The Luxembourg Stock Exchange (LuxSE) has issued a statement in which it welcomes the COP21 Paris Agreement reached on 12 December 2015 which saw for the first-time consensus of some 200 states to cut greenhouse emissions and to enhance transparency at the service of green finance.
LuxSE endorses collective action towards the transition to a low carbon economy and commits to the Paris pledges by promoting a stronger and wider access to green finance.
As a pioneering capital markets intermediary that is committed to a sustainable economy, LuxSE has for the last eight years facilitated access to green bond instruments to an increasing number of issuers.
LuxSE was the first stock exchange to list a green bond in 2007. This listing, the first green bond ever, was issued by the European Investment Bank (EIB) and kick-started the market.
Today, with more than 80 green bonds listed by 20 issuers in 19 currencies, LuxSE is by far the leading exchange at international level for this asset class. It is committed to accompanying issuers in the development of green investments and, more generally, ESG investments.
As a reputable listing venue, LuxSE promotes the highest transparency and integrity from green issuers. Investors can access full bond documentation and make informed investment decisions depending on their specific environmental investment goals.
To be recognised as “green” by LuxSE standards, self-labelled or third-party labelled green bonds need to demonstrate via their mandatory prospectus that:
- their proceeds will be used for carbon reduction or other green investments or loans within market-accepted activities
- the issuer commits to meet certain criteria with respect to management of proceeds, transparency and reporting.
