BNY MELLON ENTERPRISE ESG 61 RESPONSIBLE BUSINESS SERVING CLIENTS ACROSS THE INVESTMENT LIFE CYCLE With our clients integrating ESG considerations across various stages of the investment life cycle, we recognize the importance of developing solutions with this in mind. We have offered our institutional client base investment compliance monitoring capabilities with ESG and norms- based screening for more than a decade. SPOTLIGHT Using Artificial Intelligence Responsibly As BNY Mellon adopts innovative technology through our digital transformation, the use of artificial intelligence and data analytics (AIDA) is becoming embedded across our enterprise. We recognize that our use of AI and data requires active oversight of ethical issues, such as the amount of energy required to power AI applications, potential algorithmic bias and data collection. We are committed to doing the right thing for clients, the industry and our employees. We acknowledge our responsibilities to the wider financial system and look to ensure the ethical use of this technology. As a member of the Veritas consortium led by the Monetary Authority of Singapore (MAS), BNY Mellon is collaborating with 25 banks and technology firms to develop a framework around the responsible adoption of AIDA. MAS members seek to assess their AIDA solutions against the principles of fairness, ethics, accountability and transparency. In 2021, Hans Brown, BNY Mellon Head of Enterprise Innovation and Chief Information Officer for Corporate Technology, served on the judging panel of the APIX inaugural Global Veritas Challenge, validating entries from fintechs developing capabilities to assess for the fairness of AI applications in banking. In addition to judging this industry competition, BNY Mellon was a leading participant in the Singapore FinTech Festival, a five-day virtual event that attracted more than 60,000 participants from over 160 countries in November 2021. Issuer Services CORPORATE TRUST Corporate Trust offers the infrastructure, technology and administrative services to help financial institutions, corporations, insurers, governments and sovereigns navigate the debt capital markets. Sustainable investments are a large part of BNY Mellon’s strategy and long-term vision, and Corporate Trust supports our clients’ ESG needs with a traditional range of products and solutions. ESG Bonds As one of the leading global trustees for ESG and sustainable bonds, BNY Mellon is advancing society’s transition to a more sustainable future. We support debt issuances in various capacities, acting as trustee, principal registrar, and paying, transfer, calculation, authentication and issuing agent. Our role is expanding as we continue to support the increasing investments and the diversity of these bonds, which now encompass green, social and impact bonds. In 2021, more than $530 billion was issued in sustainability-linked loans and bonds, which includes instruments for which repayment is tied to the achievement of institutional ESG targets, such as greenhouse gas emissions reductions. 26 26 Sustainable Debt Issuance Breezed Past $1.6 Trillion in 2021 , Bloomberg NEF, Jan. 12, 2022 27 Social and green bond data reflective of FY 2021; Dealogic and Refinitiv. While green bonds fund projects with environmental benefits, such as clean transportation or renewable energy projects, we are also on the forefront of social and other types of impact bonds. Social bonds are entirely dedicated to projects or activities that promote improved social welfare or positive societal impact, often targeting essential services such as healthcare, education, affordable education and basic infrastructure. The issuance of this asset class continued as the pandemic entered its second year, allowing our Corporate Trust team to serve as trustee and paying agent on social bonds in 2021. BNY Mellon also administered 138 new green bond issuances totaling $62 billion in 2021. With a global market share of 21% in deal count origination, we are one of the leading trustees in green bonds by deal volume. 27 By working with clients whose investments are intended to deliver environmental and social benefits, we use our global reach to drive positive change.