 2019

[Asia Economy Reporter Lee Kwang-ho] Cho Yong-byeong, Chairman of Shinhan Financial Group, has signaled the diversification of overseas business by resuming investor relations (IR) meetings for foreign investors, which had been suspended for two years due to the spread of COVID-19. Additionally, as the first representative of an Asian private financial company, he was invited to the 26th United Nations Climate Change Conference of the Parties (COP26), where he introduced the carbon neutrality strategy ‘Zero Carbon Drive’ and presented a global ESG (Environmental, Social, and Governance) management vision, receiving great applause.

According to Shinhan Financial on the 15th, Chairman Cho dedicated himself to IR activities for 18 days from the 27th of last month to the 13th, visiting the United States, the United Kingdom, and France consecutively. The trip was accompanied by IR staff including Executive Vice President and Chief Financial Officer (CFO) Noh Yong-hoon.

This is Chairman Cho’s first overseas business trip in two years since October 2019. It is known that he conducted comprehensive explanations regarding management issues and performance to overseas investors in key regions.

Chairman Cho is sparing no investment in the global sector. As of the end of June, the overseas network spans 241 locations in 20 countries, with about 6,300 local employees. Although global net profit was 289.2 billion KRW, slightly reduced due to the impact of COVID-19, it had recorded growth every year until 2019. The global segment accounts for 8.1% of the group’s total profit and loss.

A Shinhan Financial official explained, "We have started discussions on overseas IR to communicate directly with investors and attract global investors. It is still at the stage of assessing feasibility, and the actual resumption of overseas IR has not been decided."

Shin Yong-byeong, Chairman of Shinhan Financial Group, is presenting Shinhan Financial's carbon neutrality strategy at the 'Korea Pavilion' during the 26th United Nations Climate Change Conference of the Parties (COP26) held in Glasgow, UK, on the 9th.

First Private Financial Company Representative Invited to COP26

Chairman Cho also attended the official event ‘Marrakech Partnership’ at COP26 held in Glasgow, UK, from the 31st of last month to the 12th, spreading Shinhan Financial’s ESG activities. COP26 is a gathering of about 30,000 people including heads of state from around 190 countries under the United Nations Framework Convention on Climate Change, as well as experts from various fields, to discuss climate change issues and strengthen cooperation. This is the first time an Asian private financial company representative has been invited to COP26.

Chairman Cho held a discussion on ‘Low-carbon Transition in the Financial Sector’ with representatives from asset management firms such as BlackRock and the Dutch pension fund manager APG. He introduced the Zero Carbon Drive, the carbon neutrality strategy first declared by East Asian finance, and explained Shinhan Financial’s methods for measuring carbon emissions in its asset portfolio and its reduction targets. He also expressed his commitment to actively support industries with high carbon emissions such as power generation, steel, petrochemicals, and cement to accelerate the low-carbon transition.

Chairman Cho said, "It is a great honor to attend as a representative of Korean finance at a gathering where global finance unites toward carbon neutrality. Going forward, I will further contemplate the role of finance in achieving carbon neutrality and do my best to serve as a catalyst for accelerating the national low-carbon economy."

During COP26, Chairman Cho also represented private financial companies at the ‘Korea Pavilion,’ introducing financial strategies and activities related to 2050 carbon neutrality to stakeholders from various countries. At this event, he also announced plans to spread Shinhan Financial’s carbon neutrality strategy to countries in the New Southern Region such as Vietnam and Indonesia where Shinhan Financial has expanded.

Financial Holding Leaders Expected to Resume Overseas IR

Meanwhile, as Chairman Cho became the first financial holding leader to open the door to overseas business trips, other financial holding leaders are also expected to resume overseas IR activities.

Son Tae-seung, Chairman of Woori Financial Group, is reportedly highly likely to visit overseas within this year. Woori Financial is in a situation where the Korea Deposit Insurance Corporation’s 10% stake is being sold, making overseas IR necessary to attract investors.

KB Financial Group and Hana Financial Group are also monitoring the situation. Both KB Financial and Hana Financial say that overseas IR is difficult this year but are likely to proceed next year.

An official from a financial holding company said, "We are watching the COVID-19 situation and overseas financial markets. Discussions on overseas IR will take place soon."

This content was produced with the assistance of AI translation services.