50%
expected increase in global energy demand by 2050
Source: US Energy Information Administration, International Energy Outlook 2019
$6.9tn
required annual investment to reach net zero by 2050
Source: OECD estimate, cited in “Financing the Net Zero Transition”, pwc
1%
of global population holds nearly half the world’s wealth
Source: Credit Suisse Global Wealth Databook 2021
24%
of adults have no bank account
Source: Gates Foundation Goalkeepers Report
Financing the transition to a sustainable and inclusive economy
Green Social Sustainable Bond Fund invests in bonds we identify as good
investments from a financial perspective, and which can be clearly defined as
sustainable, with an explicit link to environmentally and/or socially beneficial
projects. Bond proceeds must be sufficiently segregated; financed projects must
qualify as sustainable activities as defined by ICMA; and the issuer must have an
adequate reporting framework in place.
Green bond
Financing renewable energy
ENGIE SA (ENGIFP), France
Social bond
Socio-economic advancement
AFRICAN DEVELOPMENT BANK (AFDB), Supranational
Sustainable bond
Beyond green financing
AMERICAN EXPRESS COMPANY (AXP), United States
Green Bond
Case study: a multinational utility company
ENGIE SA (ENGIFP), France
Science-based approach in company DNA
- Commitment to exit all coal assets in Europe by 2025 (globally by 2027)
- Decarbonisation targets have been certified 2°C aligned by Science Based Targets Initiative (SBTI)
- Transition strategy via 4 pillars: Completing coal phase out; expanding renewable energy strategy; increasing energy efficiency; & development of green gas & clean transportation.
- Issuer has a robust green bond framework in place, aligned with Paris Agreement and TCFD, as well as ICMA Green Bond Principles
- Strong financial performance, with H1 2022 results well above expectations as EBITDA improved 43% year-on-year.
- Renewable energy
- Energy efficiency
- At least 75%
- Annual
Social Bond
Case study: socio-economic advancement
AFRICAN DEVELOPMENT BANK (AFDB), Supranational
African Development Bank – a multi-regional supra
- African Development Bank (AfDB) group is a multi-lateral organisation focused on reducing poverty and improving living conditions in Africa.
- The group is comprised of 3 institutions: the African Development Bank (AfDB), the African Development Fund and Nigeria Trust Fund.
- 81 member countries, with funding available to 17 middle-income countries.
- Eligible projects to be financed are expected to lead to poverty reduction and job creation, as well as inclusive growth
- 2025 goals include creation of 205 million power connections, lifting 130 million people out of poverty, creating 35 special economic zones, strengthening public-private partnerships, facilitating intra-African trade, and creating 25 million jobs.
- AfDB benefits from strong shareholder support, and has a strong liquidity and capital profile.
- Food security and sustainable food systems
- Affordable basic infrastructure
- Access to essential services
- Affordable housing
- Employment generation
- Socioeconomic advancement and empowerment
- At least 75%
- Annual
Sustainable Bond
Case study: beyond green financing
AMERICAN EXPRESS COMPANY (AXP), United States
American Express – a global payments company
- First ESG bond issued by this company
- Green projects include those related to green buildings and circular economy initiatives such as the use of recycled plastics for Amex credit cards
- Socioeconomic advancement & empowerment initiatives include efforts to increase diversity of suppliers and investments in small and medium-sized businesses
- Issuer has launched a Community Giving Mission, providing grants to help empower diverse communities
- Grants will be awarded to programs which improve financial literacy and provide training for small business owners, and to initiatives which advance innovation on climate action.
- Green buildings
- Circular economy
- Socioeconomic advancement and empowerment
- Affordable housing
- At least 75%
- Annual
The securities above are shown for illustrative purposes only. Their inclusion should not be interpreted as a recommendation to buy or sell.
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