Citywire
Homaio veut démocratiser les quotas d’émissions européens
Give your clients access to a new, high-performing asset class with a real impact on climate change.
European Union Allowances (EUAs) have grown by 25% per year, on average, over the past 10 years. This makes them one of the top performing asssets of the past decade. At the heart of Europe’s energy and climate policy, it is a deflationist asset with a capped and decreasing supply.
The European Union Emissions Trading Scheme (EU ETS) is one of the fairest and most efficient mecanism to reduce emissions on a systemic pace and scale. It covers over 11.000 industrial installations throughout Europe, and reduced emissions by over 47% since its creation in 2005.
EUAs are a financial asset udner MiFID 2, and are continuously traded on energy markets. The annual trading volume is around 800 billion euros, or roughly 3 billion per day. This ensures private investors can buy and sell their assets on a whim, while contributing to a stable and robust market environment.
EUAs have a very low positive correlation to major asset classes like stocks or bonds. Their price fluctuations are largely independent from the market as a whole, depending on supply fundamentals and demand dynamics driven by weather patterns, energy prices, or industrial abatement costs. This makes EUAs an invaluable addition to a balanced portfolio.
RESOURCES
Our knowledge base will help you decrypt emissions markets, follow market trends, and answer your client’s questions.
SUBSCRIPTION
Our digital subscription experience enables you to onboard your clients and validate their KYC or KYB seamlessly, in a few short minutes.
Management
Toggle between a firm-wide overview and an individual client view. Find all the information you need and their supporting documents.
FEE STRUCTURE
Manage your business and revenues
Consult the fees accrued for your firm as a while or for each member of your team.
reporting
Select the frequency and format of the reports you like to receive and control the way you communicate with your clients, without changing your existing processes or habits.
Investor platform
Your clients can also benefit from their own access to an online interface from which they can monitor their investments.
Integrate our products direcyly on your investment platform or wealth management application, and keep control over the entire client flow, from account creation to divestment.
Homaio is a French company based in Paris, France. It crafts climate grade assets, combining environmental and financial performance by design. Homaio adresses climate conscious private investors seeking to build their wealth while having a real, demonstrated climate impact. You can see the profile of our team members and shareholders on our dedicated page.
European Union Allowances (EUAs) are the trading unit of the European Union Emissions Trading Scheme (EU ETS). The EU ETS is the largest and most sophisticated carbon pricing mechanism in the world, and has been the backbone of Europe's climate and energy policy since 2005. EUAs are liquid financial instruments with indefinite validity and a capped, decreasing supply. They represent the right to emit one ton of CO2 equivalent within the EU ETS.
Your clients are subscribing to corporate bonds issued by a French limited company. It is this issuing company that purchases and holds the number of EUAs corresponding to their subscription amount. The value of the EUA-backed bonds fluctuates according to the value of the underlying EUAs. The issuing company holds the EUAs in an account opened in its name in the European Registry of the EU Emissions Trading System. There are no coupons associated with the bonds issued. Any gains or losses from will be realized upon the redemption of the bonds.
Bonds backed by EUAs are a risky investment, with a risk of partial or total loss of the capital invested. EUA prices vary according to multiple factors, including energy markets, weather patterns, macroeconomic data, and political support in favor of decarbonation. Ensure that this matches the risk preferences of your clients.
Investors are protected by the presence of a security agent, Aether Financial Services (AFS). AFS is an independent financial agent and payment service provider regulated by the ACPR (REGAFi identifier 728021).They hold pledges of Homaio's bank and EU Registry trading accounts. They are charged with the protection of investors in case of a default of Homaio. In all cases, your investment remains secure.
Leverage our team’s deep expertise in climate finance, technology, and public affairs to give your clients access to unique investment opportunities that combine impact and return, by design.
We would be happy to answer any question and walk you through the different ways we could work together.
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