By Dieter Holger

 

HSBC Global Asset Management and the International Finance Corporation said Wednesday that they have raised $474 million for a green bond fund that tackles climate change in emerging economies.

The British asset manager said its HSBC Real Economy Green Investment Opportunity GEM Bond Fund directs money into emerging markets to help countries transition to cleaner energy and mitigate the adverse impacts of climate change.

"Emerging market countries have been hit by some of the worst impacts of climate change and many are insufficiently equipped to address them," HSBC said.

HSBC and the IFC, a member of the World Bank Group, each pledged $75 million as anchor investors and seven other private investors are expected to add funds later this year, HSBC said.

"To achieve a close of this size in the current market environment proves the importance that institutional investors place on impact investing in emerging markets," said Nicolas Moreau, global chief executive of HSBC Global Asset Management, in prepared remarks.

 

Write to Dieter Holger at dieter.holger@wsj.com; @dieterholger

 

(END) Dow Jones Newswires

May 20, 2020 08:27 ET (12:27 GMT)

Copyright (c) 2020 Dow Jones & Company, Inc.
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