25 C
Vientiane
Friday, May 30, 2025
spot_img
Home Blog Page 1726

Correcting and Replacing: Jardine Matheson and Hongkong Land celebrate 50 years of Jardine House

Hong Kong’s first skyscraper continues to innovate and attract world-class tenants

  • Building at the forefront of the development of modern Central.
  • Hongkong Land invests up to US$100 million annually in updating and modernising all its buildings, ensuring Jardine House remains contemporary and digitally enhanced.
  • Jardine House continues to benefit from the ongoing flight to quality.

HONG KONG SAR – Media OutReach – 13 July 2023 – Jardine Matheson and Hongkong Land are commemorating the 50th anniversary of Jardine House, the first skyscraper in Hong Kong, and the hub of Hongkong Land’s Central ecosystem. Completed in 1973, Jardine House set new standards with its robust design, fastest lifts, largest air conditioning chillers, and iconic 1,748 circular glazed windows that offer unobstructed harbour views.

Designed by Palmer and Turner (now P&T Group) and built by Gammon Construction, Jardine House quickly became the prime location for leading banks, financial institutions, legal firms, and accountants. By 1974, it housed eight international banks and one of Hong Kong’s stock exchanges, among other tenants. Today, it remains of key importance in Hongkong Land’s Premium Grade A office portfolio, housing a community of influential business leaders and decision-makers including the Asia Pacific headquarters of leading global independent investment management firm Invesco and luxury goods holding company Richemont. More than two fifths of the current tenants, 42.5%, represent international and local law firms; luxury brands account for 18% of the total space; and financial services companies such as asset managers, stockbrokers and securities firms take up another 18%.

“Jardine House is a prominent part of the renowned Hong Kong skyline with its distinctive architectural features, including its instantly recognisable circular windows. The building was at the forefront of the development of modern Central, and stands today as a timeless reminder of Hong Kong’s role as an international business and financial hub, and will continue to do so as Hong Kong strengthens its role into the future,” said Mr John Witt, Group Managing Director of Jardine Matheson.

Jardine House has played a key role in the development of Hongkong Land’s Central Portfolio and continues to evolve and innovate. For example, in June 2020 a first-of-its-kind food hall concept in Central Portfolio, BaseHall, was opened on the basement level of Jardine House, providing a fluid space for multi-concept dining and the flexibility to host events and experiences for tenants and customers.

“The globally recognised Central Elevated Walkway began in the 1970s when Hongkong Land constructed a footbridge between Jardine House and Chater House and the General Post Office. From then on, the government, developers and banking corporations continued to expand the network to include more buildings and bridge connections,” said Mr Robert Wong, Chief Executive of Hongkong Land. “The wide network of footbridges has become a super connector of buildings and people across the entire financial district further reinforcing the prime location and appeal of Jardine House.”

Many Jardine House tenants have remained loyal to their location in this benchmark building, with one of the building’s first tenants in 1973 still located in Jardine House today – legal firm Woo Kwan Lee & Lo. At the same time, the building continues to attract notable tenants such as the newly signed Crédit Industriel et Commercial. Recent tenants recognise the high sustainability standards of the building, which is a key reason for their move, as Jardine House has received BEAM Plus Platinum certification.

“Jardine House is a testament to our dedication to innovation and our commitment to supporting the thriving Central ecosystem,” said Mr Wong. “We are proud of the building’s achievements and will continue to invest significantly in its future and that of other buildings in the Central Portfolio to maintain Hong Kong’s premier status. Hongkong Land invests up to US$100 million annually in updating and modernising all its buildings, ensuring Jardine House remains contemporary and digitally enhanced.”

As part of the 50th anniversary celebrations, Hongkong Land is hosting activities for tenants, the community, and visitors with public talks, exhibitions, and guided walking tours. The first public talk, focusing on the architecture of the building and its impact on the city, will take place on 15th July. The annual ‘Walk Up Jardine House’ charity event that has generated more than HK$50 million for MINDSET – a mental health charity founded by the Jardine Matheson Group – will also take place between September and October. The event includes a 49-floor vertical race up the building and a mental health awareness carnival, held live for the first time since the pandemic.

