HSBC Global Asset Management’s Flagship Green Bond Fund Launch

Herbert Smith Freehills has advised HSBC Global Asset Management on the transaction.

HSBC Global Asset Management launched its flagship green bond fund, HSBC Real Economy Green Investment Opportunity GEM Bond Fund, which will use both public and private capital to build climate change-mitigation capacity in emerging market economies. The fund’s aim is to enable investors to achieve real economy impact to deliver against the Paris Climate Agreement, Sustainable Development Goals, and the ‘Green Impact Framework’ which has been issued by HSBC GAM.

HSBC GAM has so far raised US$474 million for the fund, including a US$75 million commitment by anchor investor the IFC, a member of the World Bank Group, and a US$75 million commitment by HSBC. Seven private investors have joined HSBC and IFC, with others expected to commit later this year.

The Herbert Smith Freehills team is led by Stephen Newby (Picture), a partner in the firm’s funds and asset management practice, who is supported by senior associate Shantanu Naravane and associate Zoe Wilson.

Involved fees earner: Shantanu Naravane – Herbert Smith Freehills; Stephen Newby – Herbert Smith Freehills; Zoe Wilson – Herbert Smith Freehills;

Law Firms: Herbert Smith Freehills;

Clients: HSBC Global Asset Management;