Tag Archives: green bonds

Rising Above the Noise in ESG: Green Bonds

The emergence of ethical and sustainable concerns and the need for environmental investing has come with a wide range of options for fixed income market participants to navigate. One approach has been to rely on evaluation metrics, or ratings that measure the environmental and social impact of companies’ operations. The main challenge of this approach Read more […]

Green Bond Market: October 2017

In October 2017, nearly USD 10 billion of green bonds were issued, bringing the total to USD 94 billion YTD (see Exhibit 1).  The pace was slower than the record USD 15 billion of issuance seen in September 2017; however, if history repeats itself, November 2017 may give us another record month.  Germany led the Read more […]

Sustainability Landscape in Brazil

At the annual ABRAPP (Associação Brasileira das Entidades Fechadas de Previdência Complementar, the organization representing pension fund managers in Brazil) conference, sustainability was one of the headline topics.  The conference allowed for in-depth discussions with Brazilian institutional investors, regulators, officials from B3 (formerly known as Bovespa and now the largest exchange in Latin America), trade Read more […]

Green Bond Market: September 2017

In the first three quarters of 2017, green bond issuance reached USD 83 billion, nearing the issuance reported by the Climate Bond Initiative for full-year 2016 (see Exhibit 1).  France accounted for 18% (USD 14.8 billion) of the issuance, driven primarily by the USD 7.6 billion sovereign bond issued by the country in January. Commercial Read more […]

ESG in India Today

Green infrastructure, especially clean and renewable energy, is at the heart of Indian ESG efforts today. Despite the U.S.’s withdrawal from the Paris Agreement, India stands with its commitments made at Paris. The Indian government’s commitment—in context of the recent ratification of the Paris Agreement—is to reduce emissions by 33% to 35% by 2030 and Read more […]

China’s Green Bond Markets

China has emerged as a global leader in green finance, especially green bonds, and from 2014 to 2016, it was the fastest-growing market in the region for sustainable investing.  The total amount of green-labeled bond issuances amounted to USD 93.4 billion at the end of 2016 and reflected strong China-based issuances (40% of labeled green Read more […]

Green Bond Update for May 2017

Green bond Issuance picked up in the first two weeks in May compared with the previous two-week period.  Twenty new green labeled bond offerings were announced, including 11 U.S. municipal offerings with maturity structure (215 unique instruments).  Issuance totaled USD 7.56 billion, of which USD 2.4 billion was in U.S. municipal bonds.  Of note, German Read more […]

Evolution of the Green Bond Market

Over the recent weeks, there has been much debate about the notable increase of issuance in the fledgling green bond market.  Indeed, green bond issuance ramped up significantly in 2016, and the accelerated pace is expected to continue this year.  Total issuance of bonds labeled as green in 2016 amounted to USD 92.9 billion, nearly Read more […]

The Green-Eyed [Bond] Monster

Green bonds are bonds created to fund projects with positive outcomes that are directly related to the environment. They include the following. “Use of proceeds” bonds and revenue bonds, which are designated for green projects. Green project bonds, the proceeds of which are earmarked for specific projects with positive environmental outcomes. Green securitized bonds, which Read more […]

New ESG concepts evolved; Decarbonization was the word in 2015

New concepts of ESG are evolving The biggest shift since the beginning of 2015 has been that the asset owner ideology has changed to involve concepts such as “Impact Investing”, “Natural Capital”, and “Universal Owner”. We have seen initiatives from pension investors that provoked a visible shift away from a purely financial viewpoint to one Read more […]