ASIC warns of scammers offering fake green bonds
The Australian Securities and Investments Commission (ASIC) today issued a warning of the existence of a number of fake green bonds.
In Australia, green bonds are not directly available to the general public or retail investors. Any website or entity claiming otherwise is a scam. Scammers may represent themselves as well-known financial services firms and invite people to invest in fictitious environmentally sustainable green bonds.
ASIC is aware of the existence of a number of fake green bonds. Green bonds are bonds that are used to finance new and existing projects that offer climate change and environmental benefits. They can be purchased by superannuation funds, fund managers, insurance companies and other wholesale entities, but are not directly available to the public.
Like other wholesale product offerings, green bonds may be available to purchase in a registered managed investment fund. However, they are not directly available to the general public or retail investors.
The regulator warns the public to watch out for people claiming to be from well-known companies who offer green bonds and to avoid people or companies that invite you to invest in ‘environmentally sustainable green bonds’ via social media or websites.
Before investing, share details including any disclosure document with your bank. This will help them check the legitimacy of the offer before transferring any funds.