Daiwa House Group is Japan’s largest homebuilder and engages in the business of housing, commercial facilities and urban development. The company’s segments include Single-Family Houses, Rental Housing, Condominiums, Existing Homes, Commercial Facilities and Business and Corporate Facilities. The Daiwa House Group encompasses 145 companies and 56,000 employees.
Daiwa House Group has a dedicated corporate social responsibility (CSR) strategy and has created indicators and methods for self-assessment of CSR issue areas such as environmental performance, human rights, labor practices and community involvement. The company has long-term goals to decrease its CO2 emissions 50% by 2020 and to become carbon neutral by 2030. Additionally, Daiwa House has decreased its water usage intensity 14%, construction waste creation intensity 15% and hazardous chemicals emissions intensity 35%. The company has an environmental management committee to set and assess both short and long-term goals and regularly renews its certification of compliance with ISO 14001 standards. Daiwa House also has a human rights awareness training program, as well as diversity initiatives in the workplace and professional development courses for employee advancement. The company has created policies and procedures to promote CSR in its supply chain, too. Daiwa House offers its employees paid leave for volunteering with philanthropic organizations and promotes and donates to thousands of initiatives in local communities.
Daiwa House Group has been criticized for installing substandard fire doors in homes and for using other construction materials that have had adverse health effects. Additionally, an ex-employee of Daiwa House was recently penalized for insider trading practices.
To the best of our knowledge the above information is accurate and was obtained from sources we believe to be reliable. Neither the information presented above nor any opinion expressed shall be construed as an offer to sell or a solicitation to buy the security. The views expressed are those of portfolio management as of 12/31/16 and may not reflect current opinions or subsequent events.