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Green Bond, an investment with naturally protected capital…

… which supports the development of efficient energy housing in Luxembourg.

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Investing in our new Green Bond helps support sustainable housing development in Luxembourg as all the amounts invested will be allocated exclusively to the financing of energy-efficient residential housing in the Grand Duchy. The BIL Green Bond is a 5 Year investment, where you can benefit from rising interest rates.
This investment product is 100% capital protected at maturity by BIL SA.

How does the Green Bond work?

Every 3 months, you receive a coupon equal to the 3 Month Euribor Rate*, floored at 1.75% p.a. and capped at 3.50% p.a., (gross of fees, taxes and duties). Thus the minimum coupon you can receive each period is 1.75% and the maximum is 3.50%, (gross of fees, taxes and duties).

At maturity, you redeem 100% of the invested nominal.

*Note that the 3 Month Euribor Rate used to determine the coupon for each quarter is observed 2 business days before the applicable coupon period.

What are the Key Characteristics of the Green Bond?

Issuer BIL S.A.
Tenor 5 Years
Currency EUR
Issue Date XX/XX/2022
Maturity Date XX/XX/2022
Issue Price 100%
Minimum Investment EUR 1.000
Denomination EUR 1.000
Coupon p.a., (gross of fees, taxes and duties) 3M Euribor, floored at 1.75% and capped at 3.50%
Coupon Frequency Quarterly
Capital Protection 100% at maturity only

What are the key risks of investing in BIL’s Green Bond?

The capital protection only applies at maturity and the investor could receive less 100% of the invested nominal if the product is sold beforehand.

You are exposed to the credit risk of BIL SA as the product issuer.

BIL is committed to becoming a more sustainable bank. This is our belief. We have structured our organization to meet ESG challenges and have defined our sustainability strategy in 4 pillars:

Responsible governance
The desire to be a responsible employer
Responsible and sustainable products
The desire to have a positive impact on its environment and local communities

We are signatories of the “Principles for Responsible Banking” of the UNEP FI (United Nations Environment Program Finance Initiative), and adhere to the UN Global Compact principles

How are you assured of the properuse of your investment?

An independent consulting firm has been commissioned by BIL to define solid eligibility criteria for the housing units that will be financed.

BIL has set up a committee dedicated to green bonds, which will ensure that the eligible loans selected meet the defined criteria.

An allocation and impact report will be published annually.

An assessment of the environmental impact of the eligible portfolio will be carried out by an independent consulting firm.

Eligibility criteria for green housing in Luxembourg financed under the BIL green bond

Financing the renovation, acquisition and ownership of existing and/or future residential buildings in Luxembourg that meet at least one of the following eligibility criteria:

Buildings with an energy performance certificate (EPC) level at least equal to «A» or belonging to the 15% most energy-efficient buildings of the national building stock and demonstrated by adequate evidence (defined by an external consultant commissioned by BIL)

Buildings that will achieve or will have achieved, after renovation, a reduction in primary energy demand (PED) of at least 30% compared to the performance of the building before renovation or comply with the applicable requirements for major renovations of the EPBD (Energy Performance Buildings Directive)

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Do you want to invest?

Subscription fees may apply when investing in this product and exit fees may be applicable if you exit the product early. The information in this document should be read in conjunction with the product termsheet and/or KID before investing in this product.