First-of-its kind new sustainable finance platform in Asia
STAGE will promote the visibility, transparency, and accessibility of sustainable and green financial products
The online repository of sustainability, green and social bonds and ESG-related Exchange Traded Products will be launched in the initial phase, later this year
Hong Kong Exchanges and Clearing Limited (HKEX) is pleased to announce plans to launch the HKEX Sustainable and Green Exchange, ‘STAGE’. This pioneering new information platform is the first-of-its kind in Asia, and will act as a central hub for data and information on sustainable and green finance investments in the region.
STAGE will promote the visibility, transparency, and accessibility of sustainable and green finance across asset class and product type. It will provide investors with access to a comprehensive database of sustainable and green investment options that are available on Hong Kong’s securities markets. It will also act as a valuable education and advocacy platform, promoting knowledge sharing and stakeholder engagement in sustainable finance.
“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,” said HKEX Head of Green and Sustainable Finance, Grace Hui.
“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,” said Ms Hui.
In its initial phase, STAGE will be home to a repository of information on sustainability, green and social bonds and ESG-related Exchange Traded Products listed on HKEX. Issuers with products that meet international standards or principles and provide post-issuance reports annually are invited to join STAGE without the need to pay any fees and to display their products on the platform. The online repository will be launched as early as later this year.
HKEX will further develop the platform in response to the evolving market landscape, and over time will consider expanding its coverage to introduce more asset classes and product types, such as derivative products linked to relevant sustainability or environmental, social, and governance indices, as well as other sustainable and green financial products.
There has been considerable growth of sustainable and green investment funding in the region in recent years: Green bond issuances in Asia-Pacific hit record levels in 2019, raising US$18.89 billion, with Mainland China’s green bond market alone accounting for US$8.13 billion1. Hong Kong played a significant role in this development, with the cumulative amount of green bonds arranged and issued in the local market reaching US$26 billion by the end of 2019 2.
Hong Kong Exchanges and Clearing Limited (HKEX) is one of the world’s major exchange groups, and operates a range of equity, commodity, fixed income and currency markets. HKEX is the world’s leading IPO market and as Hong Kong’s only securities and derivatives exchange and sole operator of its clearing houses, it is uniquely placed to offer regional and international investors access to Asia’s most vibrant markets.
HKEX is also the global leader in metals trading, through its wholly owned subsidiaries, The London Metal Exchange (LME) and LME Clear Limited. This commodity franchise was further enhanced with the launch of Qianhai Mercantile Exchange (QME), in China, in 2018.
HKEX launched the pioneering Shanghai-Hong Kong Stock Connect programme in 2014, further expanded with the launch of Shenzhen Connect in 2016, and the launch of Bond Connect in 2017.