The $36.7 billion HSBC U.K. Pension Scheme plans to invest $328 million into British renewable energy. The bank’s pension plan will use the money to invest in wind farms and solar plants.
The pension plan will acquire operational solar plants and wind farms from British developers. Although HSBC has not decided which investments it will pursue, it aims to have a renewable energy portfolio that could power homes in an area equivalent to the size of Oxford.
“Renewable energy infrastructure can provide attractive risk-adjusted returns for investors seeking predictable cash flows derived from real assets over the long term,” said Russell Picot, chair of the trustee board, HSBC Bank Pension Trust (U.K.).