“As part of our rich Central Portfolio ecosystem, Jardine House will continue to benefit from the ongoing flight to quality as corporate tenants prioritise premium quality, the highest sustainability standards and strategically located offices,” concluded Mr Wong.

Jardine Matheson and Hongkong Land are commemorating the 50th anniversary of Jardine House, the first skyscraper in Hong Kong. Completed in 1973, Jardine House set new standards with its robust design, fastest lifts, largest air conditioning chillers, and iconic 1,748 circular glazed windows that offer unobstructed harbour views.
Jardine Matheson and Hongkong Land are commemorating the 50th anniversary of Jardine House, the first skyscraper in Hong Kong. Completed in 1973, Jardine House set new standards with its robust design, fastest lifts, largest air conditioning chillers, and iconic 1,748 circular glazed windows that offer unobstructed harbour views.
Jardine House is a prominent part of the renowned Hong Kong skyline with its distinctive architectural features.
Jardine House is a prominent part of the renowned Hong Kong skyline with its distinctive architectural features.

Hashtag: #JardineMatheson #HongkongLand

The issuer is solely responsible for the content of this announcement.

Jardine Matheson

Jardine Matheson is a diversified Asian-based group founded in China in 1832, with unsurpassed experience in the region. It has a broad portfolio of market-leading businesses, which represent a combination of cash generating activities and long-term property assets and are closely aligned to the increasingly prosperous consumers of the region. The Group’s businesses aim to produce sustainable returns by providing their customers with high quality products and services. The Group is committed to driving long-term sustainable success in our businesses and our communities.

Jardine Matheson operates principally in China and Southeast Asia, where its subsidiaries and affiliates benefit from the support of the Group’s extensive knowledge of the region and its long-standing relationships. These companies are active in the fields of motor vehicles and related operations, property investment and development, food retailing, health and beauty, home furnishings, engineering and construction, transport services, restaurants, luxury hotels, financial services, heavy equipment, mining and agribusiness.

Jardine Matheson holds interests in Jardine Pacific (100%), Jardine Motors (100%), Hongkong Land (53.1%), DFI Retail Group (77.5%), Mandarin Oriental (80.2%) and Jardine Cycle & Carriage (76.8%) (‘JC&C’). JC&C in turn has a 50.1% shareholding in Astra.

Jardine Matheson Holdings Limited is incorporated in Bermuda and has a primary listing on the London Stock Exchange, with secondary listings in Bermuda and Singapore. Jardine Matheson Limited operates from Hong Kong and provides management services to Group companies.

Hongkong Land

Hongkong Land is a major listed property investment, management and development group. Founded in 1889, Hongkong Land’s business is built on excellence, integrity and partnership.

The Group owns and manages more than 850,000 sq. m. of prime office and luxury retail property in key Asian cities, principally Hong Kong, Singapore, Beijing and Jakarta. Its properties attract the world’s foremost companies and luxury brands.

The Group’s Central Hong Kong portfolio represents some 450,000 sq. m. of prime property. It has a further 165,000 sq. m. of prestigious office space in Singapore mainly held through joint ventures, four retail centres on the Chinese mainland, including a luxury retail centre at Wangfujing in Beijing, and a 50% interest in a leading office complex in Central Jakarta. The Group also has a number of high-quality residential, commercial and mixed-use projects under development in cities across China and Southeast Asia, including a 43% interest in a 1.1 million sq. m. mixed-use project in West Bund, Shanghai. Its subsidiary, MCL Land, is a well-established residential developer in Singapore.

Hongkong Land Holdings Limited is incorporated in Bermuda and has a primary listing on the London Stock Exchange, with secondary listings in Bermuda and Singapore. The Group’s assets and investments are managed from Hong Kong by Hongkong Land Limited. Hongkong Land is a member of the Jardine Matheson Group.

