SEB launches its first green bond

Nordic bank SEB has issued its first green bond, worth €500 million. The firm plans to use the bond to make loans to green initiatives. SEB has been involved in socially responsible bonds since the World Bank in 2008 issued the first green bond for institutional investors. The bank has arranged issuance of green bonds for other market players in a wide range of sectors in the Nordic region and globally, totaling $13.8 billion (€13 billion). Now the first time SEB has issued its own bonds, earmarked for customers' green loans. These green loans will initially be offered to large companies and institutions, municipalities, county councils and housing associations. Financial terms of green bonds and green loans are the same as for other bonds and loans. For investors, it is about combining returns with money being used for a well-defined purpose that is in line with their sustainability ambitions. For borrowers, the logic is the same – it combines “good” financing with seal of approval that the project is green, said SEB. To ensure that the financing is going to be used correctly, SEB is using environmental research institute Cicero. In addition, the audit firm PwC will analyse whether SEB's processes and systems for separating green borrowing and lending is rigorous and in line with SEB´s frame work for green financing. ©2017 funds europe

Sponsored Profiles

SPONSORED FEATURE: Investing for income

May 17, 2017

Portfolio Manager Thomas Kruse examines the findings from Pioneer Investments’ survey on income investing and outlines ways of achieving a target income.

SPONSORED ARTICLE: A radical solution to KYC concerns

May 17, 2017

The 1MDB affair shows that lax know-your-customer and due-diligence procedures are a major risk, says Paolo Brignardello, head of product management and marketing, Fundsquare. New solutions are...

SPONSORED FEATURE: AIFMD - What does Brexit mean?

Apr 18, 2017

An open discussion between funds industry experts and initiated by SGG Luxembourg took place in London to examine  the implications of Brexit for UK fund managers marketing to the EU.

SPONSORED FEATURE: Luxembourg fund reporting – CRS vs FATCA

Apr 18, 2017

Luxembourg funds need clear procedures for CRS compliance, writes Andrew Knight, Partner at M Partners, a member of the Maitland network of law firms.

Executive Interviews

INTERVIEW: Finding managers that can (and do)

Apr 18, 2017

Fabrice Kremer, a fund selector at Banque de Luxembourg Investments, has berated fundamental managers for failing to beat indices, but he remains committed to active funds. He speaks to Nick...

JERSEY INTERVIEW: ‘A steady sort of place’

Mar 21, 2017

The chief executive of Jersey Finance is keen to portray the island as a stable, trustworthy jurisdiction. He talks to George Mitton.

Roundtables

MARKETING & BRANDING ROUNDTABLE: It’s about aspiration

May 17, 2017

With such an intangible product, it can be hard for asset managers to communicate what they do. Having personality and connecting with customer aspirations may be the key, our branding roundtable hears.

ROUNDTABLE: The issue is perception

Mar 21, 2017

Our panel discuss tax transparency, the elegance of private placement and why Jersey could do more to promote itself. Chaired by Tom Cowsill in Saint Helier.