T. Rowe Price kickstarts blue bond fund launch with $200m
T. Rowe Price has launched a bond strategy targeting exposure to the blue economy across emerging markets.
The T. Rowe Price Emerging Markets Blue Economy Bond strategy has been created in partnership with the International Finance Corporation (IFC), a member of the World Bank Group and both groups have seeded the fund alongside initial commitments from Xylem, a global water solutions company, and Builders Vision, a team of investors and philanthropists accelerating promising solutions across food and agriculture, energy and oceans. Total assets currently stand at $200m.
Focused on addressing the need for sustainable water management and ocean preservation, the fund will invest in corporate bonds in emerging markets that meet blue impact investment guidelines, developed jointly by T. Rowe Price and IFC. These investments will support projects including marine ecosystem conservation, wastewater treatment, coastal climate adaptation and clean water infrastructure.
The fund is co-managed by Samy Muaddi, head of emerging markets fixed income, and Matt Lawton, head of impact fixed income.
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Eric Veiel, head of global investments and CIO at T. Rowe Price, said “By aligning the strategy’s investment objectives with specific water-related United Nations Sustainable Development Goals, we are not only mobilising essential capital to protect and sustain our world’s precious water resources, but we are also demonstrating our commitment to managing innovative and impactful investment strategies.”
“The launch of T. Rowe Price Blue is a pivotal step in building a stronger blue economy – one that safeguards water resources, drives investment, and creates quality jobs across emerging markets,” added Mohamed Gouled, vice president, industries, IFC.
“The strategy will directly benefit from IFC’s Blue Finance Guidelines, which provide a clear framework for channelling capital into high-impact ocean and water projects. Together, they give investors both the investment products and roadmap to scale credible blue finance – transforming sustainable water management and ocean preservation into engines for resilience, employment, and long-term prosperity.”
This article originally appeared in our sister publication, Portfolio Adviser