Aberdeen Standard Investments and the Asian Infrastructure Investment Bank have forged a strategic partnership aimed to develop debt markets for infrastructure, drive ESG investing and a sustainable fixed income market in emerging Asia.
The partnership includes a $500 million portfolio («AIIB Asia ESG Enhanced Credit Managed Portfolio») that AIIB has tasked ASI with managing, which is comprised primarily of Asia infrastructure-related bonds of both green and unlabelled issuances. The portfolio is managed by ASI’s Singapore-based Asian fixed income team which has a strong ESG (environmental, social and governance) emphasis aligned with AIIB and ASI’s investing principles.
Catalyzing ESG strategies
In addition, the tie-up will also include the launch of a «Sustainable Capital Markets» initiative aiming to catalyze ESG investment strategies to improve standards, build scale through various market participants including corporate bond issuers, rating agencies and index providers.
«We believe that institutional investors are a key part of the solution to finance Asia’s infrastructure investment needs over the coming decades,» said AIIB vice president and CIO, D.J. Pandian.
«Integrating ESG standards into capital markets in Emerging Asia will be important to achieving long-term sustainable development goals.»
