IFM Investors invest money on behalf of more than 550 institutions worldwide - and lots of these are Aussie industry super funds.
Background: IFM Investors are an investment company slash fund manager that started around 25 years ago. And this crew invest money on behalf of more than 550 institutions worldwide - and lots of these are Aussie industry super funds.
What happened: Now, IFM have committed to deposit $200 million into a term deposit with CommBank - Australia's biggest bank.
What else: But there's a 'lil caveat on this one. CBA can't dish this cash out willy nilly - it can only be used to fund sustainability-linked loans.
💡When a bank receives money from you (let's say $10k), they will lend that money out to someone else. That's how they make money. They could lend to someone looking for a personal loan, or a mining company looking to fund its next big project.
💡But in this case, it's a little different. The IFM term deposit means the bank will exclusively allocate their funds to sustainability-linked loans.
💡Sustainability-linked loans are loans that offer corporate borrowers cheaper loans in exchange for hitting non-financial targets (this could be environmental targets, Indigenous employment or gender diversity).
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