China has made it easier for foreign investors to invest in environmental technologies and commit capital to venture capital funds in the country, with the first revision of its Foreign Investment Catalogue since 2007.

The UK Environmental Agency’s £1.6 billion ($2.6 billion) pension fund has reduced its environmental footprint while boosting performance, its manager reported this week.

‘Green bonds’ are set to fill most of a €2.9 trillion ($3.9 trillion) capital hole required to build low-carbon infrastructure in Europe from 2011-20, according to a report by Barclays and consultancy Accenture.

The value of environmental bond issuance could reach $10 billion by the end of next year, a developer of green financial products said, but warned a clear and transparent framework is necessary to foster the growth of the asset class.

UK climate change minister Greg Barker launched an initiative this week to put London at the heart of low-carbon investment.

Pedro Moura Costa, co-founder of emissions reduction project developer EcoSecurities, has launched an investment company that will finance sustainable businesses in the Amazon.

The climate change investment theme has underperformed since the Copenhagen climate talks, according to HSBC – giving the lie to commentators who suggested the dismal outcome of the negotiations would have little impact on low-carbon investment.

Pension funds and insurance companies must raise their investments in clean energy infrastructure if the EU is going to have a chance of meeting its targets for renewable energy capacity and carbon reduction, a panel of investors said last month.

Investors expect that 2010 will see a boost to investment in low-carbon technologies, on the back of expected progress towards a post-2012 climate change regime, continuing economic recovery and the accelerating disbursement of government stimulus cash.

A study is underway to examine how water shortages and climate change could affect the value of US municipal bonds.

Impax Asset Management has raised £102 million ($170 million) into its Asian Environmental Markets fund – making it the largest closed-end listed investment trust raised in London since July 2008, according to its book-runner.

Investment manager Climate Change Capital (CCC) is pulling out of listed equities, after its loss-making unit failed to perform as well as expected.

Leapfrog, a UK charity that aims to channel free specialist assistance to emission reduction and clean technology projects, aims to be providing input worth around £12 million ($19 million) a year to at least 100 projects, within three years.

UK-based investment manager Impax Asset Management is to list an investment trust focused on environmental companies in the Asia-Pacific region.

Cheviot Asset Management is planning to launch what it hopes will be the first of a series of sustainability-orientated investment funds in October with £20 million ($33 million) in commitments, according to its recently appointed portfolio manager.

The Leapfrog initiative, which aims to provide specialist volunteers to help bring emission reduction and clean technology projects to fruition, is moving ahead on several projects and is planning a formal launch on 24 September.