The Sustainable Finance Market Insights podcast series is produced by Sustainalytics’ Sustainable Finance Solutions team. With this series, we deliver piping hot insights on the latest news and developments in the sustainable finance space.
Jump to:
Episode 1 | Episode 2 | Episode 3 | Episode 4 | Episode 5 | Episode 6 | Episode 7 | Episode 8 | Episode 9 | Episode 10 | Episode 11| Episode 12 | Episode 13 | Episode 14 | Episode 15
Episode 15 (February 2021 Highlights)
In our new episode, Nick and Cheryl share insights on recent market developments and trends such as questions about the ambitiousness of some sustainability-linked bond targets, implications of SFDR on investor and company reporting as well as some interesting green, social, sustainability and sustainability-linked transactions.
If you would like to ask a question to be featured in a future episode, please email podcast@sustainalytics.com
Hosts:
- Nick Gandolfo, Director, Sustainable Finance Solutions
- Cheryl Tay, Senior Associate, Sustainable Finance Solutions
Links to select resources:
- Monetary Authority of Singapore: MAS Launches World's First Grant Scheme to Support Green and Sustainability-Linked Loans
- The Asset Triple A Sustainable Capital Markets Regional Awards 2020 – Best Second-Party Opinion Provider
- 2021 Trends Podcast Episode: Apple | Google | Spotify
- Sustainalytics: 10 for 2021: Investing in the Circular Economy
- Nasdaq: The ESG Market Could Explode This Year
- Environmental Finance: Combing Sustainability-Linked and Green Bonds Would Be ‘More Impactful’
- WWF – Dasgupta Review on the Economics of Biodiversity Report
- Sustainalytics: EU Sustainable Action Plan Resource Center
- ING: Singapore Green Plan 2030 – Important Steps Toward a Sustainable Future
- ICMA: Sustainability-Linked Bond Principles – Related Questions
- The Australian: Altech targets US$144m raise from listed green bond
- Hines: Hines and ING Agree First Green Loan Facility
- Reading on transition
- ICMA: Climate Transition Finance Handbook
- CBI White Paper: Financing a Credible Transition
- Sustainalytics: Transition Bond SPO (see under ‘Related Resources’)
- Transition Pathways Initiative: https://transitionpathwayinitiative.org/
- IEA: https://www.iea.org/topics/clean-energy-transitions
- SBTi: https://sciencebasedtargets.org/
- Sustainalytics: Sustainability-Linked Bonds SPO Backgrounder (see under ‘Related Resources’)
- JP Morgan: JPMorgan Chase Issues $1billon Inaugural Social Bonds
- Asia Development Bank: ADB Issues First Gender Bond in Kazakhstan Tenge
- Carlyle: Announces Largest ESG-Linked Credit Facility in the US at $4.1 Billion and First-Ever Exclusively Tied to Board Diversity
- Business Green: Low Carbon Aluminium Producer Rusal Agrees $200m Sustainability-Linked Loan
- Thai Union: Thai Union Launches Inaugural Sustainability-Linked Loan
- SNAM: Successfully Launched A Dual-Tranche Transition Bond For 750 Million Euros
Sustainalytics SPOs
- Alibaba Group Sustainable Finance Framework
- SCSK Corporation Green Finance Second-Party Opinion
- Trinity Industries Leasing Company Green Financing Framework Second-Party Opinion
- H&M Sustainability-Linked Bonds Second-Party Opinion
- Constellium Sustainability-Linked Financing Framework Second-Party Opinion
Episode 14 (January 2021 Highlights)
In this episode, Nick and Cheryl discuss some of the key sustainable finance deals and transactions from the beginning of the year. Environmental Finance released its annual Sustainable Bonds Insights report, which highlights a record year for green, social, sustainability and sustainability-linked bonds with more than 602 billion in issuance in 2020. Also of note in the report is that Sustainalytics continues to be a market leader with more than 30% of market share among opinion providers (based on number of issuers).
