Ownership & History


Ownership

Daiwa SB Investments (HK) Limited has been incorporated since 1988 and is a wholly-owned subsidiary of Sumitomo Mitsui DS Asset Management Company, Limited (former Daiwa SB Investments Ltd.), an asset management company based in Japan.
 


History

In April 2019, Sumitomo Mitsui Asset Management and Daiwa SB Investments merged to form Sumitomo Mitsui DS Asset Management.

Timeline

Investment Philosophy


Achieve Stable Excess Returns Through Active Management

As a professional asset management company, we incorporate new investment techniques in response to changes in the market environment and provide top-tier investment performance that aims to produce steady earnings in the medium and long term.


For active investment products, we secure excess earnings by defining inefficiencies in the market and constructing a consistent investment process to turn these inefficiencies into investment opportunities.


In order to achieve this, we uncover inefficiencies through our unique global research platform, take appropriate risks based on our professional skill, manage risks from diverse perspectives, and conduct constant quality control throughout the entire investment process.

Corporate Principles


Our Mission & Vision


Towards The Best Asset Management Firm For Your Better Quality of Life.


We, as professionals, focus on:

-  Delivering the best-in-class investment performance, while maintaining the highest standards of fiduciary responsibility to our clients,

-  Contributing to a diversified and sustainable society through our investment activities.


To these ends, we commit ourselves to:

-  Aiming for collective growth, based on a respectful understanding of all stakeholders,

-  Creating a flexible working environment that allows all employees to reach their full potential.



Our Values

Sincerity – Customers' interest first 

We act in fair and responsive manner by placing customers' interest as our values to become their most trusted partner.


Agility – Time – strategic resources

We address issues in a time-conscious manner to deliver new products and services to our customers earlier than peers.


Challenge – Confront the status quo

We challenge norms by exploring extraordinary products, services and processes in pursuit of the highest standard of investment management services.


Passion – Strive for an extra basis point

We dedicate ourselves to improve investment performance and business efficiency across all business areas.


Teamwork – Tackle conflict head-on in pursuit of value

We embrace diversity of views and ideas, and make collective efforts to achieve what cannot be done by one person alone.



Our Commitment to Fiduciary Duties


Investments

1.  Contribute to building clients' wealth with advanced investment techniques

2.  Invest clients' assets according to the clients' needs

3.  Explain investment objectives and situations concisely

4.  Become the top global asset manager in Asian Investment including Japan

5.  Become the top runner in Japan in the SRI and ESG fields


Product Development

1.  Constantly provide high-quality products that meet global standards

2.  Develop products which properly match the clients' needs

3.  Set fees that are rational and that clients are comfortable with


Client Services

1.  Provide earnest services to build long-term relationships with clients

2.  Provide accurate and useful information and means to build clients' wealth

3.  Never provide unsuitable products to clients

4.  Prioritize helping clients understand our products easily


Corporate Management

1.  Ensure transparency at all levels of management

2.  Properly manage the conflicts of interest

3.  Make effort to improve operational quality

4.  Always strive for improvement in productivity

5.  Develop and evaluate people who will put a customer first

United Nations Principles for Responsible Investment


Signature to the UN Principles for Responsible Investment


1. What are the United Nations Principles for Responsible Investment ("UNPRI" or the "Principles")?

The UNPRI are principles related to investment based on the following six commitments which were established in 2006 through their proposal by the then-U.N. Secretary-General Kofi Annan, and the cooperation of the United Nations Environment Programme Finance Initiative (UNEPFI) and the United Nations Global Compact, both of which are United Nations affiliate organizations.  The Principles do not carry legal binding power, but by voluntarily signing them, institutional investors, particularly overseas, with a strong awareness of environmental, social, and governance ("ESG") issues make clear their propensity to give consideration to ESG issues in relation to their investment process.

