Statement on ESG Integration

In GTJAI Debt Capital Market Business 

Guotai Junan International (GTJAI) Debt Capital Market (DCM) provides a full range of customized services from project origination, execution, syndication to sales for corporate clients in both Chinese mainland and Hong Kong SAR.

GTJAI highly values the ESG risks and climate risk that may potentially bring material damage and economic loss to the economy and human being. The Company participated in of 36 ESG Bond issuance in 2022, with a total fundraising of US$8.7 billion, representing 27% of the total new issuance volume arranged by GTJAI, increasing from 15% in 2021. In all 36 deals, we advised 14 deals as ESG advisor and helped all eligible issuers receive grants from Hong Kong Monetary Authority.

Green Bond Underwriting Service and Post-Issuance Service

For ESG bond issuance, our team will act as ESG advisor to assist the issuer in selecting green/social projects, preparing supporting documents, and communicating with external reviewers to obtain accreditation. We will also help issuer claim the grants from HKMA.

As a leading underwriter and market maker, GTJAI has always been monitoring the risks and policy changes of ESG bonds to provide better financing channels of issuers.

Provide ESG Training to Both Issuers and Investors

We provide sustainable finance training and advisory to both issuers and investors, helping them improve their ESG awareness. At the same time, we encourage and educate companies to issue ESG financial products, and make issuance plans for eligible issuers. In response to the green investment needs of international investors, we offer them with ample resources of quality green bond assets.

Diversify ESG Products and Expand Industry Coverage

Thanks to the efforts of regulators and capital market players, issuers now have a certain understanding of green bonds, and their willingness to participate is also increasing. On top of that, we will introduce other ESG products such as sustainable bonds and social bonds to incubate market potential.

Our FICC team also have a diversified portfolio of ESG bond issuers. In addition to traditional industries such as utilities and real estate, there are a large number of eligible ESG bond issuers in infrastructure development and industries. In the future, we will explore more new issuers in more diversified sectors.

As a member of the Hong Kong Green Finance Association, we will continue to participate in discussions on green bonds and product innovation with other professional institutions, following closely on business development.

Cultivate Green Workforce

In order to provide more efficient services for clients, we organize internal training on ESG bonds for our coverage, execution and sales team.  At the same time, we continue to stay close to green finance-related policies and regulations, maintain long-term cooperation with relevant institutions, encourage teams to actively participate in all kinds of green finance-related activities, and increase our company's participation and competitiveness in the field of green finance.

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