London Stock Exchange Group (LSEG) announced today the launch of a new dedicated sustainable finance innovation unit in Singapore, focused on the creation of sustainable finance capabilities to accelerate innovation and advanced technology across the country’s fintech ecosystem.

The new unit will form part of LSEG’s in-house fintech LSEG Labs, which combines data, technology, talent and customer partnerships to provide solutions to financial markets. According to LSEG, the unit’s multidisciplinary team will create value by solving challenges for market participants, including accelerating investment into green infrastructure projects, measuring climate risks and making ESG disclosure quicker and easier.

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Geoff Horrell, Group Head of Innovation at LSEG, said:

“LSEG Labs combine our multi-disciplinary innovation process with an open approach to partnership.  By focusing on opportunities like sustainable finance that span LSEG’s three business divisions – Data & Analytics, Capital Markets and Post-Trade – we will be able to deliver transformational customer experiences.”

Singapore has emerged as a hub for companies looking to capitalize on the growing ESG and sustainable finance opportunities in the Asian market. Earlier this year, Moody’s Corporation announced a series of initiatives to expand its Singapore office aiming to spearhead ESG, following the establishment of its own ESG Solutions Group office in Singapore in February. In November 2020, consultancy Bain & Company announced the launch of its new Singapore-based Global Sustainability Innovation Center, aiming to help the firm’s corporate clients pursue the opportunities arising from the economic and societal potential of the green economy. In May, Deutsche Bank announced the launch of a new ESG Centre of Excellence (COE) in Singapore, focused on ESG transactions, new product development and advisory services in the growing Asian ESG market.

LSEG stated that the launch of the new sustainable finance unit is supported by the Monetary Authority of Singapore (MAS).

David Harris, Global Head of Sustainable Finance, Data & Analytics at LSEG, said:

“We are excited to gain the backing of MAS to support the business, finance and investor community in accelerating the transition to a net-zero, sustainable economy.  This is a powerful initiative given both of our positions at the heart of international capital markets and our combined focus on innovation and global collaboration in sustainable investment and finance.”

Kwok Quek Sin, Executive Director, Green FinTech, FinTech & Innovation Group at MAS, added:

“Technology will play an increasingly vital role in driving the global sustainability agenda. Greater collaboration will be key for the financial sector to explore innovative solutions that can address climate-related risks and mobilise capital towards greener and more sustainable activities. To this end, the setup of LSEG’s sustainable finance innovation unit in Singapore can help bring together the capabilities and stakeholders needed to support sustainability and transition efforts both regionally and globally.”