HSBC Investors Demand Renewable Energy Funding Goal
(2 May 2024 – United Kingdom) A consortium of HSBC investors have requested the British bank to set a funding target for renewable energy, citing a lack of clarity in current pledges.
Royal London Asset Management, Axiom Alternative Investments, La Francaise Asset Management and other investors issued demands including requesting the bank spells out how exactly it plans to reach a sustainable finance target of up to US$1 trillion.
The demands were put forward following the shock resignation of incumbent HSBC CEO Noel Quinn. HSBC’s current US$750 billion to US$1 trillion sustainable-finance goal for 2030 is formulated in such a way that “investors don’t have enough information about how exactly this will be spent to know if the bank is really on the path to net zero and contributing its fair share of financing to address climate finance gaps” stated ShareAction Head of Banking Jeanne Martin.
“It gives the impression the bank is scaling up its efforts on green finance without demonstrating the difference it will make, or whether it is financing the green activities that are most needed.”