Product Governance Policy

Aligning with our customer-centric business philosophy, we have established and published our Product Governance Policy. This policy serves as the foundation for our efforts to deliver financial products that prioritize the best interests of our clients.

1. Core Philosophy

Our corporate materiality emphasizes a commitment to customer engagement and a trusted governance framework. In accordance with these principles, we are dedicated to building and practicing robust product governance. For more information, please refer to our Materiality.

2. Development of the Product Governance Framework

We have implemented a comprehensive system to ensure the effectiveness of product governance. This includes autonomous oversight by the departments responsible for product structuring and management, as well as compliance verification by our Compliance Department to ensure adherence to relevant laws and regulations.

To maintain objectivity in quality control, we conduct deliberations through various committees—such as the Compliance & Risk Management Committee and the J-REIT/Private REIT Investment Committee—which include external experts. Additionally, our Internal Audit Department conducts regular audits to review and enhance the product governance framework.

3. Measures During Product Structuring

When developing financial products and services, we assess whether they meet the needs of our target customers, are sustainable over the medium-to long-term, and offer a balanced approach to risk, return, and cost.

Our private placement funds are designed primarily for specific investors. These products are tailored to meet the individual client’s needs, and we collaborate with distributors as needed to provide comprehensive information that supports informed investment decisions.

4. Post-Launch Product Management

We monitor the performance of financial products after launch and use these insights to inform future product development. Through ongoing collaboration with distributors and regular internal audits, we continuously improve product quality and refine our governance practices.

Please note that we do not outsource investment management.

5. Transparent Communication

We are committed to providing clients regularly with clear and accessible information about our investment management systems and product governance framework.