Scaling Green Solutions To meet client demand and global long-term environmental sustainability goals, the Providing Sustainable Solutions Our Asset Management Global Sustainable Investing team is a dedicated group of world will need to develop and deploy a host of new technologies, business models to Consumers and Investors employees that focuses on sustainability-related i ssues and work in collaboration INTRODUCTION and other solutions. As a global fnancial institution, we have an important role to with our investment professionals globally. They provide global sustainable invest- play by providing fnancing and strategic advice to clients and by helping investors Our global and diversifed franchise allows us to ofer sustainability-focused fnan- ing research and insights on thematic ESG issues, including climate risk, that can be ENVIRONMENTAL put their capital to work. cial options to those customers who want them, under both the J.P. Morgan and applied across asset classes. The team works with clients to build and implement Chase brands. This includes a growing range of sustainability-related products and sustainable investing solutions and conducts our investment stewardship activities. In 2022, we continued the build-out of the team, adding employees in the areas of Our Approach to Environmental Mobilizing Capital for Climate Action services through our Consumer Banking and Wealth Management businesses, Sustainability including the J.P. Morgan Global Private Bank. We aim to give individuals and fami- sustainable investing research, client advisory and investment stewardship. Scaling Green Solutions Developing solutions to advance the transition to a low-carbon economy will require lies the tools they need to meet their goals. In recognition of our enhanced commitment to investment stewardship, during 2022, Meeting Needs Responsibly signifcant capital. In April 2021, we announced a target to fnance and facilitate $1 JPMAM successfully gained signatory status to the 2020 U.K. Stewardship Code that Minimizing Our Operational Impact trillion toward green initiatives that support climate action by the end of 2030 as ASSET MANAGEMENT SUSTAINABLE INVESTING aims to promote the responsible allocation, management, and oversight of capital to part of our broader $2.5 trillion Sustainable Development Target. For more informa- create long-term value for clients while yielding sustainable benefts for the economy, SOCIAL tion on our progress toward our Sustainable Development Target and examples of At J.P. Morgan Asset Management (“JPMAM”), we believe that understanding the environment and society. JPMAM believes this is an important milestone, demonstrat- qualifying green transactions, see page 6. risk and opportunities related to global sustainability creates long-term value for ing our continuing commitment, credibility, and transparency to our stewardship GOVERNANCE our clients. For this reason, we continually strive to enhance our investment capabil- responsibilities: active engagement with the companies in which we invest and exer- We also support the market through our own Green Bond issuances. These issu- ities and our eforts to help clients consider the material implications of ESG factors ances are governed by our Sustainable Bond Framework and allocate an amount cising our voice as a long-term investor in the best interest of our client accounts. APPENDICES within their portfolios. equal to the net proceeds to eligible green projects which may include green build- In 2022, we published our J.P. Morgan Asset Management 2022 Inaugural Report ings, renewable energy and sustainable transportation. In October 2022, we We ofer dedicated sustainable investment solutions to clients who seek to generate aligned with the recommendations of the Task Force on Climate-Related Financial updated our Sustainable Bond Framework which will govern our own Green Bond long-term returns and contribute to sustainable outcomes. For example, in 2022, we Disclosures (“TCFD”). The report outlines how we are considering climate-related issuances going forward. launched 11 funds within our sustainable product suite, including a new fxed income risks and opportunities relevant to our Asset Management business, across the product. T hese products invest in businesses that we believe are providing solutions areas of Governance, Risk Management, Strategy, and Metrics & Targets. to global sustainability challenges such as climate risk management, preserving bio- diversity, retroftting and constructing resilient transport and infrastructure, and fostering social advancement. 13