- Advertisement -
- Advertisement -

Related

The Path Less Travelled: Understanding Corporate Green Bonds

Latest Report

- Advertisement -

By Adam Scriven and Edward Hoyle, Man AHL: Green bond issuance has increased dramatically in the last five years. But how do corporate green bonds compare quantitatively to their non-green counterparts?

Introduction

In our ‘Path Less Travelled’ series on multi-asset sustainable investing, we explore in depth various asset classes. Having previously considered responsible investing in relation to commodities and government bonds, here we examine the role of investment grade (IG) corporate green bonds. Specifically, we look at those bonds that adhere to the ICMA Green Bond Principles1, a widely adopted framework that ensures green bonds live up to their name.

Investors looking to supplement their portfolio with green bonds may wonder how such securities differ quantitatively from conventional debt. What are the structural differences (if any) of the green debt market? Do they have similar yields and risk characteristics? A common perception about green bonds is that demand outstrips supply, but is this true? And what about the so-called green premium or ‘greenium’ effect, where investors accept lower yields in return for holding sustainable debt?

Let’s dive in.

Read the full article here.

Subscribe to HedgeBrev, HedgeNordic’s weekly newsletter, and never miss the latest news!

Our newsletter is sent once a week, every Friday.

Man Group
Man Grouphttp://www.man.com
Man Group is a global, technology-empowered active investment management firm focused on delivering alpha and portfolio solutions for clients. Headquartered in London, we manage $151.7 billion* and operate across multiple offices globally. *As at 30 June 2023.

Latest Articles

Mapping the Finnish Hedge Fund Landscape

Beyond operating as a media platform, HedgeNordic maintains an extensive database of Nordic hedge funds and related data. Although the data is not without...

Quirky Questions for Serge Houles (Tidan Capital)

Not every conversation in the hedge fund world needs to revolve around alpha, Sharpe ratios, or fund flows. In the ongoing Quirky Questions series,...

Quirky Questions for Mette Østerbye Vejen (Caba Capital)

Not every conversation in the hedge fund world needs to revolve around alpha, Sharpe ratios, or fund flows. In the ongoing Quirky Questions series,...

Solid First-Half Finish for Nordic Hedge Funds

Nordic hedge funds wrapped up the first half of the year on a solid note, delivering an average gain of 1.4 percent in June....

Brevan Howard Winds Down Volatility Fund Managed by Ville Helske

Brevan Howard Asset Management is winding down a volatility-focused hedge fund run by high-profile Finnish portfolio manager Ville Helske. Helske, formerly Head of Allocation...

Ymer to Launch Fourth CLO Fund with Proven Strategy and Structure

Building on the track record of three previous credit funds, Swedish alternative credit specialist Ymer SC AB is preparing to roll out its fourth...

Allocator Interviews

In-Depth: High Yield

Voices

Request for Proposal

- Advertisement -
HedgeNordic
Privacy Overview

This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.