2021 Sustainability Report 3 Message from the Executive Chairman Delivering this roadmap for ESG integration to support Our thoughts are with everyone affected by the current geopolitical The publication of the Sustainability Report 2021 gives the sustainability transition of the global economy requires crisis. The whole firm is engaged in a fund-raising campaign me the opportunity to thank our teams for the impressive us to respect and embrace the connectivity of ecosystems, to help support the humanitarian efforts directed at helping efforts in driving ESG integration to the heart of our business. societies and economic interdependence. And it requires those people who had to leave their homes and lives behind. The progress made on ambition and initiatives since a great deal of collaboration. we published our first dedicated Corporate Responsibility As a business we have taken swift and decisive action to support Report 2019 are very visible across the entire business model. Internally, this starts with a governance setup with clear a global effort to isolate Russia from access to capital markets, Yet, the events of recent years 3 in particular the current ownership for sustainability strategy development and delivery beyond pure compliance with globally orchestrated sanctions. geopolitical context 3 highlight the new dynamic, sense responsibility at every level of the Group9s business model, In consultation with our team on the ground, we decided of urgency and increased scope of that job today, and our enabling the business-relevant implementation of group-wide E, to suspend our Global Advisory operation in Moscow and wind remaining headroom for supporting our clients in their S, G priorities, and empowering every employee to make down our Russian activity. We will not act as an advisor for any sustainability transition efforts. sustainability a priority in their daily jobs. Externally, we saw Russian entity, state-owned or otherwise. Our Wealth and Asset over the last year more collaboration and the demonstration Management and Merchant Banking business will not accept As a business, we firmly believe that in order to sustain of joined responsibility by governments, businesses, and civil any new Russian clients. And the businesses' thorough mandate a successful business in the long-term, to manage risks for society in their efforts to mitigate and adapt to the impact and client onboarding procedures will take into consideration stakeholders, and to unlock new opportunities for growth, we of climate change. And we very much welcome the initiatives the heightened risks associated with acting for clients need to help enable and protect a future in which everyone can and collaboration of experts working towards more transparency with significant exposure to the region at large, in line with thrive. and standardisation in Corporate Sustainability disclosures. our conservative approach to geopolitical risks. And whilst this may not be new for the generations of leaders I am proud that the Group is a signatory of the UN Global But whilst it might be easy to blame the interconnectivity who have successfully steered our family business for more Compact, and with this communication I am expressing of the world for the lack of predictability and for the magnitude than 200 years, as a management team we want to ensure our intent to implement the Global Compact principles of the global impact of recent crises 3 from the pandemic, that this philosophy is now firmly embedded in our business and selected United Nations Sustainable Development Goals to the geopolitical situation, to visible effects of climate change - Alexandre de Rothschild model for the years to come; that it is not just a question as part of the Group9s Sustainability strategy and initiatives. these events demonstrate that we all have a role to play of corporate responsibility, but that sustainability is strategy. Executive Chairman in nurturing, upholding and protecting a world that future In the summer of 2021, we decided to anchor the long-term of Rothschild & Co Gestion As an investor and advisor, we are working with a variety generations consider worth fighting for. ambition to use our influence and expertise to support the of management teams and boards to support them on their sustainability transition of the global economy as a key pillar transition journeys by assisting the allocation of capital Integrating sustainability considerations into the heart of our in our group strategy. to long1term sustainable solutions and accessing new opportunities. strategy should not only create value in the long term, but should This is evidenced, for example, in our role as one of the leading help build resilience in the business to mitigate some of these Today, a common set of strategic E, S, and G priorities provides advisors on renewable energy transactions, the launch of shocks. And whilst these developments will no doubt impact a the Group with a clear focus on ensuring that sustainability "We have the long-term innovative sustainable investment products and by the active company9s approach to E, S, and G over time, and might at times is a strategic imperative across the Group9s business model, engagement of our investment teams with issuers on their require course-corrections about what is 8the right thing to including through: ambition to use our influence ESG trajectories. do9 3 in the short-, medium-, and long-term 3, they shouldn9t ¯ its direct operational impact; be compromising joined ambitions and targets. and expertise to support And there are many new opportunities for collaboration that I am ¯ investment approaches in the Wealth & Asset Management, the sustainability transition excited about: from joining the Net Zero Asset Manager Initiative; I remain optimistic that we can overcome these challenges by and Merchant Banking businesses; to identifying innovative partners to deliver against our net-zero- embracing our common values, the power of dialogue and global of the global economy" ¯ transaction advice in the Global Advisory business; operations-2030 ambition, or for philanthropic support via our collaboration, allowing us as individuals, business leaders, new R&Co4Generations platform. advisors, and investors to be even more thoughtful and creative ¯ client and mandate onboarding; in supporting the sustainability transition of the global economy. These days, the road ahead looks more challenging. ¯ engagement of other operational supply chain partners; I was fortunate enough to grow up in an environment that Paris, April 2022 ¯ and approach for support of charities and social enterprises. allowed me to take peace, freedom and democracy for granted. Over the recent months, some of these ideals and convictions This report aims to provide transparency on the progress made were challenged in unexpected ways. in the last year across this spectrum. Alexandre de Rothschild Executive Chairman of Rothschild & Co Gestion