Shortage of Teachers Threatens Closure of 25 Schools in Savannakhet

The mobile school in Ban Pa Long Nai village. Savannakhet province, Laos (Photo: UNICEF)

A dire shortage of teachers in Savannakhet province could lead to the closure of 25 schools next academic year, said a National Assembly (NA) member during the ongoing 5th Ordinary Session of the 9th National Assembly.

Align Technology’s 2023 Invisalign® APAC Summit spotlights digital transformation in the orthodontic industry

The company’s latest innovations were highlighted as part of their journey in driving the future of digital orthodontics and dentistry

SINGAPORE – Media OutReach – 13 July 2023 – Align Technology’s 2023 Invisalign® APAC Summit took place from 22 June to 25 June in Singapore this year and brought together nearly 1,000 orthodontists and general practitioner (GP) dentists and clinic staff from 18 countries across the Asia Pacific region. The summit showcased Invisalign and iTero products, the Align Digital Platform™ and recent and upcoming innovations while also highlighting our doctors’ experience with digital transformation and how it improves the patient treatment journey.

Raj Pudipeddi, Chief Product & Marketing Officer, Executive Vice President and Managing Director APAC at Align Technology's 2023 Invisalign® APAC Summit
Raj Pudipeddi, Chief Product & Marketing Officer, Executive Vice President and Managing Director APAC at Align Technology’s 2023 Invisalign® APAC Summit

From comprehensive digital workflows for orthodontic and restorative treatment to virtual tools and consults – this coveted peer-to-peer clinical education and networking experience covered the key trends and Align innovations relevant to digital practice transformation. Attendees joined expert sessions focused on enhancing treatment planning efficiency, optimizing digital workflows, addressing the unique needs of teens and younger patients and exploring other essential aspects shaping today’s digitally-driven orthodontic practices. Attendees also gained hands-on experience with the Align Digital Platform™ and each of the steps in the Align Digital workflow.

For more than 26 years, Align Technology has helped over 243,000 Invisalign trained doctors treat more than 15.1 million patients globally, including 4.1 million teens, with the Invisalign System. Align’s investment in technology and innovation was US$2 billion at the end of 2022, with an incremental spend of about US$250 million every year. This level of investment is unmatched in the orthodontic industry and has enabled Align to shape the future of orthodontics and lead analog to digital transformation through the entire workflow.

“The orthodontic industry is large and clear aligners have low penetration globally and in Asia Pacific. As a leader in the dental and orthodontic industry, Align Technology is very well positioned for this opportunity. Invisalign is one of the most trusted brands in the orthodontic industry globally among both doctors and patients, and along with iTero, exocad and Vivera, forms the Align Digital Platform™, a seamless and integrated solution for our doctors,” said Raj Pudipeddi, Chief Product & Marketing Officer, Executive Vice President and Managing Director APAC. “We have launched an incredible amount of innovation to support our doctors in the last year and this is only the start. We will continue to build the Align Digital Platform™ and add new capabilities to improve clinical outcomes and elevate patient experiences, enabling practice growth.”

As a leader in digital transformation, Align Technology offers a powerful suite of innovative digital tools to provide a seamless end-to-end digital experience for doctors and their patients. Innovations launched over the last year include:

  1. ClinCheck® Live Update for 3D Controls – enables doctors to generate modified Invisalign patient treatment plans in real time, reducing modifications that used to take weeks to as little as two minutes, improving practice productivity significantly, while also improving quality of treatment plans.
  2. Invisalign® Personalized Plan – streamlines the treatment planning process and helps doctors achieve their desired treatment plans more consistently and efficiently.
  3. Invisalign Smile Architect™ – allows general dentists to integrate clear aligner therapy into their comprehensive treatment plans by combining teeth alignment and restorative planning in a single platform.
  4. Invisalign® Virtual Care – equips doctors with a next generation remote monitoring solution that has new artificial intelligence-assisted capabilities to streamline their workflows.
  5. Cone Beam Computed Tomography (CBCT) enables doctors to visualize a patient’s roots as part of the digital treatment planning process.
  6. Invisalign Outcome Simulator Pro – available on iTero Element Plus Series scanners and imaging systems. Invisalign Outcome Simulator Pro expands Align’s existing Invisalign Outcome Simulator technology and adds the benefits of the Company’s ClinCheck “In-Face” Visualization tool that combines a photo of a patient’s face with their 3D treatment simulation, creating a truly personalized view of how their new smile could look.
  7. iTero-exocad Connector™ – integrates iTero intraoral camera and NIRI images within exocad DentalCAD 3.1 Rijeka software and allows dental professionals to visualize the internal and external structure of teeth.

