Institutional Investment
An institutional investor is a company or organization that invests money on behalf of clients or member such as banks, superannuation funds, government entities and insurance companies.
Institutional Investment
Scaling up a major infrastructure project or new venture requires significant capital.
Institutional investment can play a critical role in scaling up, for example, large scale renewable energy or green manufacturing projects. Projects need to be derisked, their business model proven, and to have established a track record of success before they can begin to attract institutional capital. An institutional investor is a company or organization that invests money on behalf of clients or member such as banks, superannuation funds, government entities (e.g. Future Fund) and insurance companies.Institutional investors are institutions which have as their primary role the professional investment and management of any fund established for the purpose of pooling monies paid by individual investors and invested in financial and non-financial assets. 4.pdf (austlii.edu.au)
The case study from Macquarie Bank demonstrates a blended finance approach to a major transport electrification project in India. The Bank used its expertise to help realise this project, demonstrating leadership. The project used debt, equity and lease financing alongside support from the Green Climate Fund, which is able to provide a range of financial instruments to support climate projects including debt, equity, guarantees, line of credit, results-based financing, grants and other instruments.
Government projects with a climate change adaptation objective may be eligible to be funded via the green bond program, as set out in the Australian Government Green Bond Framework p. 11 Sustainable Finance Framework.
Relevant Links
- Investor Group on Climate Change
- ASFA - Association of Superannuation Funds of Australia
- ASFI - Australian Sustainable Finance Institute
Institutional Investment Blended Finance Case Studies
Join the Blended Finance for Climate Initiative
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invitations you would like to share with the network to [email protected]