This month includes news from Euronext, HKEX, JSE, NSE and more. Monthly news highlights are compiled by the SSE to give an overview of the capital markets' sustainability news from that month.
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SSE INITIATIVE NEWS & EVENTS
Policy Brief on Carbon emissions in public markets in G20
12 November 2021
The UN Sustainable Stock Exchanges initiative has launched a new Policy Brief on Carbon emissions in public markets. The research analyzed carbon emissions in public markets of over 2,000 companies on 22 stock exchanges in G20 countries.
SSE delivers keynote to Exchange and Regulator Asian Roundtable
08 December 2021
The SSE delivered the keynote at the 3rd Asian Roundtable with the Stock Exchanges & Regulators held at the beginning of December. The event had the participation of exchanges from all over the world.
SSE upcoming events:
UN SSE, CDSB & IFC to provide free climate disclosure training to exchanges and their issuers
From 1st of September 2021 to 31st of March 2022
The SSE is ramping up efforts to provide climate disclosure training to exchanges' markets to help them implement the actions suggested in the model guidance and the action plan. In order to provide markets with high-quality training on climate disclosure and provide an overview of the Task Force on Climate-related Financial Disclosures (TCFD) recommendations, the UN SSE together with IFC and CDSB, are creating a multifaceted course for exchanges to distribute to their markets, free of charge. Past sessions training and upcoming sessions on SSE’s Events page. Contact: [email protected]
Invitation to participate in 8th Annual “Ring the Bell for Gender Equality” Ceremony
The International Finance Corporation (IFC), the Sustainable Stock Exchanges (SSE) Initiative, UN Global Compact, UN Women and the World Federation of Exchanges (WFE) invite exchanges to participate in the 8th Annual “Ring the Bell for Gender Equality” Ceremony on International Women’s Day March 8, 2021, a global initiative by exchanges around the world to foster greater gender equality and highlight the benefits of a diverse and inclusive workplace. If your exchange is interested to participate, please fill out this form, so the global partners can provide you with further information and connect you to local organisations.
COP26 - The 2021 United Nations Climate Change Conference
Special topic in this edition where we highlight the actions and commitments taken after the UN climate summit, the COP26 in Glasgow brought parties together to accelerate action towards the goals of the Paris Agreement and the UN Framework Convention on Climate Change.
COP26 Finally Set Rules on Carbon Markets. What Does It Mean?
13 November 2021
After six years and many late nights haggling, a deal has finally been struck on the rules governing global trading in offsets. The details are arcane and complicated but here’s a look at what it means for the planet, companies, and countries.
Exchanges at COP26: the report from Glasgow by Jeremy Grant, guest contributor
19 November 2021
Market leaders discussed at COP26 in Glasgow how stock exchanges can play a role in moving the ESG agenda forward. The announcement of the Glasgow Financial Alliance for Net Zero (GFANZ) that is worth as much as $130 trillion of private capital had been committed by group’s members to transforming the economy for net zero.
How COP26 will change the world of finance
19 November 2021
The outcomes from COP26 will accelerate the flow of money away from businesses and projects that cannot demonstrate sustainability, increase investment in climate adaption initiatives in the developing world, and enhance transparency over curb emissions.
After COP26, new questions arise over carbon trading as markets gain new prominence
23 November 2021
With the UN Climate Change Conference now settling into the rearview mirror, stakeholders questioned how carbon dioxide removal can be done with climate justice concerns in mind.
EXCHANGE NEWS
JSE announces commitment to supporting net zero by 2050
03 November 2021
The JSE has joined the Race to Zero Partner Initiative through the Net Zero Financial Service Providers Alliance (NZFSPA), and the Glasgow Financial Alliance for Net Zero (GFANZ) to promote and champion sustainability measures within South Africa, and internationally, and has committed to supporting net zero by 2050.
HKEX pleased to announce that it has joined the GFANZ
03 November 2021
Hong Kong Exchanges (HKEX) has joined the Glasgow Financial Alliance for Net Zero (GFANZ) and the Net Zero Financial Service Providers Alliance (NZFSPA), part of its ongoing commitment to the long-term sustainable development of global financial markets.
LuxSE joins GFANZ through Net Zero Financial Service Providers Alliance
04 November 2021
The Luxembourg Stock Exchange (LuxSE) has announced that it is now a signatory of the Net Zero Financial Service Providers Alliance (NZFSPA). The alliance is part of the broader Glasgow Financial Alliance for Net Zero (GFANZ) launched by Mark Carney, the UN Special Envoy on Climate Action and Finance.
NGX facilitates use of Green Bond in achieving SDGs objectives
09 November 2021
Nigerian Exchange (NGX) is currently working with leading market stakeholders to build the capacity of existing and potential corporate green bond issuers on green bond issuance process and reporting best practices.
