BNY MELLON ENTERPRISE ESG 66 RESPONSIBLE BUSINESS We help clients address ESG investment challenges, from non-standardization to securing meaningful insights on the environmental and social impact of their investments. By adding capabilities to embed clients’ ESG investing criteria in their short-term cash management, we are helping them to connect the dots between their values and investments. Capital Markets BNY Mellon Capital Markets, LLC (Capital Markets) is a full-service securities broker/dealer and a wholly owned subsidiary of The Bank of New York Mellon Corporation. Capital Markets provides underwriting services in debt and equity capital across public and private markets for a wide variety of issuers that are seeking to finance green, sustainable or impact projects. Over the past decade, impact investing has been widely embraced both as an investment strategy and an approach to addressing pressing social and environmental challenges. In June 2021, the Global Impact Investing Network estimated the size of the global impact investing market to be $715 billion. 34 Investors pursue impact investments as a way to generate financial returns with positive social and environmental impacts. THE FUTURE OF CAPITAL MARKETS In the wake of the pandemic and an unequal economic recovery, global capital markets participants recognize the need for reforms to build resilience, remain competitive in the face of innovation, and retain their customers’ trust. Through a new collaboration with the World Economic Forum’s Financial and Monetary Systems Platform, BNY Mellon has launched a series of multi-stakeholder conversations on creating a more inclusive and resilient financial system. In the first installment, BNY Mellon’s Chief Growth Officer Akash Shah outlined six issues that will define the future of capital markets . 34 Annual Impact Investor Survey 2020 , GIIN Clearance and Collateral Management BNY Mellon provides securities clearing and collateral management services in 35 countries and is the leading provider of U.S. government securities clearance and settlement services. In 2021, we introduced a number of ESG indices and ESG ratings for our online collateral schedule program, RULE ® . With these new capabilities, collateral receivers and providers can agree that only securities with a specified index, or that have a certain ESG rating, are acceptable as collateral. The functionality for the ESG ratings capabilities is drawn from a leading ESG data provider through BNY Mellon’s ESG Data Analytics platform, which assigns securities with environmental, social and governance scores, and then aggregates them into a final ESG letter rating, from AAA to CCC. iFlow ® Green Analysis As a leading global custodian, BNY Mellon is in the unique position of monitoring custody flows in foreign exchange and country level equities. Through our iFlow Green platform, we gain insights into the extent to which investors are accounting for sustainability factors. We share our findings in Introducing iFlow Green .