PAAMC HK's China Green Bond Fund Awarded ESG Fixed Income Fund of the Year (Asia) for Exceptional Performance

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Ping An of China Asset Management (Hong Kong) Company (PAAMC HK) has announced that its China Green Bond Fund has been awarded the 'ESG Fixed Income Fund of the Year (Asia)' at the 2024 Sustainable Investment Awards organized by Environmental Finance. This is the third time the Fund has received this recognition, previously winning in 2021 and 2023. The Fund achieved a strong return of 5.5% in 2023, despite challenging conditions for green bond funds, through careful credit selection and a defensive portfolio duration of 2.8 years. Over the last year, the Fund diversified into higher-quality regions like South Korea and Japan and increased its portfolio yield. The Fund also aligned more closely with EU taxonomy standards and reduced exposure to natural gas-related bonds. The award acknowledges the Fund's commitment to data collection on metrics such as carbon emissions and renewable energy capacity.

HONG KONG, July 2, 2024 /PRNewswire/ -- Ping An of China Asset Management (Hong Kong) Company Limited ("PAAMC HK"), the offshore asset management platform of Ping An Group, is proud to announce that the Ping An of China Asset Management Fund - China Green Bond Fund (the "Fund") has been named the "ESG Fixed Income Fund of the Year (Asia)" at Environmental Finance's Sustainable Investment Awards 2024. This marks the third time the Fund has received this prestigious accolade, having also won the award in 2021 and 2023.

According to the judging panel, the Fund was recognized for its strong returns of 5.5%^[1] in 2023 - a challenging year for green bond funds - through careful credit selection and by maintaining a relatively defensive portfolio duration of 2.8 years at the end of the year. Over the past 12 months, the Fund has diversified its holdings by increasing exposure to higher-quality regions in North Asia, such as South Korea and Japan, while also increasing the overall portfolio yield to take advantage of higher front-end yields to mitigate end-cycle rate volatility^[2].

The Fund has made changes in reference to the EU taxonomy to align closer with major international standards, in addition to using the Climate Bonds Initiative taxonomy as its primary guidepost. As a result, the Fund has reduced exposure to natural gas-related bonds. The judges also noted the Fund's ongoing commitment to data collection and aggregation at a project and company level, including key metrics such as carbon emissions reduced and renewable energy capacity and generation.

"We are deeply grateful for the recognition." said Mr. Albert Wang, Head of Capital Markets and CIO of PAAMC HK. "Receiving this award for the third time is a testament to the consistent excellence and impact of the fund. As China has become a major player in green finance, with the world's second-largest green bond market, Chinese green bonds not only offer higher yields compared to developed market counterparts, but also provide valuable diversification to global bond portfolios. Our investment team's deep expertise in identifying the highest quality green bonds with attractive yields in this rapidly expanding market has been instrumental in delivering consistent outperformance for our investors, even amidst challenging market conditions."

The 2024 Sustainable Investment Awards, organized by Environmental Finance, recognize asset managers, analysts and data providers incorporating ESG across all asset classes - fixed income, listed and private equity, debt funds, multi asset funds, infrastructure funds and fund of funds.

About Ping An of China Asset Management (Hong Kong) Company Limited

Ping An of China Asset Management (Hong Kong) Company Limited ("PAAMC HK") was established in 2006. It is a direct subsidiary of China Ping An Insurance Overseas (Holdings) Limited and a wholly owned subsidiary of Ping An Insurance (Group) Company of China, Ltd. (2318.HK and 601318.SH). It is licensed by the Securities and Futures Commission of Hong Kong ("SFC") to conduct Type 1 (Dealing in Securities), Type 4 (Advising on Securities) and Type 9 (Asset Management) regulated activities. With strong capabilities in investment research and asset management, PAAMC HK is a leading provider of global investment management solutions in equities, fixed income, ETFs, structured products and alternative assets. For more information, please visit PAAMC HK's website (asset.pingan.com.hk). (This website has not been reviewed by the SFC). 

[1]Based on Calendar Year Performance of Class S (USD) (UH) (R) in 2023.

[2]Source: Environmental Finance's Sustainable Investment Awards 2024: https://www.environmental-finance.com/content/awards/sustainable-investment-awards-2024/winners/esg-fixed-income-fund-of-the-year-asia-ping-an-of-china-asset-management-fund-china-green-bond-fund.html

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SOURCE Ping An of China Asset Management (Hong Kong) Company Limited

FAQ

What award did Ping An of China Asset Management's China Green Bond Fund win in 2024?

The China Green Bond Fund won the 'ESG Fixed Income Fund of the Year (Asia)' at the 2024 Sustainable Investment Awards.

How many times has the China Green Bond Fund won the 'ESG Fixed Income Fund of the Year (Asia)' award?

The China Green Bond Fund has won the 'ESG Fixed Income Fund of the Year (Asia)' award three times, in 2021, 2023, and 2024.

What was the return of the China Green Bond Fund in 2023?

The China Green Bond Fund achieved a return of 5.5% in 2023.

Which regions did the China Green Bond Fund diversify into over the past year?

The Fund diversified into higher-quality regions such as South Korea and Japan.

What changes did the China Green Bond Fund make to align with international standards?

The Fund aligned closer with EU taxonomy standards and reduced exposure to natural gas-related bonds.

What does the China Green Bond Fund's commitment to data collection include?

The Fund's commitment includes data collection on key metrics such as carbon emissions reduced and renewable energy capacity and generation.

What was the portfolio duration of the China Green Bond Fund at the end of 2023?

The portfolio duration was 2.8 years at the end of 2023.