Investors ask government to expand range of record-breaking green gilts

Fund managers poured into the record-breaking inaugural green gilt launch last week, with investors calling for the UK Government to issue a wider range of bonds, such as a green inflation-linked gilts and sustainability and social bonds.

The government raised £10bn from the sale of its debut green gilt last Tuesday, the largest inaugural green issuance by any sovereign, with investors placing over £100bn in orders, beating all previous records for British Government debt sales.  Columbia Threadneedle, Rathbones, River and Mercantile, AXA Investment Managers and ASI were among those taking advantage of the issuance.  Mark Healy, portfolio manager at AXA IM, said the deal was "fairly priced" at +7.5bps against the 2032 gilt and the issuance was "in line with our climate framework and market standards", while the derivat...