The issuer is solely responsible for the content of this announcement.

About Align Technology, Inc.

Align Technology designs and manufactures the Invisalign® System, the most advanced clear aligner system in the world, iTero™ intraoral scanners and services, and exocad™ CAD/CAM software. These technology building blocks enable enhanced digital orthodontic and restorative workflows to improve patient outcomes and practice efficiencies for over 243 thousand doctor customers and is key to accessing Align’s 500 million consumer market opportunity worldwide. Over the past 25 years, Align has helped doctors treat over 15.1 million patients with the Invisalign System and is driving the evolution in digital dentistry through the Align Digital Platform™, our integrated suite of unique, proprietary technologies and services delivered as a seamless, end-to-end solution for patients and consumers, orthodontists and GP dentists, and lab/partners. Visit for more information.

For additional information about the Invisalign System or to find an Invisalign doctor in your area, please visit . For additional information about the iTero digital scanning system, please visit . For additional information about exocad dental CAD/CAM offerings and a list of exocad reseller partners, please visit .

Thailand’s Parliament Set to Choose Prime Minister, but it Might Not Be Election Winner

Thailand’s Parliament Set to Choose Prime Minister, but It Might Not Be Election Winner
 Pita Limjaroenrat, the leader of Move Forward Party and top winner in the May's general election gestures at the Parliament, in Bangkok, Thailand, Thursday, July 13, 2023. Thai lawmakers are gathering Thursday to select a new prime minister, a process whose outcome is far from certain even though the country's most progressive party won both the popular vote and the most seats in the House of Representatives in the most recent election. (AP Photo/Sakchai Lalit)

BANGKOK (AP) — Thai lawmakers are gathering Thursday to select a new prime minister, a process whose outcome is far from certain even though the country’s most progressive party won both the popular vote and the most seats in the House of Representatives in the most recent election.

AIA Hong Kong ranks No.1 in MDRT membership for 21 years in Hong Kong

AIA Macau also leads the industry in Macau for five consecutive years

HONG KONG SAR – Media OutReach – 13 July 2023 – AIA Hong Kong & Macau announces the Company has once again earned the distinction of having the largest number of financial planners achieving Million Dollar Round Table (MDRT) membership* in Hong Kong and Macau. With 2,443 AIA Hong Kong financial planners attaining MDRT qualification, it also marks the Company’s 21st year leading the industry in Hong Kong. In addition, AIA Hong Kong’s outstanding performance propelled the Company to the top spot in both the Top of the Table (production requirement is six times of MDRT) and Court of the Table (production requirement is three times of MDRT). Moreover, since its independent reporting commenced in 2019, AIA Macau has once again topped the Macau chart and for the fifth year running with 636 MDRT membership this year.

Mr. Alger Fung, Chief Executive Officer of AIA Hong Kong & Macau, said, “AIA Hong Kong fully commits in grooming financial planners and spares no expense in resources to keep enhancing their professionalism. Our commitment is well recognised as we have for many years topped the MDRT ranking, the most esteemed international honour in the industry. It is also a testament to our hard work and exceptional service in which I take great pride. With ‘customer-centricity’ at the heart of everything we do, we will keep abreast of professional knowledge and market trends to provide customers with solutions that cater to their needs in protection, wealth and health. We pledge to going beyond insurance and dedicate ourselves to helping people live Healthier, Longer, Better Lives.”

