News

HKMA and BIS launch tokenised green bonds project

Green bondsThe Bank of International Settlements (BIS) is investigating the tokenisation of green bonds in a bid to promote sustainable investment. The project, called Genesis, has been launched by the BIS’s Hong Kong-based innovation hub and is the bank’s first foray into green finance. The objective is to allow small denominations to be invested in the bonds, thereby making the bonds more accessible to a wider array of investors. Known as the bank for central banks, the BIS has teamed up with the Hong Kong Monetary Authority (HKMA) for the initiative which includes another six companies as part of a consortium tasked with developing the digital infrastructure for the bonds. This includes the use of multiple permissioned and permissionless blockchains and data tracking tools able to track the environmental impact of the various green projects attached to the bonds. “Our vision is that you can download an app to your phone and investment any amount into safe government bonds which will develop a green project – let’s say a solar or wind farm,” said Benedicte Nolens, head of the BIS Innovation Hub. “Over the bond's lifetime, you would be able to not just see accrued interest, but also track in real time how much clean energy is being generated, and the consequent reduction in CO2 emissions linked to your individual investment,” added Nolens. “Further, you could sell the bonds in a transparent market.” ©2021 funds global asia

Executive Interviews

Executive interview: PGIM CEO on where the ESG flowers should bloom

Sep 27, 2021

David Hunt, president and chief executive of PGIM, tells Romil Patel about leading a top 10 global asset manager in times where “empowering and encouraging the kind of investment decisions as...

Executive interview: Nicolas Moreau’s orderly transition

Jul 12, 2021

Nicolas Moreau, CEO of HSBC Asset Management, is moving to Asia as the firm looks to connect more directly with the region’s growth story. ESG is also a key focus – including the ‘just’ carbon...

Roundtables

Roundtable: Singapore comes of age as an Asian ESG hub

Dec 01, 2021

Strong ESG credentials strengthen the case for Singapore as a leader in Asia of the post-Covid recovery. Our panel discusses the risks and opportunities.

Roundtable: How well geared are Japanese assets for a new world?

Jul 12, 2021

As we prepare to emerge from Covid, experts look at overcoming demographic issues through a combination of good tech and corporate governance, improving productivity and meeting an ambitious government carbon emissions reduction target. Chaired by Romil Patel.