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Securitisation in green finance

Securitisation is the creation of an investment product. It is a bundle a number of different assets together. The concept is now being applied to green investments. For example, electric vehicle loans of varying terms and interest rates can be securitised with the investors benefiting from the repayments made by the individual car owners. A big advantage of securitisation is it lowers the risk of investments and also makes the invest bigger.

Security Token Offerings (STO's) are digitalised security tokens which can be exchanged for real financial assets. STO's are classified as securities, which makes them more liable to regulations. Such regulations include that they must be transferable, have rights like a security & have the ability to be traded on the market. This makes them a more secure investment alternative than Initial Coin Offerings (ICO's). STO's have the potential to deliver significant efficiencies and help save on costs. An example of a STO service provider is Black Manta (https://blackmanta.capital/) To make it real & get a glimpse of the future, see this article about how $12 million of German real estate was tokenized.

If you are interested in an STO we have partners who can assist. Talk to us on 01 55 636 55 or email hello@greenloans.ie



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