KENANGA ANNUAL REPORT 2020

84 4 1 2 3 5 6 7 SUSTAINABILITY STATEMENT MATERIAL I TY We undertook a materiality assessment in 2020 to refine and verify the material topics that are important to both the Group and our stakeholders. We analysed our value chain and measured ourselves against industry benchmarks and market practices to produce an updated set of ten (10) materiality topics which were distributed to our stakeholders. The outcome of this assessment will guide how we prioritise our action plans, as well as, engagement and response to our stakeholders. How We Did It 1. Identifying Material Topics: We created a list of topics relevant to our business. These topics were compiled from a series of inputs: • Global trends, including the SDGs • Regulatory focus and industry trends • Analysis of sustainability indices deemed material to our industry • Our strategic corporate objectives • Value chain assessment • Group risk mapping • Employee engagement • Client and customer feedback • Topics identified in our 2018 materiality review 2. Understanding the priorities of our business and our stakeholders: We identified our key stakeholder groups — employees, investors, customers, remisiers, vendors, media, regulators, as well as, community partners — and distributed an online survey inviting these stakeholders to indicate the level of importance they ascribe to our material topics. From this survey, we received 1,361 usable responses which were analysed to produce a matrix, mapping out overall importance. The matrix and our material topics for 2020 were then reviewed and endorsed by the sustainability working team. 3. Identifying key areas of focus: The results from our stakeholder materiality survey confirm all topics were deemed important, with responses receiving an average score of 4.1 (82%) - 4.7 (94%) out of a maximum score of 5. Good Governance, Regulatory Compliance and Cyber Security are the three (3) topics deemed most material in 2020. Our 10 topics have been distributed across the pillars of economy, environment, society and governance. These will serve as our strategic areas of focus as we continue to incorporate sustainable thinking into our business and value chain. Our next materiality assessment will take place in 2022. S i gn i f i cance o f ma t e r i a l t op i cs t o Kenanga ’s ope r a t i ons S i gn i f i cance o f ma t e r i a l t op i cs t o s t akeho l de r s Climate Impact Responsible Investing Digitalisation Client Experience Good Governance Regulatory Compliance Talent Attraction and Management Diversity, Inclusion and Wellbeing Cyber-Security Community Investment SUSTAINABI L I TY STATEMENT l ow h i gh