Muscat Stock Exchange announces ESG initiatives
14 November 2021
The Muscat Stock Exchange (MSX) has announced the establishment of a new section to focus on the important environmental, social and governance (ESG) issues and diversity and inclusion to achieve sustainable goals in Oman’s capital market.
Exchanges sign up to boost climate funding and disclosure
15 November 2021
Bourses around the world among the 450 institutions that make up the Glasgow Financial Alliance for Net Zero (GFANZ), signalling an increasing desire by the world’s exchanges to play a bigger role in pushing companies to decarbonise.
SET announces support for climate-related financial disclosure standard
17 November 2021
The Stock Exchange of Thailand (SET) has announced its support for the Task Force on Climate-related Financial Disclosures (TCFD), demonstrating a commitment to building a more resilient financial system and safeguarding against climate risk through better disclosures.
Euronext outlines ambition to become leading ESG index provider in Europe by 2024
18 November 2021
Euronext has outlined ambitious plans to become the leading environmental, social and governance (ESG) index provider in Europe within the next three years. Published in its strategic plan last week, Growth for Impact 2024.
Bursa Malaysia has signed partnership to push ESG agenda
19 November 2021
Bursa Malaysia Bhd has signed a memorandum of understanding with Alliance Bank Malaysia Bhd and OCBC Bank Malaysia Bhd to advance Malaysian’s public listed companies in adopting environmental, social and governance (ESG) practices.
Nasdaq Named to Dow Jones Sustainability Index for the Sixth Consecutive Year
22 November 2021
Nasdaq has been named for the sixth consecutive year to the Dow Jones Sustainability Index (DJSI), one of the most prestigious environmental, social, and governance (ESG) ranking efforts.
Cboe Global Markets CEO: The new generation of retail investors is transforming markets
01 December 2021
In an interview for the World Federation of Exchanges, Ed Tilly - Chairman, President and CEO, Cboe Global Markets - discussed the key industry themes for 2022 and why Cboe has recently become a founding member of the derivatives partner exchanges network of the UN SSE.
HKEX published Net-Zero Guide to help guide companies in developing a pathway to net zero
02 December 2021
Hong Kong Exchanges (HKEX) has introduced Net-Zero Guide, the essential steps for businesses to develop a pathway to net zero, aiming to help companies to understand their greenhouse gas (GHG) emissions.
IDX supports green investment development in capital market
02 December 2021
Indonesia Stock Exchange (IDX) continues to support green investment development in the domestic capital market, with the adoption of environmental, social and governance (ESG) goals.
LGX: ICBC brings multi-currency carbon neutrality themed green bond
02 December 2021
In a hybrid Ring the Bell ceremony attended by Luxembourg Minister of Finance Pierre Gramegna, the Luxembourg Stock Exchange (LuxSE) and the Industrial and Commercial Bank of China (ICBC) celebrated the listing of the bank’s recent multi-currency carbon neutrality themed green bond on LuxSE.
Nairobi Securities Exchange launches ESG Disclosure Guidance and mandatory reporting
03 December 2021
The Nairobi Securities Exchange (NSE) has launched its Environmental, Social and Governance (ESG) Disclosures Guidance Manual. By issuing these guidelines, the NSE aims at improving and standardizing ESG information reported by listed companies in Kenya.
The Tunis Stock Exchange publishes ESG Reporting Guide
05 December 2021
The Tunis Stock Exchange has recently launched its new ESG Disclosure Guidelines as a useful resource to aid issuing companies understand the context, characteristics and market best practices in ESG disclosures. The Guide presents the principles promoted by the UN SSE initiative.
The BNV Sustainability Awards 2021 – Costa Rica Stock Exchange
08 December 2021
The BNV Sustainability Awards were recently held for the third consecutive year, as a recognition granted by the Costa Rican Stock Exchange to the efforts and commitments made by capital market participants to align the stock market with sustainable development through the different initiatives that the stock exchange has been promoting.
REGULATOR AND STANDARD SETTER NEWS
IFRS Foundation announces International Sustainability Standards Board
03 November 2021
The IFRS Foundation has announced the creation of its new International Sustainability Standards Board (ISSB) that will develop a comprehensive global baseline of high-quality sustainability disclosure standards to meet investors’ information needs.
Nigerian SEC moves for sustainable green investment in financing solar energy
09 November 2021
The Securities and Exchange Commission of Nigeria has moved for the issuance of green and sustainable instruments in their capital market, highlighting that issuance of green bond will go a long way to assist in financing solar energy and other environmental-friendly infrastructure.
ECB says EU green bond standard should be made mandatory
10 November 2021
The EU’s proposed green bond standard should be made mandatory for new green bond issuances, according to the European Central Bank (ECB).
GRI engaging with regional markets to increase sustainability reporting
12 November 2021
In India, Sri Lanka and Bangladesh, GRI has collaborated with local exchanges – the Bombay Stock Exchange (BSE), Colombo Stock Exchange (CSE) and the Dhaka Stock Exchange (DSE) – to deliver a series of workshops and seminars to increase sustainability reporting.
