BOCHK partners with Ninety One to drive green investing
BOCHK exclusively adds Ninety One’s first RMB-denominated decarbonisation-themed fund to the bank’s platform
Bank of China (Hong Kong) Limited (“BOCHK”) exclusively adds Ninety One’s first RMB denominated Share Class of “Ninety One Global Strategy Fund - Global Environment Fund” to the bank’s platform. The Fund is an SFC-recognised ESG (Environmental, Social and Governance) Fund*, which is also Ninety One’s first RMB-denominated offering of green funds. With BOCHK as one of the main retail banking distribution platforms in Hong Kong, the Fund’s RMB Share Class is available for subscription by BOCHK’s customers on an exclusive priority basis through the Bank’s mobile and internet banking as well as branches, helping them to tap into ESG related investment opportunities and achieve flexible asset allocation.
In the first half of 2022, the ESG related total relationship balance of BOCHK’s customers recorded a 24-fold increase, reflecting the surging demand for green investment and ESG products from personal customers in Hong Kong. As such, BOCHK continues to enrich its green investment product suite by introducing ESG funds with multiple themes to meet customers’ green transition needs.
Ms Joyce Leung, Assistant General Manager, Personal Digital Banking Product Department, BOCHK said, “BOCHK is committed to advancing green development and has been actively facilitating our customers’ transition to a low-carbon economy. Currently, we offer up to 50 ESG fund share classes. We are very honoured to partner with Ninety One and become the exclusive distributor of its Global Environment Fund RMB Share Class, which incorporates ESG themes and RMB investment opportunities. The Fund helps our customers to build wealth and achieve flexible asset allocation through investing in companies that are driving the low-carbon transition. BOCHK will continue to join hands with Ninety One to promote investor education on ESG, deepen personal investors’ understanding of carbon emissions and advocate sustainable development in our community.”
Mr Marco Tang, Head of Advisor Business, Greater China, Ninety One said, “Countries around the world are focussed on tackling climate change and transitioning to a low-carbon future, which presents compelling investment opportunities for the fund industry. The Fund follows an inclusive transition approach to capture long-term capital growth opportunities that arise through the transition journey to net zero. It invests in companies that are committed to tackling climate risk through robust transition plans. The Fund currently invests in a high conviction portfolio of around 25 leading companies^ to help investors achieve their long-term investment objectives and at the same time, invest sustainably. The collaboration with BOCHK through our first RMB-denominated green solution demonstrates the growing demand for both decarbonisation thematic and RMB denominated investments in Hong Kong. We understand the importance of setting net zero targets that do not depend on exclusion and divestment and can be assessed in the real economy. As a signatory to the Net Zero Asset Managers initiative, Ninety One is committed to ensuring that our portfolios achieve net zero emissions by 2050, contributing to the reduction of disruptive climate change.”
Ms Deirdre Cooper, Head of Sustainable Equity and Co-Portfolio Manager of Global Environment Fund, Ninety One said, “In order to spur growth for sustainable businesses, massive investment is required to reduce greenhouse gas emissions in line with the Paris Agreement. We believe that through disciplined capital allocation to a portfolio of companies that are enablers and beneficiaries of decarbonisation, we can make a positive impact in the fight to tackle climate change.”
Ninety One and BOCHK co-organised a competition titled "Net-Zero Future Photography and Video Competition”. This competition aims to encourage more people to live a net-zero lifestyle and work together to change the future through the creation of innovative and positive video works with a net-zero life theme. Mr. Leung Wing Mo, former assistant director of the Hong Kong Observatory, was invited as one of the judges on the judging panel and to highlight ways in which climate change correlates to the investment market. Further details will be announced separately.
* SFC authorization is not a recommendation or endorsement of a product nor does it guarantee the commercial merits of a product or its performance. It does not mean the product is suitable for all investors nor is it an endorsement of its suitability for any particular investor or class of investors. The list of ESG funds does not constitute an official recommendation of these products or a guarantee of their ESG attributes or related performance by SFC.
^The portfolio may change significantly over a short period of time. Source: Ninety One, as at 31 July 2022.