JSE bows to global environment, society and governance investing trends
JOHANNESBURG – The JSE planned to expand its green bond segment with a sustainability segment, the stock exchange said on Friday as global local investors increasingly target environment, society and governance (ESG) investing.
The public could submit comments on the proposed amendments to its debt listing requirements for the new segment to the JSE up to March 18, it said.
Leila Fourie, the chief executive of the JSE, said on Friday: “Our vision is for our Green Bond Segment is to evolve into a holistic Sustainability Segment, which will provide companies with an effective tool to raise capital for investments into sustainable projects and continue in the spirit of making the markets work to support sustainable development.”
Fourie currently co-chairs the UN’s Global Investors for Sustainable Development Alliance, which aims to leverage finance and investment know-how in order to scale-up private sector contributions to the circa $2 trillion annual funding gap of the Sustainable Development goals.
The new sustainability segment would include sustainability instruments under the International Capital Market Association, green bond principles, social bond principles and sustainability guidelines. The JSE already houses the FTSE/JSE Responsible Investment Index and launched its Green Bond Segment in 2017, which is ring-fenced for low carbon initiatives to enable investment in securities that contribute to sustainable development and a low carbon economy.
Source: iol.co.za