Only a small number of insurance and financial services professionals are qualified for MDRT membership among 70 nations and territories around the globe. In addition to the production requirement, members must also demonstrate exceptional relevant professional knowledge and strict ethical conduct to provide customers with quality service.

AIA Hong Kong has a robust line up of activities to promote and encourage financial planners achieve MDRT membership, including the establishment of AIA Premier Academy in 2011 to cultivate elites for the insurance industry. Through a diverse range of structured training courses, AIA Premier Academy motivates and encourages financial planners to attain MDRT qualification. Moreover, AIA Hong Kong launched the AIA Premier Adviser programme last year to offer financial planners an extensive range of digital tools to help customers identify their needs and protection gaps, provide them with relevant information and advise them on appropriate solutions, thus exemplifying AIA Hong Kong’s unwavering belief in being customer-centric. Continuing development is also an indispensable undertaking for Premier Advisers as it helps to further their professional standards and enhance professional image. Therefore, qualified Premier Advisers who enrol in the series of exclusive executive certificate courses developed by AIA Hong Kong and the HKU School of Professional and Continuing Education (HKU SPACE) can receive full reimbursement of tuition expenses. The training courses will enrich their professional knowledge and help Premier Advisers customise comprehensive protection solutions to address customers’ needs and become their lifelong partners.

At the Group level, AIA Group Limited has secured the number one position in global MDRT rankings for a record nine years in a row.

Note:
* https://www.mdrt.org/about-MDRT/for-companies/ (as of 13 July 2023)

Hashtag: #AIAHongKong

The issuer is solely responsible for the content of this announcement.

About AIA Hong Kong & Macau

AIA Group Limited established its operations in Hong Kong in 1931. To date, AIA Hong Kong and AIA Macau have close to 18,000 financial planners1, as well as an extensive network of independent financial advisors, brokerage and bancassurance partners. We serve over 3.4 million customers2, offering them a wide selection of professional services and products ranging from individual life, group life, accident, medical and health, pension, personal lines insurance to investment-linked assurance schemes with numerous investment options. We are also dedicated to providing superb product solutions to meet the financial needs of high-net-worth customers.

1 as at 31 March 2023
2 Including AIA Hong Kong and AIA Macau’s individual life, group insurance and pension customers (as at 31 March 2023)

About AIA Group

AIA Group Limited and its subsidiaries (collectively “AIA” or the “Group”) comprise the largest independent publicly listed pan-Asian life insurance group. It has a presence in 18 markets – wholly-owned branches and subsidiaries in Mainland China, Hong Kong SAR(1), Thailand, Singapore, Malaysia, Australia, Cambodia, Indonesia, Myanmar, New Zealand, the Philippines, South Korea, Sri Lanka, Taiwan (China), Vietnam, Brunei and Macau SAR(2), and a 49 per cent joint venture in India. In addition, AIA has a 24.99 per cent shareholding in China Post Life Insurance Co., Ltd.

The business that is now AIA was first established in Shanghai more than a century ago in 1919. It is a market leader in Asia (ex-Japan) based on life insurance premiums and holds leading positions across the majority of its markets. It had total assets of US$303 billion as of 31 December 2022.

AIA meets the long-term savings and protection needs of individuals by offering a range of products and services including life insurance, accident and health insurance and savings plans. The Group also provides employee benefits, credit life and pension services to corporate clients. Through an extensive network of agents, partners and employees across Asia, AIA serves the holders of more than 41 million individual policies and over 17 million participating members of group insurance schemes.

AIA Group Limited is listed on the Main Board of The Stock Exchange of Hong Kong Limited under the stock code “1299” for HKD counter and “81299” for RMB counter with American Depositary Receipts (Level 1) traded on the over-the-counter market under the ticker symbol “AAGIY”.

(1) Hong Kong SAR refers to the Hong Kong Special Administrative Region.
(2) Macau SAR refers to the Macau Special Administrative Region.

