ESG innovation of the year, funds and portfolios: GoldZero by Trovio
Set to launch this August, Trovio's GoldZero will be the first net-zero carbon emissions gold exchange-traded fund (ETF) on the Australian Securities Exchange (ASX). Developed along with Xpansiv CBL Markets, a voluntary carbon credit exchange, GoldZero will use its Global Emissions Offset (GEO) and Nature-Based GEO carbon offset products to ensure clients can invest in gold with carbon neutrality.
"GoldZero is the world's first carbon neutral gold ETF. Investors can now choose an investment product that meets global [environmental, social and governance] ESG standards, while retaining the underlying performance of gold as a store of value and inflation hedge," said Jon Deane, CEO of Trovio.
Trovios plan to create a myriad of other net-zero-carbon-emission products, all underpinned by the GEO contract.
GoldZero's innovation impressed the Environmental Finance Sustainable Investment Awards judges. "Transforming the oldest asset class in the world into an easily tradable digital version including carbon offset is truly innovative and a leading example of the nexus of sustainability, technology and finance," commented one. While a second added that it was a "very impressive approach to a traditionally 'dirty' asset. I like the joint focus on both institutional and retail and the full-life-cycle approach".
Originally launched in 2017, Trovio operates a blockchain-powered platform for the digitisation of assets including gold and other precious metals. In 2018 it launched the Perth Mint Gold Token, a token that allows users to trade and hold gold using blockchain technology that is backed by an Australian government guarantee on the underlying asset.