Item 5. OTHER INFORMATION

Below, we provide a progress update on our Sustainability and ESG programs.

We recently hired a Senior Director, Head of ESG and Sustainability to oversee our sustainability programs and to work with our ESG Board Committee. The Committee was established in early 2020 to (1) advise on our ESG strategy, (2) track ESG initiatives throughout the Company, (3) provide training to our employees on ESG topics, and (4) ensure that the Board of Directors is apprised of progress towards ESG initiatives through regular updates. Recently, we conducted a materiality assessment to identify key sustainability topics relevant to the Company to develop short- and long-term goals.

Further, as we rely on multiple vendors and partners globally, we recently hired a Director of Procurement to ensure responsible sourcing and supply chain activity. We are incorporating responsible sourcing in our procurement systems, policies and processes to properly evaluate prospective vendors and integrate ESG factors in the due diligence and pre-qualification processes.

We expanded our global regulatory monitoring to include upcoming changes to existing laws, rules and reporting requirements from ESG draft legislation. Our monitoring allows us to prepare and plan appropriate tools and governance responses to the rapidly changing ESG regulatory landscape.

Finally, we continue to enhance and embed our risk management processes in all our subsidiaries and functions. We have developed and continue to deploy a comprehensive and coordinated Enterprise Risk Management Framework designed to support effective identification, assessment, management, monitoring and reporting of financial and non-financial risks across the Company.

Human Capital and Social Initiatives

We strive to create a workplace that allows our employees to thrive within a healthy, engaged and empowered work environment that fosters the achievement of our objectives. In support of our employees and their overall wellbeing, we recently added new benefits for our employees in the U.S. These new benefits include a new parental leave policy that increases paid leave time for same sex, opposite sex and domestic partnership couples; enhanced benefits related to childbearing and adoption; childcare support through a third-party provider; healthcare travel reimbursement; and leadership coaching and training for managers globally.

Diversity, Equity, Inclusion (“DEI”)

We believe in the importance of workplace DEI and have established several employee support groups that help women and minorities on their personal growth and professional development at the Company. Our most recent additions to our Board of Directors include two minority women.

We also place great emphasis on attracting a diverse workforce. We recently completed extensive research on emerging communities with technology and software engineering talent to further support our growing customer base. As part of our engagement, inclusion and belonging initiatives post-pandemic, we recently launched a global mentoring program and we sponsored several wellness events at our offices around the world.

Community Support Initiatives

We continue to contribute to communities globally and over the last three years we have donated to many charitable organizations, including those offering food and support to people affected by COVID-19, seeking to advance medical solutions, among other community support initiatives.

Environmental Initiatives

We are actively reducing our global carbon footprint and implementing sustainable practices for our offices and data centers. We implemented a new greenhouse gas inventory process, initiated data collection on our offices and data centers, as well as data on our water management, waste and equipment recycling. We also procured renewable power sources for 18 of our offices and data centers, representing about 40% of our operational footprint.

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ESG Integration onto Customer Platforms

Over the last two years, we expanded our suite of ESG investing and trading products by creating new tools and adding ESG features to existing ones. New tools and features include IMPACT by Interactive BrokersSM, the Impact Dashboard, ESG Scores, Charitable Giving - IBKR GIVESM, and Interactive Advisors' Socially Responsible Investing Portfolios. These products and tools allow our customers to view their investments through a financial lens while determining how they align with specific sustainability values. In addition, these tools provide conscientious investors with a comprehensive data for making more informed investment decisions.

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