Hong Kong Exchanges and Clearing (HKEX) announced its intention to create a new exchange for sustainable and green finance investments in Asia. The company said this platform represents the first of its kind on the continent.
The Sustainable and Green Exchange (STAGE) will hold data and information about sustainable investment opportunities across all industries and securities in Hong Kong’s marketplace.
HKEX said that the new market would increase the visibility of sustainable investment opportunities and thereby serve as an educational and advocacy platform for sustainable investment strategies.
“The launch of STAGE demonstrates HKEX’s strong commitment to sustainability. By encouraging issuers, investors, asset managers, market participants and advisors to play an active role in enhancing the sustainable and green finance ecosystem in Hong Kong and the region, we are in turn reinforcing the sustainability of our own market,” HKEX Head of Green and Sustainable Finance Grace Hui said.
“Our goal is to help issuers raise awareness of their sustainable and green financial products, whilst also offering investors and asset managers easy access to information for their due diligence, selection and monitoring.”
STAGE will initially be a platform where investors can access information on sustainability, green and social bonds, and ESG-related Exchange Traded Products listed on HKEX.
Later, issuers whose products meet sustainability standards and who provide annual post-issuance reports will be invited to join STAGE free of cost.
HKEX intends to launch the platform as early as this year. It will develop STAGE in response to market developments and consider adding new asset classes and product types linked to responsible investment practices and indices.
STAGE will be released at a time when the Asia-Pacific region has seen a rise in sustainable and green investment funding . Green bond issuances in this area hit record levels $18.89 billion in 2019.