Long Investment Corp Releases 2025 ESG Report: Key Insights for Investors

Long Investment Corp has published its Environmental, Social, and Governance (ESG) Report for the year ended 31 December 2025, offering a comprehensive update on its sustainability strategy, climate-related risk management, and social governance. Below we break down the major details, focusing on aspects that could potentially impact shareholder value and the Group’s market positioning.

1. Reporting Standards & Transparency

• The ESG Report is prepared in accordance with the HKEX ESG Reporting Code and complies fully with all mandatory and “comply or explain” requirements.
• Quantitative data—such as emissions, energy use, and workforce turnover—are provided alongside comparative figures and clear methodologies, enabling transparent year-on-year analysis.
• The reporting scope covers Long Investment Corp’s operations in Hong Kong, focusing on investments in both listed and unlisted securities, with a strong emphasis on the Greater China region.

2. Governance Structure & Sustainability Management

• Board Oversight: The Board holds ultimate responsibility for ESG strategy, risk management, and performance review. It sets ESG targets and regularly assesses progress, adjusting action plans as necessary.
• Designated ESG Officer: The Company Secretary acts as the ESG Officer, collaborating with the Board and operational departments to identify, assess, and mitigate ESG and climate-related risks. This officer is also responsible for stakeholder engagement, establishing performance metrics, and compiling the annual ESG report.
• Operational departments execute ESG initiatives and report progress to the ESG Officer for evaluation and continuous improvement.

3. Stakeholder Engagement & Materiality Assessment

• Key stakeholders include employees, shareholders, investors, business partners, regulators, and the community.
• Regular engagement channels—such as meetings, publications, and direct communications—are used to identify material ESG issues.
• A detailed materiality matrix highlights employment practices, employee development, occupational health and safety, ESG risk management, and anti-corruption as high-priority issues for the business and stakeholders.

4. Environmental Performance & Climate Risk Management

Emissions & Resource Use

• With only three employees and office-based operations, Long Investment Corp has minimal direct environmental impact. Notably, no hazardous waste or significant air emissions were generated during the reporting year.
• Paper waste was reduced from 560 kg (2024) to 192 kg (2025), reflecting the company’s push towards a paperless environment. Electricity consumption increased to 11,861 kWh but the per-employee intensity decreased, indicating improved efficiency.
• No issues were reported regarding water sourcing, and no packaging materials are used due to the nature of the business.

Climate-Related Risks and Opportunities

• Scenario analysis using IPCC models (RCP 2.6 and RCP 8.5) was conducted to assess both physical (e.g., heatwaves, floods) and transition risks (regulatory, technological, market, and reputational) over short, medium, and long-term horizons.
• While current and short-term climate risks are low to medium, the Group acknowledges that long-term risks could become significant, especially under high emissions scenarios, potentially impacting operational continuity and investee valuations.
• Transition risks are also expected to rise, as stricter ESG regulations, investor preferences, and technology shifts demand increased compliance, reporting, and possible portfolio adjustments.
• Opportunities identified include improved access to ESG data, investment in low-carbon technologies, and the potential for enhanced investor appeal and access to capital as the Group strengthens its ESG profile.
• No material impact on the Group’s financial position, performance, or cash flows is anticipated in the short to medium term, but the Group will update its climate resilience analysis as the risk landscape evolves.

5. Social Responsibility & Human Capital

• Long Investment Corp is fully compliant with all relevant Hong Kong labor laws, including those related to equal opportunity, anti-discrimination, and occupational health and safety.
• The workforce is small (3 employees, up from 2 in 2024), with a 40% overall turnover rate in 2025. The company provides competitive remuneration, clear promotion paths, and comprehensive medical benefits.
• There were no work-related injuries, fatalities, or lost days reported in the past three years.
• Training and development remain a priority, with 66.7% participation in 2025 and average training hours of 3.8 per employee.
• The Group maintains a zero-tolerance policy towards child and forced labor, with strict recruitment and verification procedures in place.

6. Supply Chain, Responsible Investment, and Anti-Corruption

• The Group’s supply chain is minimal, limited to essential professional services. Providers are selected and periodically reviewed based on ethical and sustainability standards.
• Responsible investment is a growing focus, with plans to further integrate ESG considerations into investment decision-making.
• Anti-corruption is rigorously enforced under the Prevention of Bribery Ordinance and Anti-Money Laundering regulations. No legal cases or non-compliance incidents were reported in 2025. An anti-fraud and whistleblowing policy is in place, with ongoing training for all staff.

7. Community Engagement and Social Investment

• Long Investment Corp supports charitable, educational, and community initiatives that align with its values, aiming to foster positive social change and long-term community development.

8. Climate Metrics and Future Targets

• In 2025, Scope 2 GHG emissions (from purchased electricity) were 7.12 tonnes CO₂e, and Scope 3 emissions (primarily from paper waste disposal) were 0.92 tonnes. No Scope 1 emissions were reported.
• Given the limited environmental footprint, no specific environmental or climate-related reduction targets have been set, but the Group remains committed to supporting Hong Kong’s net-zero goals and will monitor and refine its practices accordingly.

Potential Shareholder Impacts and Price-Sensitive Considerations

• Strategic ESG Integration: The Board’s clear prioritization of ESG and climate change resilience could enhance the Group’s attractiveness to institutional investors and funds with ESG mandates, potentially supporting share valuation.
• Risk Management Evolution: The adoption of climate scenario analysis and integration into enterprise risk management signals readiness for tighter regulatory and market expectations, positioning the company for sustainability-driven capital flows.
• Limited Immediate Financial Impact: No material short- or medium-term financial impacts are anticipated from climate-related risks, but the Group’s proactive stance could mitigate future downside risks and capture emerging opportunities.
• Reputation and Access to Capital: Ongoing improvements in ESG governance, reporting, and anti-corruption policies could lead to improved ESG ratings, potentially lowering the cost of capital and attracting a broader investor base.

Contact and Engagement

Investors and stakeholders are encouraged to provide feedback on the Group’s ESG performance and initiatives via email at [email protected].

Disclaimer: The information presented in this article is based on Long Investment Corp’s 2025 ESG Report. This article is for informational purposes only and does not constitute investment advice. Investors should conduct their own due diligence and consult professional advisors before making investment decisions. The author and publisher are not responsible for any investment actions taken based on the information provided herein.

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