Highlights

  • Growing interest in ESG focused investments is causing demand for green bonds to outpace supply
  • Lack of consensus about labeling, certification and terminology highlights the need for investors to focus on the characteristics of each green bond and its issuer
  • How issuers track corporate bond proceeds suggest that municipal green bonds may provide more certainty about the proceeds’ sustainability impact
  • Financial and risk/return characteristics of green bonds and their conventional counterparts are similar

2991267.1.1