【Six Commitments of the UNPRI】

We will incorporate ESG issues into investment analysis and decision-making processes.
We will be active owners and incorporate ESG issues into our ownership policies and practices.
We will seek appropriate disclosure on ESG issues by the entities in which we invest.
We will promote acceptance and implementation of the Principles within the investment industry.
We will work together to enhance our effectiveness in implementing the Principles.
We will each report on our activities and progress towards implementing the Principles.


2. Our Company's Stance on the UNPRI

(i)  Now, more than ever, ESG factors can exert influence over asset value including enterprise value and stock price.
In light of these circumstances, our company will plan to strengthen analysis and evaluation related to risk assessment concerning ESG within the risk assessment our company has implemented through qualitative evaluation thus far, and by signing the Principles, clarify our stance.

(ii)  Our company, with the goal of fulfilling our "duty to pursue, to the greatest extent possible, the maximum profit over the long term for our beneficiaries", in other words, to further improve our investment performance, will perform the aforementioned activities from the perspective of further strengthening the investment methods we have pursued thus far.


3. Our Company's Initiatives Related to ESG Activities

We will take our signature to these Principles as an opportunity to establish an ESG Committee and necessary regulations from the perspective of planning the strengthening of our analysis and evaluation of ESG issues.  Our company's ESG Committee will be the center of our initiatives, and actively promote our company's ESG activities.
 

Stewardship Responsibilities Initiative and ESG Investment Initiatives


Initiatives to Fulfill Our Stewardship Responsibilities

By conducting stewardship activities such as appropriate engagement with investee companies, we will provide high quality investment returns to our clients and their final beneficiaries while contributing to economic growth and the healthy growth of Japan's capital market as part of the investment chain.


1.  We will strive to strengthen our network of analysts, fund managers, and other investment professionals and integrate know-hows in order to conduct appropriate stewardship activities for investee companies.


2.  We will appropriately manage conflicts of interest and always prioritize the interest of our clients and their beneficiaries when conducting investment activities and exercising voting rights.


3.  We will strive to understand investee companies and others, and contribute to the enhancement of their value by engaging them in "deep dialogue" that promotes sustained growth, value enhancement, and damage prevention.


4.  We will continuously work to improve our capabilities, including our ability to communicate with investee companies, our ability to analyze current and future conditions, and our ability to make suggestion that enhance value.


5.  We will publish an overall summary of our stewardship activities on our website once a year. We will also publish information regarding the exercise of voting rights each quarter, including aggregated results by proposal category and all votes on proposals.

 

ESG Investment Initiatives

As the global business environment changes, non-financial information such as environmental, social, and corporate governance (ESG) information has become more important to analyze the stability, sustainability, and medium- to long-term corporate value enhancement of investee companies.


By incorporating the analysis and assessment of such non-financial information into the investment process taking into account each product's investment philosophy and investment horizon, we will fulfill our fiduciary duties to provide high quality investment returns to our clients and their final beneficiaries.

Message from the CEO


While the asset management industry continues to grow globally, our clients' expectations for investment management capabilities and services have become more complex and diversified. In order to fully meet these client needs, Sumitomo Mitsui Asset Management and Daiwa SB Investments merged in April 2019 to begin a new chapter as Sumitomo Mitsui DS Asset Management.


The new company's corporate philosophy states that we aim to be the "Best Asset Management Firm for Your Better Quality of Life". Towards this end, we will strive to improve client satisfaction by various means such as:
 

-  enhancing our responsible investment capability to fulfill our duties as a "responsible institutional investor",

-  leveraging the cutting-edge technology including artificial intelligence and big data analysis,

-  improving our global presence with a focus on Asia,

-  supporting asset formation and developing products that fit a variety of lifestyles in the era of the 100-year life,

-  delivering our services through digital platform for better customer experiences, and more.


As is well known, recent changes in the asset management industry including technological innovation and the rise of new players are remarkable. Given these environments, I promise all employees will unite their energies not only to quickly respond to these changes but also to create such a change by ourselves.


Takashi Matsushita

Representative Director

President and CEO

Copyright © 2017 Daiwa SB Investments (HK) Ltd. All rights reserved.