LCH RepoClear SA has launched its first €GCPlus green basket, expanding on its existing €GCPlus triparty basket repo offering. In a press release, the Paris-based arm of LCH’s RepoClear revealed that the basket comprises of Euro denominated investment grade green bonds, delivered in collaboration with Euroclear.
The collateral taker will receive “bonds allocated by Euroclear within an eligible bond population, aligned with issuer-reported green bond reference data provided by Bloomberg”. Since merging LCH RepoClear and RepoClear Euro in July last year, LCH claims to be offering its members “alternative access to the world’s largest Euro cleared pool”. Net proceeds of the eligible bonds are expected to go towards financing environmental-related activities.