A tree planted for each investor in Maybank World Sustainable/ESG funds distributed by OCBC Financial institution


KUALA LUMPUR: Shoppers trying to spend money on a sustainability-themed unit belief product can now have a tree planted of their identify alongside the decrease Kinabatangan river in Sabah, because of a inexperienced initiative by OCBC Financial institution (M) Bhd (OCBC Financial institution).

The scheme mechanically kicks in for individuals who spend money on any one of many three international unit belief funds which are managed by Maybank Asset Administration Sdn Bhd (MAM Malaysia) and distributed by OCBC Financial institution.

Two of the funds, the Maybank World Sustainable Fairness-I Fund and Maybank World Sustainable Expertise Fund are certified Sustainable and Accountable Funding (SRI) Funds, whereas the Maybank World Combined Property-I Fund is rated BBB by MSCI ESG Ranking.

All future sustainable/ESG funds by MAM Malaysia which are distributed by OCBC Financial institution may even be a part of the tree planting initiative, the financial institution mentioned in an announcement.

Maybank World Combined Property-I is a worldwide syariah blended asset fund that enables traders to faucet into international funding alternatives via a diversified portfolio with a goal return of 6% each year in US greenback phrases, internet of charges, over the medium to long run.

Maybank World Sustainable Fairness-I Fund invests in excessive conviction syariah ESG corporations throughout international markets. Maybank World Sustainable Expertise Fund – a fund the place ESG concerns play a key position within the analysis of its investments – covers IT providers and cost processors, tech {hardware} and tools, semiconductors and semiconductor tools, the Web and gaming, and software program.

The funds be part of the ranks of a number of others in OCBC Financial institution’s secure of ESG-related funding choices aligned to its dedication to boost its inexperienced financing and funding choices.

In keeping with OCBC Financial institution managing director and head of client monetary providers, Anne Leh, the tree planting initiative goals to broaden the dialog on sustainability to generate consciousness amongst traders on the methods to become involved in environmental and climate-related causes.

“We all know many customers on the market wish to do properly by doing good however not all may need ample publicity to the accessible alternatives and initiatives. So, we determined to carry issues nearer house by collaborating with Animal Tasks and Environmental Schooling Sdn Bhd (APE Malaysia) on this tree planting initiative.

“APE Malaysia is operating an ongoing reforestation mission contributing in the direction of the Hall of Life Challenge alongside the decrease Kinabatangan river in Sabah and has helped to result in environmental features to animals, the habitat and folks locally,” she mentioned.

Leh added that the financial institution’s heightened emphasis on sustainability in current instances has enabled it to create much more merchandise that take ESG elements into consideration based mostly on its goal of attaining RM5bil in sustainable property beneath administration (AUM) by the top of the yr.

“Our distribution partnership with MAM Malaysia represents our dedication to develop our sustainable funding choices and we hope to have at the very least 5,000 sign-ups within the subsequent three months so we will plant that variety of timber over a half yr interval at APE Malaysia’s present charge of 800 to 1,000 timber a month,” she mentioned.

“In the long run, we’re wanting properly past the preliminary 5,000 sign-ups to embrace a wider cross-section of society, that’s, individuals who spend money on different sustainable funds as properly via us,” she added.

As a Group, OCBC has seen a major enhance in demand for sustainable financing lately because of larger consciousness of, and heightened efforts to fight local weather change.

The group has witnessed a powerful demand for inexperienced and sustainability-linked loans and has made good progress in financing renewable power initiatives, particularly following its announcement in April 2019 that it will not finance new coal-fired energy vegetation.

The Financial institution’s general sustainability purpose for Malaysia is to develop extra sustainably with a goal for 15% of its loans to be sustainability-related by 2025.

“We work in keeping with the beliefs of our Group Sustainable Funding Framework to boost our advisory and funding actions by considering ESG evaluation within the analysis and funding course of.

“We’re happy with our partnership with MAM Malaysia and can proceed to hunt out related alternatives sooner or later,” Leh mentioned.

Ahmad Najib Nazlan, CEO of Maybank Asset Administration Group mentioned: “We’re heartened and applaud OCBC Financial institution’s efforts in selling larger consciousness and motion through its inexperienced initiatives and investing in environmental and sustainability-related sectors.

“MAM has additionally embarked by itself ESG journey and is working with like minded companions to develop and strengthen the significance of this essential problem to achieve extra traders to construct a extra sustainable financial system.”

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