The latest developments in the ESG space.

Indosuez Wealth Management
Indosuez Wealth Management has just launched Indosuez Funds – Chronos Green Bonds 2028, the first bond fund in the Indosuez range to be classified as Article 9 under the EU’s Sustainable Finance Disclosure Regulation (SFDR).

Against a backdrop of a booming green bond market, the fund makes it possible to invest in green bonds in companies running projects which have a positive impact on the environment, such as renewable energy, green buildings, and clean transport, the firm said in a statement.

Offered to investors with a conservative risk profile, Indosuez Funds – Chronos Green Bonds 2028 is a fixed-maturity fund that offers visibility on the potential performance that will be delivered at maturity. It ensures returns while promising a moderate risk, the firm continued. 

The fund comprises around sixty securities, from different sectors and geographical areas, financing companies that commit to carrying out projects that relate to the United Nations Sustainable Development Goals. It is managed by Indosuez Wealth Management’s bond management team based in Paris, which is is in charge of managing various bond issues totalling €1.4 billion ($1.5 billion) under management.

The objectives of companies financed by Indosuez Funds – Chronos Green Bonds 2028 are monitored by independent, external rating companies and non-profits to ensure that projects are conducted appropriately, the firm added.

“The green bond market has grown considerably in recent years. Originally intended for institutional investors, it is now open to private investors. This is consistent with our wish to support the financing of the energy transition and our clients’ growing wish to contribute through appropriate solutions,” Alexandre Drabowicz, chief investment officer of Indosuez Wealth Management, said.

David Zahn, head of European fixed income at Franklin Templeton, is also positive about green bonds in 2024, believing sustainable investing to be a dominant investment trend, with structural tailwinds that could help improve financial returns. See more commentary here.

Indosuez Wealth Management is the global wealth management brand of the Crédit Agricole Group with about €200 billion in client assets. It has locations in Europe, Asia Pacific, the Middle East and Canada, .