148.3K
Downloads
72
Episodes
Join us for a digest of the latest research, analysis and insights on the relationships between environmental social and corporate governance issues and global business, finance and society. In each episode, hear from experts sharing their insights on how institutional investors can identify and mitigate risks related to ESG factors, but also leverage opportunities in sustainable investment and debt capital markets. This is ESG in Conversation.
Episodes
Thursday May 19, 2022
Thursday May 19, 2022
Episode Summary
Hosts
- Nicholas Gandolfo, Director, Corporate Solutions
- Aditi Bhatia, Regional Sales Manager, Corporate Solutions
In our latest episode, we have a round-up of recent developments in the global sustainable finance market. From innovative instruments for financing conservation efforts to growing ESG activity in the private equity space, to a new taxonomy for social bonds, our hosts Nick and Aditi have you covered. Check out the highlights below or listen to the full episode wherever you stream your podcasts.
Social Bonds in the Spotlight
There have been some key market developments in recent months. The Platform on Sustainable Finance published its report on the EU’s Social Taxonomy providing clarification on the types of investments that would be considered socially sustainable and proposing a structure for a social taxonomy. Overall activity in social bonds issuance appears to be declining compared to recent years. This is partly due to market stabilization following a surge of issuance during the height of the pandemic and social use of proceeds frequently being included in sustainability bonds frameworks which cover both green and social projects. However, there is growing diversity in the types of social factors being addressed as more issuances come to market related to matters around gender, race, and LGBTQ issues.
Rhino Bonds: Market Innovation Support Conservation Efforts
This new form of social impact bond was recently issued by the World Bank. The USD 150 million “rhino bond” or Wildlife Conservation Bond will help to fund conservation efforts for the black rhino population in South Africa. The Rhino Bond channels investments to achieve specific conservation outcomes with proceeds being used to help staff in national parks battle poachers and improve conditions for the animals. This bond offers a new model to finance conservation efforts by directly linking the outcome of rhino conservation to investor payouts, and investment success. You can read more about the bond issuance here.
Recommended Reading
Nick once again provides a list of his recommendations for reports on ESG, sustainable finance, climate change, and transition issues.
- ACT Transition Methodologies
- Climate Bonds Initiative – Green Bond Pricing in the Primary Market
- Climate Bonds Initiative – Global Green Taxonomy Development, Alignment, and Implementation
- Taskforce on Nature-related Financial Disclosures – TNFD Nature-Related Risk & Opportunity Management and Disclosure Framework – beta v0.1
- GRI – Sector Standard for Coal
- IPCC – Sixth Assessment Report
- Environmental Finance – Sustainability-Linked Bonds and Loans KPIs
- Luxembourg Stock Exchange – Trends and Characteristics of the Sustainability-Linked Bond Market
- Science-Based Targets – Guidance for Financial Institutions
- Platform on Sustainable Finance – Final Report on Social Taxonomy
Gain Insight on the Material ESG Issues Companies Face and Approaches for Effective Management
Are you aware of the material ESG issues facing your company? Do you know how to effectively address them? Watch our recent webinar, Addressing Key Corporate ESG Issues: Lessons From Industries With High ESG Risk. Our panel of ESG sector analysts provide insight on the material ESG issues facing five high risk sectors. Learn how companies with high exposure to ESG risk manage their most material issues and how you can too.
Key Moments
0:00:46 |
Market overview |
0:01:11 |
Ongoing market growth |
0:01:14 |
Sustainable bonds in emerging markets |
0:01:24 |
ESG performance and bond premiums |
0:01:49 |
Social bond market under threat? |
0:02:46 |
ESG activity in private equity |
0:03:07 |
Implications for Ukraine conflict on green transition |
0:03:49 |
Prevalence of sovereigns in ESG transactions |
0:04:05 |
Sustainable securitization |
0:04:44 |
Just transition |
0:05:23 |
Gender-themed social bonds |
0:05:56 |
Continuing conversation around greenwashing |
0:06:31 |
Big pharma going green |
0:07:06 |
Rhino bond |
0:08:32 |
SBTi – public consultation on cement |
0:08:48 |
Social Taxonomy Report |
0:10:00 |
ACT Transition Methodologies |
0:10:07 |
CBI bond pricing report |
0:10:13 |
CBI report on taxonomies |
0:10:29 |
TNFD beta report |
0:10:57 |
GRI sector standard for coal |
0:11:15 |
IPCC assessment report |
0:11:33 |
Environmental Finance SLL/ SLB metrics report |
0:12:00 |
SLB overview |
0:15:52 |
SLL overview |
0:18:02 |
Audience questions |
0:22:05 |
Green bonds overview |
0:28:16 |
Green loans overview |
0:29:33 |
Social bonds overview |
0:31:45 |
Labeled products, transition, and regulatory overview |
Links to Select Resources
- International Monetary Funds – Sustainable Finance in Emerging Markets is Enjoying Rapid Growth, But May Bring Risks
- Funds Europe – Stronger Ranked ESG Companies Receive Market Premium
- PitchBook – On the podcast: The ABCs of ESG for PE Firms
- Global Capital – EBA’s Sustainable Securitization Ideas ‘Level the playing field’, says Afme
- International Banker – The Role of Banking in a Just Energy Transition
- Impact Alpha – Social Bonds Direct Proceeds to Racial Equity as the “S” Gains Prominence in ESG
- Sustainalytics SPOs:
- Government of Chile Sustainability-Linked Bond Framework Second Party Opinion
- L’Oréal Sustainability-Linked Financing Framework Second Party Opinion
- Government of Canada Green Bond Framework Second Party Opinion
- Pepper Money Limited Green Bond Framework Second-Party Opinion
- TAG Immobilien AG Sustainable Finance Framework Second-Party Opinion
- Mosaic Solar Green Use of Proceeds Securitized Bond
- New York Power Authority Green Bond Pre-Issuance Review
- Marui Group Social Bond Framework Second-Party Opinion
Comments (0)
To leave or reply to comments, please download free Podbean or
No Comments
To leave or reply to comments,
please download free Podbean App.