ENVIRONMENTAL SOCIAL GOVERNANCE
BC Technology Group ESG Overview
The Group believes that sustainable business practices are integral to the creation of long-term value to society. It is committed to being a good corporate citizen and bringing value to its stakeholders through the integration of environmental, social and governance (ESG) considerations in its business practices.
Our sustainability reporting follows the Environmental, Social and Governance Reporting Guide of The Stock Exchange of Hong Kong (“ESG Reporting Guide”).
We shepherd the resources and relationships we rely on to create and protect values for our stakeholders. In particular, the Group aims to be carbon neutral, and neutrality will initially be achieved by purchasing carbon offsets that are blockchain or distributed ledger technology based instruments in line with the Group’s industry positioning.
As a leading player in a fast-moving space, we are positioned to shape the industry’s future. We recognize our responsibilities to our stakeholders and the importance of leading by example in a space where sustainability practices are relatively nascent. We are also excited at the opportunities for bringing innovation, digitization and blockchain technology into the ESG realm.
We communicate our approach and strategy on sustainable business practices to our key stakeholders through daily business operations, such as regular meetings, the company website, social media platforms, training, emails and other activities. Our key stakeholders include shareholders, potential investors, government agencies and regulators, counterparties, liquidity providers, customers, employees, industry groups and communities.
We take an active approach to identify and create ESG values and integrate them into our policies and systems, including our daily business behavior and operating practices.
Reporting Framework and Scope
The ESG content on our website, in combination with our financial reports, serves as a record of our main ESG initiatives and performance, focusing on areas that are material to our business and stakeholders.
Our ESG reporting follows the ESG Reporting Guide, and also draws on the guidelines and principles of the Sustainable Accounting Standards Board (SASB).
The Group is committed to supporting good environmental standards and to ensure implementation of environmentally friendly measures. Our environmental and safety data has been calculated in accordance with industry standards by external consultants. We also report on social performance, including employment practices and diversity statistics.
The Board is responsible for the development of our long-term corporate strategies and values. In doing so, it considers the needs and requirements of the business, its stakeholders and the Corporate Governance Code and ESG Reporting Guide.
The Board has overall responsibility for, and is engaged in, our ESG strategy and reporting, including evaluating and determining ESG-related risks, and ensuring appropriate and effective ESG risk management and internal control systems are in place. The senior management team provides confirmation to the Board of the effectiveness of these systems.
In order to further develop the Group’s ESG approach and strategies, an ESG Committee was constituted in mid-2020 under the sponsorship of the Group’s Chief Executive Officer. The ESG Committee comprises employees from different departments and seniority levels in the Group who bring diverse ideas. Its objectives are to develop ESG-related initiatives and products, and support, drive and enhance the Group’s communication and implementation of such initiatives.
The ESG Committee is currently developing, among other initiatives, a strategy for the Group to reach its carbon neutral goal, which involves ESG solutions that utilize distributed ledger technology and/or blockchain. It is also formulating an ESG strategy and engagement plan, which aligns with the Group’s industry positioning in the digital asset and blockchain space.
Our Risk Management Committee, reporting to the Board, is responsible for assessing and enhancing the Group’s risk management, as well as ESG and corporate governance policies, strategies and performance.
The Chief Executive Officer is delegated responsibility by the Board for executing our corporate sustainability strategy and initiatives. In turn, his direct reports across the Group have functional responsibility for sustainable business practice in specific areas, most notably our Chief Operating Officer and the senior managers of our subsidiary companies and divisions.
A materiality assessment was conducted in 2019 in accordance with the expectations and feedback from some stakeholders. Based on the results of the materiality assessment, the management of the Group identified security controls over digital assets and blockchain related technology, employee benefits and engagement, and protection of customer data and privacy as key aspects of its long-term sustainability. Effective risk management and internal control systems on these aspects are engineered with the aim of enhancing efficiency of operations and generating environmental and social benefits for stakeholders.
The Group has published the following documents to guide our actions and improve our performance in areas of Corporate Social Responsibility through company policies and guidelines, including:
- A comprehensive, mandatory Employee Code of Conduct, detailing the expectations of staff to conduct themselves in a professional, ethical and socially acceptable manner of the highest standards, including company specific policies on diversity, whistleblowing and other procedures
- An in-depth Employee Handbook providing all company employees with information on working conditions at BC Group and OSL, company culture and clear guidance on the company’s equal opportunity, data protection and other core company policies
- Flexible Working Arrangements in place to cater to staff needs and in general and also specific to the COVID-19 pandemic ‘new normal’ for working
BC Technology Group’s operations are subject to the Group’s internal rules and policies as well as prevailing laws, rules and codes imposed or recommended by relevant regulatory bodies from time to time, such as The Stock Exchange of the Hong Kong Limited and the Companies Registry.
The Group has also created the following governance documents and procedures to elaborate on our values and our commitment to high standards of Corporate Governance:
- Anti-bribery and corruption practices, including anti-money laundering policies
- Mitigation of conflicts of interest
- Corporate behaviour, including employee training on business ethics and other key areas related to the financial services and digital asset industries
- A corporate data protection policy