General Announcement::SGX accelerates sustainability drive with launch of ESG derivatives

Issuer & Securities

Issuer/ Manager
SINGAPORE EXCHANGE LIMITED
Securities
SINGAPORE EXCHANGE LIMITED - SG1J26887955 - S68
Stapled Security
No

Announcement Details

Announcement Title
General Announcement
Date &Time of Broadcast
25-Jan-2021 12:16:11
Status
New
Announcement Sub Title
SGX accelerates sustainability drive with launch of ESG derivatives
Announcement Reference
SG210125OTHRSFYA
Submitted By (Co./ Ind. Name)
Yee Kai Pin
Designation
Vice President
Effective Date and Time of the event
25/01/2021 17:00:00
Description (Please provide a detailed description of the event in the box below)
* Suite of four new derivatives a key thrust of SGX FIRST initiative
* Launch further broadens multi-asset partnership with FTSE Russell

Singapore Exchange (SGX) is accelerating its SGX FIRST sustainability agenda with the launch of its pioneering suite of ESG derivatives today.

SGX developed the new contracts in partnership with FTSE Russell to offer investors more choice in promoting the integration of Environment, Social and Governance (ESG) factors into institutional investment portfolios on an award-winning market infrastructure. The SGX FIRST (Future in Reshaping Sustainability Together) initiative, announced in December, is a multi-pronged expansion of the exchange s sustainability capabilities and supports the introduction of new ESG-focused products, services and platforms.

Michael Syn, Head of Equities at SGX, said, "Our leadership in developing a pan-Asia shelf of benchmark equity derivatives has placed us in a distinct position to drive the change the world needs to see today. Together with FTSE Russell's strengths in investable multi-asset products and ESG, our offering of sustainable risk-management solutions in Asia is unrivalled."

Backed by major global pension funds and drawn from leading international standards, the indices provide a combination of improved ESG profile while maintaining risk and return characteristics largely similar to benchmark equity indices. The new derivatives are designed to enable seamless adoption of ESG factors into investment portfolios:

* SGX FTSE Emerging ESG Index Futures
* SGX FTSE Emerging Asia ESG Index Futures
* SGX FTSE Asia ex Japan ESG Index Futures
* SGX FTSE Blossom Japan Index Futures

All four contracts have been certified by the Commodity Futures Trading Commission (CFTC), enabling market participants to trade them directly from the U.S.

Attachments

20210125_SGX_accelerates_sustainability_drive_with_launch_of_ESG_derivatives.pdf
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