RI Annual Report 2023



Investor Mining and Tailings Safety Initiative We have joined this investor led engagement which advocates for increased tailings dam safety and transparency in the mining industry. Investor Policy Dialogue on Deforestation (IPDD) We are a founding and advisory committee member of the IPDD initiative, which was formally established in July 2020. The objective of the IPDD initiative is to ensure long-term financial sustainability of investments by promoting sustainable land use and forest management and respect for human rights. We are also part of the IPPD Brazil and IPDD Indonesia Working streams. Considerable progress has been made in terms of awareness- raising in regard to the issue of deforestation risk and meeting with key stakeholders. During the past two years, the group has met with several ministries, banks and financial markets regulators, multilateral institutions, NGOs, and academics. Montreal Carbon Pledge Nordea signed the Montreal Pledge in 2014 as one of the first signatories. By signing this pledge, we commit to measuring and publicly disclosing the carbon footprint of our investment portfolios on an annual basis. Nature Action 100 In 2023, NAM joined more than 200 institutional investors – representing $26.6 trillion in assets under management, in Nature Action 100, an Investor focusing on companies “systematically important” to reverse nature and biodiversity loss. The initiative has entered its engagement phase and we participated in the letter that was sent to 100 companies, who have been identified as critical for biodiversity protection and restoration. NAM will take part in several NA100 corporate engagements during 2024. Net Zero Asset Managers Initiative (NZAM) In December 2020, we were a founding investor, committing to support the goal of net zero emissions by 2050, in line with the global efforts to limit warming to 1.5 degrees through our investments. Part of the NZAM targets that we set was to engage with the top 200 contributors to our financed emissions. In 2023 81% of our top 200 companies were categorised as aligned or engaged to become aligned. This milestone was met through the following key actions: Individual dialogues with companies in which we stated and discussed our expectations of Paris alignment; Engagements via collaborative initiatives (CA100+, CDP non-disclosure campaign); A letter addressed to select company CEOs outlining the six alignment criteria and highlighting our expectation, as well as the expectation of the growing number of net-zero committed asset managers, of an increase in alignment maturity if the company is to remain investable in the medium to long term. Partnership for Carbon Accounting Financials (PCAF) In 2020, we joined this global partnership of financial institu- tions launched in 2015 aiming develop a harmonised approach to measure and disclose GHG emissions associated with loans and investments. A harmonised accounting approach provides financial institutions with guidance in developing risk management and regulatory compliance as well as a starting point required to align their portfolio with the Paris Agreement. In 2023 we continued to promote the use of PCAF in the financial sector. Pharmaceutical Supply Chain Initiative Advisory Panel Since 2018 we are on the Advisory Panel of this industry-led orga- nization aimed at establishing and promoting responsible practices for pharma supply chains. The dialogue and relationship with PSCI is part of our engagement with the world’s largest pharma compa- nies to address pharma water pollution in India, one of the largest drug manufacturing hubs in the world.

FAIRR We have joined the FAIRR’s collaborative investor engagement on sustainable proteins which asked several global food companies to diversify their protein sources to drive growth, increase profitability, reduce risk exposure, and improve their ability to compete and innovate in a resource-constrained world. Finance for Biodiversity Pledge The Finance for Biodiversity Pledge is a commitment of 153 financial institutions, representing €21.4 trillion in AuM, to protect and restore biodiversity through their finance activities and investments. The Pledge consists of five steps financial institutions promise to take: 1. Collaborating and sharing knowledge, 2. Engaging with companies, 3. Assessing impact, 4. Setting targets, and 5. Reporting publicly on the above before 2025. IFRS Sustainability Alliance We are founding member of the ISSB Investor Advisory Group (IIAG), previously SASB’s Investor Advisory Group (IAG). As part of this work, we lead disclosure engagements with companies, and demonstrate how SASB standards are used by investors in different fora Previously known as the Sustainability Accounting Standards Board (SASB). Institutional Investor Group on Climate Change (IIGCC) IIGCC provides investors with a collaborative platform to encourage public policies, investment practices and corporate conduct that address long-term risks and opportunities associated with climate change. In 2023 we were lead investor, or collaborative investor, in several IIGCC corporate engagements. International Corporate Governance Network (ICGN) ICGN's mission is to promote effective standards of corporate governance and investor stewardship to advance efficient markets and sustainable economies worldwide. Investor Action on Antimicrobial Resistance Investor Action on Antimicrobial Resistance is a coalition between the Access to Medicine Foundation, the FAIRR Initiative, the Principles for Responsible Investment and the UK Government Department of Health and Social Care to galvanise investor efforts to address global antimicrobial resistance. Investor Alliance for Human Rights (IAHR) We are a member of this investor initiative focusing on the investor responsibility to respect human rights, corporate engagements that drive responsible business conduct, and standard-setting activities that push for robust business and human rights policies. In 2023 we continued to participate in several initiatives within IAHR such as Digital Rights. Investor Initiative on Hazardous Chemicals (IIHC) The Investor Initiative on Hazardous Chemicals (IIHC) is an inves- tor-led initiative that encourages chemical companies to increase transparency and stop the production of persistent chemicals. The aim of the IIHC is to reduce adverse impacts from hazardous chemicals and thereby exposure to the financial risks to which they are linked. Cecilia Fryklöf, our Active Ownership head, is member of the Steering Committee of the Investor Initiative on Hazardous Chemicals (IIHC – supported by ChemSec). NAM also leads and support several company engagement streams. Investor Initiative on Sustainable Forests (IISF) In 2020, we joined this global partnership of financial institutions IISF works to foster investor collaboration and engagement to eliminate deforestation from soy and cattle supply chains in South America.

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