EVYD and A*STAR Open Joint Lab with a S$10 million Multi-Institutional, Cross-Border Collaboration to Advance Artificial Intelligence (AI) for Population and Digital Health

SINGAPORE – Media OutReach – 13 July 2023 – EVYD Technology and the Agency for Science, Technology and Research (A*STAR) have established a joint lab to advance AI research for population health and digital health[1], to enhance healthcare solutions and drive positive impact for patients.

A signing ceremony to officiate the A*STAR-EVYD Joint Lab was held in Singapore to signify the commitment to develop AI solutions for population and digital health. Seated: From left to right: Dr Jiang Jinpeng, Vice President of Technology, EVYD Technology; Mr Rick Liang, President, EVYD Technology; Prof Lim Keng Hui, Assistant Chief Executive, Science and Engineering Research Council (SERC), A*STAR; Dr Su Yi, Executive Director, Institute of High Performance Computing (IHPC), A*STAR Standing: From left to right: Mr Chua Ming Jie, Chief Executive Officer, EVYD Technology; Mr Frederick Chew, Chief Executive Officer, A*STAR
A signing ceremony to officiate the A*STAR-EVYD Joint Lab was held in Singapore to signify the commitment to develop AI solutions for population and digital health. Seated: From left to right: Dr Jiang Jinpeng, Vice President of Technology, EVYD Technology; Mr Rick Liang, President, EVYD Technology; Prof Lim Keng Hui, Assistant Chief Executive, Science and Engineering Research Council (SERC), A*STAR; Dr Su Yi, Executive Director, Institute of High Performance Computing (IHPC), A*STAR Standing: From left to right: Mr Chua Ming Jie, Chief Executive Officer, EVYD Technology; Mr Frederick Chew, Chief Executive Officer, A*STAR

The A*STAR-EVYD Joint Lab aims to address various healthcare challenges through the application of AI. These include: (I) developing a health domain data collection and wellness score, supported by behavioural science to encourage the adoption of healthy habits like nutrition and mental well-being; (II) exploring a health concierge service that employs large language models in a healthcare context; (III) using remote health monitoring for early detection of health issues, enabling healthcare providers to optimise treatment plans, enhance patient outcomes and improve capacity planning; and (IV) streamlining diagnostic workflows and improving accuracy to assist clinicians in data interpretation and diagnostic evaluation.

In addition, the joint lab will contribute to addressing Singapore’s healthcare needs through the following efforts:

  • R&D in technologies aimed at tackling industry-specific challenges for population health and digital health;
  • Pilot testing and deploying innovative AI-driven medical data processing, secure data technologies for validated practical applications outside laboratory settings, increasing confidence levels to pave the way for large-scale adoption by stakeholders;
  • Facilitating knowledge sharing amongst the healthcare communities by organising workshops, seminars or conferences that bring together researchers, industry professionals and ecosystem stakeholders.Under the joint lab, EVYD Technology and A*STAR will embark on a S$10 million project to develop a platform for facilitating multi-institutional, cross-border collaborations in digital health. A*STAR’s Institute of High Performance Computing (IHPC) will lead this effort. The platform targets to tackle the regulatory limitations and concerns associated with data sharing across entities and borders. By incorporating secure data technologies such as AI-driven federated learning, healthcare entities can keep sensitive data within their own information technology infrastructures instead of transmitting it to a central server. Through such innovations, the platform aims to facilitate efficient collaboration among local and international healthcare providers, research institutions, and healthcare companies to co-create innovative healthcare solutions.

