COMBINING FORCES
SUSTAINABILITY REPORT | 2021
Contents
SUSTAINABILITY REPORT | 2021
Overview of Moscow Exchange Group's | |
reporting suite ................................................... | 2 |
2021 Sustainability Performance Highlights�������������������������������������� 8
Statement from the Chief Executive Officer . 10 | |
Integrating ESG principles into the 2024 | |
Group Strategy ................................................ | 12 |
Key indicators.................................................. | 16 |
2021 Sustainability Milestones....................... | 20 |
Climate agenda................................................ | 22 |
MOEX Group's focus areas: 'GREAT'............ | 30 |
Genuine partnership and engagement
with the community ���������������������������������������������� 30 Responsible investing and sustainable growth���� 36 Environment of respect and empowerment ��������� 44
Advanced governance and responsible
business practices ����������������������������������������������� 48 Trusted and resilient market infrastructure ���������� 59
Resource efficiency and environmental impact ��� 65
Overview of the COVID-19 response ............. | 68 |
Moscow Exchange in ESG indices | |
and ratings ....................................................... | 69 |
Sustainability Data���������������������� 70
MOEX Group's focus areas: 'GREAT'............ | 72 |
Genuine partnership and engagement
with the community ���������������������������������������������� 72 Responsible investing and sustainable growth���� 74 Environment of respect and empowerment ��������� 76
Advanced governance and responsible
business practices ����������������������������������������������� 82 Trusted and resilient market infrastructure ���������� 85
Resource efficiency and environmental impact ��� 86
Sustainability Approaches
and Procedures �������������������������� 88
MOEX Group's focus areas: 'GREAT'............ | 90 |
Genuine partnership and engagement
with the community ���������������������������������������������� 90 Responsible investing and sustainable growth���� 99 Environment of respect and empowerment ������� 104
Advanced governance and responsible
business practices ��������������������������������������������� 111 Trusted and resilient market infrastructure �������� 120
Resource efficiency and environmental impact � 128
Appendices������������������������������� 130
Appendix 1. Moscow Exchange's | |
Contribution to the UN SDGs ....................... | 132 |
Appendix 2. Statements................................ | 139 |
Statement of Moscow Exchange Group
on communication with stakeholders as part
of the Sustainable Stock Exchanges initiative ��� 139
Statement of Moscow Exchange on compliance with the principles of the UN Global Compact ��� 142
Statement of Moscow Exchange on respect for human rights and counteracting modern slavery ��������������������������������������������������������������� 145
Appendix 3. GRI Content Index.................... | 146 | |
Appendix 4. | SASB Metrics............................ | 162 |
Appendix 5. | Glossary.................................... | 164 |
Appendix 6. | Independent Auditor's Report 166 | |
Appendix 7. | Contact Details......................... | 168 |
MOEX.COM | SUSTAINABILITY REPORT 2021
OVERVIEW OF MOSCOW
EXCHANGE GROUP'S
REPORTING SUITE
Structure of the Report
For the convenience of the Report's users, the Group has decided to use a similar structure to that of its 2020 Sustainability Report; accordingly, there are three main sections: "2021 Sustainability Performance Highlights", "Sustainability Data", and "Sustainability Approaches and Procedures". The appendices include, "Moscow Exchange's Contribution to the UN SDGs", "Statements", "GRI Content Index", "SASB Metrics", "Independent Auditor's Report", "Glossary", and "Contact Details".
OVERVIEW OF MOSCOW EXCHANGE GROUP'S REPORTING SUITE 2021 SUSTAINABILITY PERFORMANCE HIGHLIGHTS SUSTAINABILITY DATA SUSTAINABILITY APPROACHES AND PROCEDURES APPENDICES
Moscow Exchange's Contribution to the UN SDGs
The appendix contains the Group's priority UN SDGs; it also describes the key tasks, projects, metrics, and results of the Group in achieving these goals
as part of its agenda.
Statements
2021 Annual Report
The2021 Annual Reportprovides comprehensive information on the business model, strategic priorities, products, corporate governance system,
and operational and financial results
of Moscow Exchange Group for the year ended 31 December 2021.
2021 financial statements
The2021 financial statementsdescribe Moscow Exchange Group's financial position as of 31 December 2021.
THE 2021 SUSTAINABILITY REPORT
102-50
In 2022, Moscow Exchange (also, the "Group") published its third sustainability report (the "Report"), which contains information on its responsible business practices in the calendar year ended 31 December 2021. It is an important tool for communicating
with stakeholders.1
The Report also provides information on the mission and strategy of Moscow Exchange, management approaches, and key events in the reporting year.
