CoPower issues green bond for Canadians

CoPower, an online platform for clean energy investing, has opened its first green bond to investors across Canada.

The bond is backed by loans to rooftop solar projects in Windsor, Ontario and Chesley, Ontario, and an energy efficiency project at the Harbourfront Centre in Toronto.

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Ethical and impact investing has been gaining momentum as investors increasingly consider the implications of what they own. In 2015, a total of US$2.5 trillion in global assets committed to divest from fossil fuels. In Canada, sales of green bonds went from zero to US$1.2 billion in 2014, says a report by think tank Sustainable Prosperity. However, most of these financial products have been accessible only to large institutional investors. Now, average Canadians can also earn financial returns while helping to build green communities.

CoPower’s green bond is backed by senior, secured clean energy infrastructure loans. Accessible at a minimum investment of $5,000, CoPower Green Bond I offers five per cent (5%) annual returns on a five-year term, blended distributions (principal and interest) paid quarterly, as well as reporting on both financial and impact performance.

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Active projects

CoPower partners with firms that specialize in installing solar and energy efficiency systems and lends to projects built by these partners. As these projects generate revenue by producing clean power, or by reducing the power used in a facility, the loan is repaid.

CoPower Green Bond I is backed by two loans to clean power projects that are already up and running:

1) Rooftop Solar Projects in Windsor, ON and Chesley, ON. These projects produce clean energy that is sold to the Ontario government under the Ontario Green Energy Act.

2) Energy Efficiency upgrades at the Harbourfront Centre in downtown Toronto. Senior loan to finance energy efficiency upgrades, including LED lighting and building automation. Savings on the energy bill are used to repay the loan, and also benefit Harbourfront Centre, a nonprofit cultural organization.

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Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.