“The A*STAR-EVYD Joint Lab is a strategic collaboration that holds tremendous potential for transforming patient outcomes on a global scale. By leveraging artificial intelligence, advanced data processing techniques, and privacy-preserving technologies, EVYD Technology and A*STAR’s IHPC aim to push the boundaries of what is achievable in population health and digital health,” said Mr Ming Jie Chua, Chief Executive Officer, EVYD Technology

“The establishment of the A*STAR-EVYD Joint Lab will serve as a dynamic platform to foster collaboration with the healthcare community and facilitate cross-sector partnerships. Together, we will work towards advancing AI-driven digital health solutions that can enhance patient outcomes and population health. This partnership signifies A*STAR’s commitment to developing more AI applications in healthcare, to better address the evolving healthcare challenges of our time,” said Prof Lim Keng Hui, Assistant Chief Executive, Science and Engineering Research Council, A*STAR

____________________________________________________________________

[1] Population health refers to the health outcomes of a group of individuals and focuses on improving the overall health and well-being of a community, while digital health refers to the use of digital technologies to improve patient outcomes, enhance healthcare delivery and facilitate communication between patients and healthcare providers.

Hashtag: #EVYDTechnology #ASTAR #ASTAREVYDJointLab #PopulationHealth #DigitalHealth #ArtificialIntelligence


The issuer is solely responsible for the content of this announcement.

About EVYD Technology

EVYD is a Southeast Asia-based healthcare technology company with a vision to build a future where everyone can access better health. We leverage our deep expertise in healthcare data processing and AI to enable our partners to gain insights for informed decision making in healthcare and implement personalized health promotion, risk assessment and chronic disease management programmes at scale to improve population health outcomes.

For more information, visit .

About the Agency for Science, Technology and Research (A*STAR)

The Agency for Science, Technology and Research (A*STAR) is Singapore’s lead public sector R&D agency. Through open innovation, we collaborate with our partners in both the public and private sectors to benefit the economy and society. As a Science and Technology Organisation, A*STAR bridges the gap between academia and industry. Our research creates economic growth and jobs for Singapore, and enhances lives by improving societal outcomes in healthcare, urban living, and sustainability. A*STAR plays a key role in nurturing scientific talent and leaders for the wider research community and industry. A*STAR’s R&D activities span biomedical sciences to physical sciences and engineering, with research entities primarily located in Biopolis and Fusionopolis. For ongoing news, visit .

Follow us on
| | | |

Former U.S. Ambassadors to Laos Urge Biden to Revoke Cluster Munitions Support for Ukraine

Cluster Munition Exhibition at Cope Center, Laos. (Photo Credit: COPE).

Six former U.S. ambassadors to Laos sent an open letter on Wednesday to U.S. President Joe Biden expressing concern and disappointment on the country’s decision to supply cluster munitions to Ukraine.

China Business Knowledge White paper Series: The Unstoppable Rise of Sustainable Investing

Professors Darwin Choi, Gao Zhenyu, Jiang Wenxi and Jo Chanik, Department of Finance, CUHK Business School

HONG KONG SAR – Media OutReach – 13 July 2023 – We live in an era of the unprecedented and rapid warming of the global environment due to human activities. So far, global temperatures have already risen by 1.1 degrees Celsius above pre-industrial levels, and the world has also witnessed a rise in the number of extreme weather and climate events, particularly in 2022 which was dominated by headlines of heat waves in Europe, flooding in Australia and drought in China.

Sustainable investing is becoming increasingly popular.
Sustainable investing is becoming increasingly popular.

This fight against climate change will require firms and governments alike to commit unparalleled levels of financial resources and investment, but at the same time, a transition to a green economy can unlock future economic opportunities and jobs. For instance, sustainable investing is becoming increasingly popular as more and more people have come to realise the importance of a low-carbon economy. A recent report estimated that total ESG-related assets under management (AuM) will rise to US$33.9 trillion by 2026, from US$18.4 trillion in 2021.

Given that climate change is widely expected to become increasingly important to investors, in this CUHK Business School Research White Paper, we shall seek to examine how institutional and retail investors perceive the risks and opportunities associated with climate change and how they will react in response.

Investors Turn to Low-emission Companies

For example, with extreme weather becoming more frequent, people are becoming better aware of the seriousness of climate change after personally experiencing it. Can this translate into different performances on the stock market for companies depending on their carbon footprint?