It sheds light on material topics2 such as responsible investment, decent working conditions, sustainable financial infrastructure, financing, and corporate governance. Likewise, it describes the position
of the Group regarding climate change, discerning use of resources, charity, and other environmental
2021 Sustainability Performance Highlights
This section presents key initiatives and achievements of Moscow Exchange in 2021. These were implemented in line with the Group's Sustainability Roadmap.
The section also describes measures taken to apply ESG principles in accordance with the 2024 Group Strategy. The section contains information on Moscow Exchange's plans and objectives for 2022 and in the medium term.
Sustainability Data
The section discloses the primary metrics
of the company's sustainability performance in 2019, 2020, and 2021. The structure of this section corresponds to the section "2021 Sustainability Performance Highlights", as well as the section "Sustainability Approaches and Procedures".
Moscow Exchange Group supports a number of international initiatives and organizations; it shares their principles, integrating their requirements
and recommendations into its activities. The "Statements" appendix outlines the Group's position on a number
of vital issues, including:
-
statement of Moscow Exchange Group
on communication with stakeholders as part of the Sustainable Stock Exchanges initiative; - statement of Moscow Exchange on compliance with the Principles of the UN Global Compact;
- statement of Moscow Exchange on respect for human rights and counteracting modern slavery.
GRI Content Index
This index consolidates all the GRI disclosures published in the Report, allowing for easier navigation through its sections. It also contains remarks on the disclosures.
Investor presentations
The2021 investor presentationsoutline trends in Moscow Exchange Group's key operational and financial results, describe products and services for customers, and present the Group's position
on the global market.
- More detailed information on stakeholder groups may be found in the subsection "Genuine partnership and engagement with the community" of the sections "2021 Sustainability Performance Highlights" and "Sustainability Approaches and Procedures".
- For detailed information on material topics, see the section "MOEX Group's approach to materiality".
- The assurance was carried out in accordance with ISAE 3000 (revised): "Assurance Engagements Other than Audits or Reviews of Historical Financial Information".
and social issues.
102-51102-52
The Group publishes a sustainability report every year. The previous report was published in May of 2021.
102-32
This Report was approved by the Moscow Exchange Executive Board.
102-56
In 2021, FBK LLC, an independent auditor, was engaged for the first time to assure3 the qualitative and quantitative information disclosed in the Report in accordance
with the GRI Standards and the SASB Security
- Commodity Exchanges standard (for selected information). The auditor's report, which provides limited assurance regarding selected information, is included as an appendix to this Report.
SASB Metrics
Sustainability Approaches and Procedures
This index includes metrics pertinent to the SASB
This section provides information on the approachSecurity & Commodity Exchanges standard. of Moscow Exchange at the management level to key
areas of sustainable development, including an overview of corporate policies, codes, procedures, and responsible departments. The information in this section supplements the section "2021 Sustainability Performance Highlights", the section "Sustainability Data", and the Moscow Exchange 2021 Annual Report.
2 | 3 |
MOEX.COM | SUSTAINABILITY REPORT 2021
OVERVIEW OF MOSCOW EXCHANGE GROUP'S REPORTING SUITE 2021 SUSTAINABILITY PERFORMANCE HIGHLIGHTS SUSTAINABILITY DATA SUSTAINABILITY APPROACHES AND PROCEDURES APPENDICES
Guidelines and standards used in preparing the Report
Reporting boundaries
MOEX GROUP'S APPROACH TO MATERIALITY
102-48102-54
This Report has been prepared in accordance with the GRI Standards: Core option; however, the requirements and recommendations of other standards and guidelines were taken into account
as well. These include the WFE ESG Guidance & Metrics (2018), the SASB Security & Commodity Exchanges standard (2018), and the Task Force on Climate-related Financial Disclosures (2017).
102-48
When preparing the 2021 Report, the Group made the following changes:
■ | greenhouse gas emission indicators (Scopes 2 and 3) |
were recalculated, as the Group has revised its | |
approach to estimating indirect greenhouse gas | |
emissions; | |
■ | the disclosure of quantitative HR data was brought |
102-45
The reporting boundaries include the following entities of Moscow Exchange Group: Moscow Exchange, the National Settlement Depository (NSD), and the National Clearing Centre (NCC). A full list
of the Group's entities and changes to the composition of the Group can be found on page 5 of the 2021 Annual Report, p. 5and in the 2021 IFRS Consolidated Financial Statements, p. 16.