IOSCO Report on ESG Ratings and Data Products Providers
23 November 2021
The Board of the International Organization of Securities Commissions (IOSCO) has published a set of recommendations applicable to ESG Ratings and Data Product Providers.
Carney Says Carbon Offsets Must Be Limited to Residual Emissions
23 November 2021
The use of carbon offsets should be a last resort to cover only a small fraction of emissions if the world is to achieve meaningful decarbonization, according to Mark Carney, the co-chair of the Global Financial Alliance for Net Zero.
ASEAN releases first version of sustainable finance taxonomy
26 November 2021
The financial institutions of the Association of South East Asian Nations (ASEAN) released the first version of a taxonomy for sustainable finance activities providing a framework for discussions between the public and private sectors.
CDSB launches new Biodiversity application guidance
30 November 2021
The Climate Disclosure Standards Board (CDSB) has launched a new Biodiversity application guidance which is part of a series of CDSB Framework application guidance, that aims to extend the TCFD recommendations and its core elements to nature.
Egypt's FRA approves amendment of regulation of capital market law regarding sukuk bonds
30 November 2021
The Financial Regulatory Authority (FRA) has approved the inclusion of 4 new financing tools in the capital market, including Social Bonds, Sustainable Development Bonds, Environmental Social and Governance Bonds, Gender equality and women's empowerment bonds.
BOJ Outlines Three ‘Essential’ Elements of Climate Response
03 December 2021
Bank of Japan governor Haruhiko Kuroda discussed scenario analysis, sustainable finance, and enhanced disclosures. In addition, the Bank has set up an internal network, the Climate Coordination Hub, to enhance bank-wide initiatives on climate change.
EU Lawmakers Push for Stricter Bond Rules to Avoid Greenwashing
07 December 2021
The European Union is looking to tighten the region’s planned green bond standards to mitigate greenwashing from issuers of environmentally-friendly debt.
ESG INDICES AND PRODUCTS
S&P Dow Jones Indices and the Lima Stock Exchange Launch the S&P/BVL Peru General ESG Index
09 November 2021
S&P Dow Jones Indices and the Lima Stock Exchange ("BVL) have announced the debut of the S&P/BVL Peru General ESG Index, the latest in S&P DJI's growing family of global ESG indices based on some of the world's most highly-tracked regional and country-specific benchmarks.
Qatar Stock Exchange launches first ESG tradable index
16 November 2021
The Qatar Stock Exchange (QSE) has partnered with MSCI to launch an environmental, social and governance (ESG) tradable index in response to growing demand for sustainable investing products.
S&P Dow Jones Indices Launches ESG Version of the S&P 500 Equal Weight Index
21 November 2021
S&P Dow Jones Indices has announced the launch of the S&P 500 Equal Weight ESG Leaders Select Index based on the equal weighted version of the iconic S&P 500.
ICE to launch global carbon futures contract in early 2022
30 November 2021
Intercontinental Exchange (ICE) will launch a global carbon futures contract in early 2022, which will enable companies to hedge future carbon costs.
BME launches the IBEX Gender Equality Index to promote gender equality
30 November 2021
Bolsas y Mercados Españoles (BME) has announced the launch of the Ibex Gender Equality Index. With this launch, BME and SIX reinforce their ESG index family, as part of their commitment to sustainability.
Sovereign Wealth Funds Dramatically Step Up Their Focus on ESG
18 November 2021
Sovereign wealth funds are starting to take environmental, social and corporate governance (ESG) issues a lot more seriously, in a sign that some of the world’s most influential investors may be ready to reallocate their vast fortunes in more planet-friendly ways.
Leading financial institutions commit to actively tackle deforestation
02 November 2021
More than 30 leading financial institutions, collectively with over US$ 8.7 trillion in assets under management have committed to tackle agricultural commodity-driven deforestation as part of broader efforts to shift towards sustainable production and nature-based solutions.
RESEARCH
BIS: Does gender diversity in the workplace mitigate climate change?
16 November 2021
In a recent paper the Bank for International Settlements asks how more women in managerial positions improve firm environmental performance. With matching firm-corporate governance characteristics with firm-level carbon dioxide (CO2) emissions over the period 2009-2019 to study the relationship between gender diversity in the workplace and firm carbon emissions.
IFC - Sustainable Bonds: Bridging the Gap for Gender Equality
30 November 2021
As part of efforts to bring greater clarity on what the bond market can do to advance gender equality, IFC, in partnership with UN Women and the International Capital Market Association, developed Bonds to Bridge the Gender Gap: A Practitioner’s Guide to Using Sustainable Debt for Gender Equality.
‘Gender-lens’ investors direct their money to women-led companies
01 December 2021
Gender-lens investors are looking to direct their money to companies with more women on their boards and in management. Greater gender diversity is related to higher stock performance, improved risk management and lower incidences of fraud, research shows.