We found that during abnormally warm weather, retail investors become more aware of climate change and sell stocks belonging to high-emission industries. Our research suggested that it is only by appealing to the personal and salient experiences of individuals can this challenge be most effectively tackled, such as by using maps to demonstrate how the potential rise in the sea levels as temperatures rise will affect everyone. We also expect that when the general population has a better understanding of the severity of global warming, the link between abnormal warm weather and stock prices would weaken.

Global temperatures have already risen by 1.1 degrees Celsius above pre-industrial levels, and the world has also witnessed a rise in extreme weather and climate events.
Global temperatures have already risen by 1.1 degrees Celsius above pre-industrial levels, and the world has also witnessed a rise in extreme weather and climate events.

Within the market, institutional investors are a segment whose decisions can have a great impact on the overall sentiment. How will these large-scale investors react to global warming?

Over 500 institutional investors with US$39 trillion in assets under management signed a statement in September 2022, advocating for governments to implement ambitious policies to combat the climate crisis effectively. Our results show that over the last two decades or so, large-scale investors have generally reduced their holdings in high-emission companies, from overweighting the stocks of high-emission firms, relative to the market, by 0.5 percent in 2001 to underweighting them by 0.2 percent to 0.7 percent since 2015. Our findings support the notion that institutional investors are generally becoming more aware of climate risks and actively avoid industries with high carbon footprints, similar to the case of so-called “sin” stocks such as tobacco, alcohol and gambling on ethical considerations.

Public Companies Reduce Carbon Footprint

While some investors adjust their investment decisions in response to climate change, companies also face mounting pressure to become more environmentally friendly. Can climate risks really affect the valuation of a firm on the stock market, and how does this translate into its business decisions on the operational level?

We took a look at the gap in stock market valuation that can exist between companies that are classified as high- or low-emission. Our results indicate that the valuation of high-emission firms has become lower than low-emission firms in recent years.

We found that when the valuations of high-emission firms fall, these same companies would respond by taking actions that lower their carbon emissions. In addition to reducing their carbon footprint, they would also increase the ratio of green patent fillings that allow them to operate in a more environmentally-friendly manner. We also found that private firms with large carbon footprints did not respond to climate change in the same way as their public counterparts, which may be due to the fact that they do not face similar divestment and price pressures directly.

Finally, previous studies have shown that climate change does affect the portfolio choices of institutional investors, but there is little information about its impact on the retail side. If companies with high carbon emissions come under pressure from investors, what happens to their employees? Do families working for high-emission industries face additional risk to their income streams and would they change their investment behaviours as a result?

We investigated the investment behaviour of households employed by companies in high-emission industries. We found these households tend to reduce their level of risk-taking behaviour due to concerns over their own income stream.

Consistent with our previous findings that personal experiences of global warming can update people’s beliefs about climate change, we further found that when people experience natural disasters, this intensifies the effect of regulatory risks on the investment behaviour of high-emission households. This may be because they anticipate tighter regulatory enforcement in the future.

Moreover, we found households employed in high-emission industries tend to be less wealthy, younger, and less well-educated. The implication is that climate regulations may reinforce wealth inequality by making less wealthy households less likely to take financial risk, in turn making it harder for them to accumulate wealth. Policymakers should thus seek to implement climate regulations that do not increase income risks for households employed in industries most affected by climate change regulations.

Sustainable investing is becoming mainstream in the investment world. Companies, regardless of their carbon footprint, need to understand its effects on their financial as well as operational well-being, as investor behaviour continues to evolve in the current era of heightened environmental awareness. In the future, we will continue to study the impact of climate change on investment and on the evolution of people’s perceptions about climate risks as it relates to financial markets. We also look forward to continuing to explore how finance as a discipline can help to contribute to combating climate change.

Learn more: https://cbk.bschool.cuhk.edu.hk/research-whitepapers/the-unstoppable-rise-of-sustainable-investing/

Hashtag: #CUHKBusinessSchool #ChinaBusinessKnowledge

The issuer is solely responsible for the content of this announcement.