102-1102-5
In this Report, "Moscow Exchange" and "MOEX" mean the organization whose full corporate name as stated in its Articles of Association is Public Joint-Stock Company Moscow Exchange MICEX-RTS1. "Moscow Exchange Group", or simply the "Group", means the pool of companies that are part of Moscow Exchange Group, which fall within the scope of this Report.
102-49
Determining material topics for the Report is an essential part of preparing non-financial statements as per the GRI Standards. The purpose of this procedure is to study and identify the economic, environmental, and social issues that are most impacted by Moscow Exchange's activities and are most important to stakeholders.
According to established practice, material topics
are analyzed annually, and stakeholders are surveyed once every two years. The material topics identified through the stakeholder survey carried out by Moscow Exchange in 2020 apply to this Report as well.
102-46102-47102-43
In 2020, Moscow Exchange made a comprehensive assessment of material topics, taking into consideration the opinions of key stakeholders. As a result of this
assessment, 16 topics were identified; their significance was then evaluated according to the following criteria:
- the significance of Moscow Exchange's impact on economic, environmental and social aspects of the topic in question (the X axis of the matrix of material topics);
- the significance of the topic for stakeholders, based on an evaluation of Moscow Exchange's impact on stakeholders' activities (the Y axis of the matrix of material topics);
- the availability of recommendations on disclosing such topics from leading associations, such as the World Federation of Exchanges (WFE) and the Sustainable Stock Exchanges (SSE) Initiative, which represent the interests of the professional community of stock exchanges.
Based on this analysis, the Group prepared a list
of eight topics that it deemed material and mandatory for disclosure. Information on other topics has also been disclosed selectively.
into line with the GRI Standards; the Group now | |
breaks down information by age group: younger | |
than 30 years old, 30-50, and over 50; | |
■ | the approach to calculating the average hours |
of training per year per employee was brought into line | |
with the GRI Standards; the indicator was recalculated | |
based on the total number of employees at the end | |
of the year, and not on the number of employees | |
who received training; | |
■ | the approach to calculating the percentage of new |
employee hires and turnover by age group and gender | |
was changed: the indicator was recalculated based | |
on the number of the corresponding category at year- | |
end, and not on the total number of employees; | |
■ | the amount allocated for charity projects in 2020 |
was reconsidered; | |
■ | the approach to calculating energy intensity |
was revised (as of 2021, the sum of total energy | |
consumed is factored in, not only electricity); | |
■ | the approach to calculating and disclosing indicators |
related to the right of employees to parental leave, | |
as well as to the wages of starting-grade employees, | |
was brought into line with the GRI standards. |
Information about shareholders who own five or more percent of MOEX capital is included in the subsection "Advanced governance and responsible business practices" of the section "2021 Sustainability Performance Highlights" of the current report.
The boundaries of the indicators are indicated
in the section "Sustainability Data". Any information that pertains to different configurations of subsidiaries is accompanied by appropriate disclaimers.
The reporting information is disclosed within two reporting perimeters:
- the first perimeter comprises information pertinent to Moscow Exchange, NSD, and NCC;
- the second perimeter comprises information pertinent to Moscow Exchange.
Matrix of material topics in 2021
3.0
2.5 | 3 | 1 | |||||||||||||||||||||
decisions | 7 | ||||||||||||||||||||||
5 | |||||||||||||||||||||||
9 | 2 | ||||||||||||||||||||||
and | 2.0 | ||||||||||||||||||||||
10 | 4 | 8 | |||||||||||||||||||||
assessments | |||||||||||||||||||||||
6 | |||||||||||||||||||||||
11 | 15 | 14 | |||||||||||||||||||||
1.5 | 13 | ||||||||||||||||||||||
stakeholderon | 12 | ||||||||||||||||||||||
1.0 | 16 | ||||||||||||||||||||||
Influence | |||||||||||||||||||||||
0.5 | |||||||||||||||||||||||
0.5 | 1.0 | 1.5 | 2.0 | 2.5 | 3.0 | ||||||||||||||||||
Economic, environmental, and social impact |
1 The form of ownership ismixed Russian ownership with partial federalownership-code41 per the Russian National Classifier of Forms of Ownership (OKFS).
