We have published the “NextGen ESG Strategy Annual Report 2025”

October 27, 2025

SDG Impact Japan act as an Investment Advisor for Japan Listed Equity Engagement Impact Strategy and has now published the “NextGen ESG Strategy Annual Report 2025.” Since its establishment approximately three years ago, this strategy has conducted engagement activities, deeply immersing itself with investee companies possessing clear sustainability goals.
While there are various discussions regarding ESG investing, many Japanese companies are actively adopting sustainable practices and deepening dialogue on ESG issues, demonstrating significant progress in corporate sustainability. According to the Impact Investing Survey 2024 conducted by GSG Impact Japan National Partner, impact investment assets in Japan reached approximately ¥17 trillion in 2024, indicating steadily increasing investor interest and engagement with ESG principles.
Our engagement with portfolio companies emphasises a collaborative approach, fostering deep dialogues that empower these firms to embed ESG considerations into their core operations. We take pride in the achievements we have made, including:

  • Receiving the GOLD rating from BlueMark, recognising our commitment to high standards in impact strategy, governance, management, and reporting.
  • Successfully increasing the number of companies in our portfolio that have implemented carbon emission reduction initiatives, contributing to Japan’s goals for a sustainable future.
  • Actively engaging with companies to adopt policies that enhance gender equality, resulting in measurable improvements in female representation at management levels across our portfolio.
  • Facilitating significant advancements in human rights practices within our portfolio companies, ensuring that ethical considerations are prioritised throughout their supply chains.

For full report, please download from here.

Disclaimer

  • This material is not intended to solicit the purchase or sale of any specific securities, nor to solicit the conclusion of an investment advisory agreement.
  • The initiatives and case studies described herein are based on past facts and do not guarantee or imply future investment performance or outcomes.
  • Third-party evaluations (e.g., by BlueMark) are based on specific criteria and do not guarantee the profitability or risk profile of any investment.
  • Investments involve risks, including the potential loss of principal. Investment decisions should be made at your own discretion and responsibility.
Wataru Baba

Senior Fellow, Climate and Sustainability at Panasonic Group since 2022, where he accelerated the company’s growth through an integrated strategy for creating positive impact on climate change and established Sustainability Committee, chaired by the Group CEO. Board Member of Japan Professional Football League (J.League) and Independent Director for a civic technology nonprofit, Code for Japan, and a web3 startup, Financie, Inc