Daily Brief ESG: Faster Management Improvement Requires a Sense of Tension in Management and more

• Now that the defensive wall of cross-shareholdings has been lowered, the strategies of activist investors are beginning to work, as companies are forced to listen to demands of their shareholders.
• Many companies continued to be reappointed at shareholder meetings without fulfilling the role of management in maximizing shareholder interests and carrying out sustainable expansion.
• For faster management improvement, further increasing the sense of tension in management requires the elimination of further cross-shareholdings and a change in the mindset of domestic investors, including individual investors.

Lucror Analytics’ ESG Scores are based on a 3-tiered scale and are adjusted for Controversies (if applicable).
We assess Ontex’s ESG as “Strong”, in line with its Environmental and Governance scores, while the Social pillar is “Adequate”. Controversies are “Immaterial” and Disclosure is “Strong”.