4 | 5 |
MOEX.COM | SUSTAINABILITY REPORT 2021
Material topics
GRI | SASB | ||
1. | Improving the quality of ESG information | GRI 103: Management Approach (2016) | FN-EX-410a.3 |
disclosed by issuing companies | FN-EX-410a.4 | ||
and raising awareness of sustainable | |||
development trends1 | |||
2. | Transparent functioning of markets | GRI 103: Management Approach (2016) | FN-EX-410a.3 |
and development of fair competition | GRI 206: Anti-competitive Behavior (2016) | FN-EX-410a.4 | |
FN-EX-510a.1 |
OVERVIEW OF MOSCOW EXCHANGE GROUP'S REPORTING SUITE 2021 SUSTAINABILITY PERFORMANCE HIGHLIGHTS SUSTAINABILITY DATA SUSTAINABILITY APPROACHES AND PROCEDURES APPENDICES
GRI | SASB | |
Other non-material topics that can be disclosed selectively | ||
9. Structure of corporate governance | GRI 102: General Disclosures (2016) | - |
GRI 419: Socioeconomic Compliance (2016) | ||
10.Prevention of corruption and money | GRI 205: Anti-corruption (2016) | FN-EX-510a.1 |
laundering | GRI 415: Public Policy (2016) | FN-EX-510a.2 |
3. | Enhancing the financial literacy | GRI 103: Management Approach (2016) | - |
of the public | |||
4. | Development of new financial | GRI 103: Management Approach (2016) | FN-EX-410a.4 |
instruments for responsible investing | |||
5. | Development of exchange infrastructure | GRI 103: Management Approach (2016) | FN-EX-000.A |
to expand the local investor base | FN-EX-000.B | ||
FN-EX-410a.2 |
11.Maintenance of a balanced personnel structure and respect for human rights
GRI 102: General Disclosures (2016) | - |
GRI 401: Employment (2016) | |
GRI 405: Diversity and Equal Opportunity (2016) | |
GRI 406: Non-discrimination (2016) | |
GRI 408: Child Labor (2016) | |
GRI 409: Forced or Compulsory Labor (2016) | |
GRI 412: Human Rights Assessment (2016) |
6. | Participation in working groups | GRI 102: General Disclosures (2016) | - |
and regulatory initiatives | GRI 103: Management Approach (2016) | ||
GRI 415: Public Policy (2016) | |||
7. | Decent working conditions | GRI 103: Management Approach (2016) | - |
and development of employee skills | GRI 202: Market Presence (2016) | ||
GRI 401: Employment (2016) | |||
GRI 402: Labor/Management Relations (2016) | |||
GRI 403: Occupational Health and Safety (2018) | |||
GRI 404: Training and Education (2016) | |||
GRI 405: Diversity and Equal Opportunity (2016) | |||
GRI 406: Non-discrimination (2016) | |||
8. | Financial infrastructure support | GRI 102: General Disclosures (2016) | FN-EX-410a.1 |
GRI 103: Management Approach (2016) | FN-EX-550a.1 | ||
GRI 418: Customer Privacy (2016) | FN-EX-550a.2 | ||
FN-EX-410a.2 | |||
FN-EX-550a.3 | |||
1 In accordance with clause 2.5.3 of the section "Disclosure of material topics" of the GRI Standards, due to the absence of thematic indicators for a number of material topics, the approach to management and other applicable details will be disclosed in respect of the following material topics: "Improving the quality of ESG information disclosed by issuing companies and raising awareness of sustainable development trends", "Enhancing the financial literacy of the public", "Development of new financial instruments for responsible investing", and "Development of exchange infrastructure to expand the local investor base".
12.Access to funding for innovative | - | - |
companies | ||
13.Opportunities for growth and access | - | - |
to funding for small and medium-sized | ||
enterprises | ||
14.Development of a responsible supply | GRI 204: Procurement Practices (2016) | - |
chain for MOEX | GRI 408: Child Labor (2016) | |
GRI 409: Forced or Compulsory Labor (2016) | ||
15.Reduction of negative environmental | GRI 302: Energy (2016) | - |
impact | GRI 303: Water and Effluents (2018) | |
GRI 305: Emissions (2016) | ||
GRI 306: Waste (2020) | ||
GRI 307: Environmental Compliance (2016) | ||
16.Sponsorship and charity | GRI 201: Economic Performance (2016) | - |
GRI 203: Indirect Economic Impacts (2016) | ||
GRI 413: Local Communities (2016) | ||
6 | 7 |
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OJSC Moscow Exchange MICEX-RTS published this content on 04 July 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 04 July 2022 15:42:03 UTC.