London Stock Exchange launches dedicated green bond segments
- Dedicated segments provide full range of options for green bond issuers
- New City of Gothenburg green bond issue is the first to list on the new segments
- Builds on LSEG commitment to developing a comprehensive green product offering
London Stock Exchange has launched a range of new segments on its fixed income markets dedicated to the issuance of green bonds*. The new segments provide issuers with a full suite of solutions to support green bond issuance, offering the choice of a range of listed markets and trading models, spanning both Regulated Market and MTF, for both retail and wholesale investors. Designed to meet the needs of all green bond issuers, trading models include continuous on-screen market maker quoting, end-of-day pricing or OTC-style trade reporting only.
City of Gothenburg is the first issuer to use a new dedicated green bond segment on London Stock Exchange with its recent SEK 1.05 billion (C. £80 million) green bond issue. The organisation has also moved their existing green bonds into the same segment for trading. City of Gothenburg opened London’s markets to celebrate the listing of their latest green bond on the new green segments.
Gillian Walmsley, Head of Fixed Income, London Stock Exchange said:
“London Stock Exchange Group is a committed supporter of green financing and we see huge growth potential for the sector. Our comprehensive offering will improve access for issuers and transparency for investors and by providing dedicated green bond segments we are leading the development of London as a key international hub for Green Finance.”
Danijel Afolter, Portfolio Manager, City of Gothenburg said:
“City of Gothenburg is an active supporter of the development of green bonds and has been a pioneer in this space, issuing the first Nordic green bond and being the first city in the world to issue a green bond. As well as attracting new investors and increasing transparency, the City of Gothenburg undertakes extensive environmental work which forms a strong foundation for green bond issuance. We are very proud of our work in green finance and listing our green bonds on a dedicated green bond segment on London Stock Exchange was an easy and natural step to take."
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For further information:
Ed Clark +44 (0)20 7797 1222
Notes to editors:
*Green bonds are classified as any type of bond instrument where the proceeds of the capital raised will be exclusively applied to finance or re-finance, in part or in full, new and/or existing ‘green’ projects.
About London Stock Exchange Group:
London Stock Exchange Group (LSE.L) is a diversified international market infrastructure and capital markets business sitting at the heart of the world's financial community. The Group can trace its history back to 1698.
The Group operates a broad range of international equity, bond and derivatives markets, including London Stock Exchange; Borsa Italiana; MTS, Europe's leading fixed income market; and Turquoise, a pan-European equities MTF. It is also home to one of the world’s leading growth markets for SMEs, AIM. Through its platforms, the Group offers international business and investors’ unrivalled access to Europe's capital markets.
Post trade and risk management services are a significant part of the Group’s business operations. In addition to majority ownership of multi-asset global CCP operator, LCH.Clearnet Group, LSEG operates CC&G, the Italian clearing house; Monte Titoli, the T2S-ready European settlement business; and globeSettle, the Group’s newly established CSD based in Luxembourg.
The Group is a global leader in indexing and analytic solutions. FTSE and Russell Indexes offer thousands of indices that measure and benchmark markets around the world. The Group also provides customers with an extensive range of real time and reference data products, including SEDOL, UnaVista, Proquote and RNS.
Following the acquisition of Russell Investments, LSEG conducted a comprehensive review of the investment management business to analyse its strategic fit with the Group. This was concluded in February 2015, and LSEG is now exploring a sale of the business in its entirety.
London Stock Exchange Group is a leading developer of high performance trading platforms and capital markets software for customers around the world. In addition to the Group’s own markets, over 35 other organisations and exchanges use the Group’s MillenniumIT trading, surveillance and post trade technology.
Headquartered in London, with significant operations in North America, Italy, France and Sri Lanka, the Group employs approximately 4,700 people.
Further information on London Stock Exchange Group can be found at www.lseg.com