If you would like to ask a question to be featured in a future episode, please email podcast@sustainalytics.com
Hosts:
- Nick Gandolfo, Director, Sustainable Finance Solutions
- Cheryl Tay, Senior Associate, Sustainable Finance Solutions
Links to select resources:
- Environmental Finance: Sustainable Bonds Insights 2021
- CBI: Record $269.5bn green issuance for 2020 (includes themes for 2021)
- Sustainalytics: 2021 Outlook podcast episode
- BlackRock: Larry Fink 2021 letter to CEOs
- Pension Age: Cushon launches ‘world’s first’ Net Zero Now pension
- Portfolio Earth: Bankrolling Extinction
- Environmental Finance: Are green bonds funding the transition?
- Environmental Finance: Green Bond Funds - Impact Reporting Practices 2020
- CBI & HSBC: Sovereign Green, Social and Sustainability Bond Survey
- Sustainalytics Country Risk Ratings
- Science-Based Targets: From Ambition to Impacts
- Sustainalytics Sustainability-Linked Bonds methodology (bottom of page)
- Hellenic Shipping News: The Poseidon Principles Disclosure Report is good, but the disclosure could have been better
- Responsible Investor: Experts question credibility of the world’s first official transition bond despite high investor demand
Sustainalytics SPOs:
- Central China Real Estate Limited Green Finance Framework
- BDO Sustainable Finance Framework
- Hudson Green Financing Framework
- Trinity Industries Leasing Company Green Financing Framework
- CSCDA Community Improvement Authority Social Bond Framework
- New World Development Green Finance Framework
- Seaspan Sustainability-Linked Bond
Episode 13 (2021 Outlook)
In this special episode, Nick and Cheryl gaze into their crystal ball and discuss want could be on the horizon in the world of sustainable finance for 2021. They also take a deeper dive into Sustainalytics’ recently published thematic research report “10 for 2021: Investing in a circular food economy” and how the themes covered in the report intersect with sustainable finance.
If you would like to ask a question to be featured in a future episode, please email podcast@sustainalytics.com
Hosts:
- Nick Gandolfo, Director, Sustainable Finance Solutions
- Cheryl Tay, Senior Associate, Sustainable Finance Solutions
Links to select resources:
Sustainalytics' client work:
- TESCO Sustainability-Linked Bond Second-Party Opinion
- Starbucks Sustainability Bond Second-Party Opinion
- Olam: Olam International secures Asia’s first sustainability-linked club loan facility for US$500 million
- BNP Paribas: Danone’s Positive Incentive Financing Strategy
- UOB/Wilmar: UOB extends US$200 million sustainability-linked loan to Wilmar in support of agricultural sustainability in Asia
- COFCO: COFCO International links sustainability performance to new USD2.1 billion credit facility
Episode 12 (December Highlights)
To round out 2020, Nick and Cheryl provide an overview of the deals and developments that occurred in December. Of note is that 2020 appears was the year of the social bond with approximately EUR 130 billion issued. They also touch on developments around the EU Taxonomy, the fifth anniversary of the Paris Climate Agreement, and what the new US administration could mean for environmental protections and sustainable finance. As always, the episode includes a rundown of notable transactions from around the globe.
If you would like to ask a question to be featured in a future episode, please email podcast@sustainalytics.com
Hosts:
- Nick Gandolfo, Director, Sustainable Finance Solutions
- Cheryl Tay, Senior Associate, Sustainable Finance Solutions
Links to select resources:
Sustainalytics SPOs:
Episode 11 (November Highlights)
In this last episode for 2020, Nick and Cheryl provide an update on recent market developments including an overview of a recent market conference in Australia, the ‘greenium’ for green, social and sustainability bonds, and the potential consequences of the EU green bond standard on corporate issuances. They also provide a round-up on recent market transactions and answer some listener questions.
If you would like to ask a question to be featured in a future episode, please email podcast@sustainalytics.com
Hosts:
- Nick Gandolfo, Director, Sustainable Finance Solutions
- Cheryl Tay, Senior Associate, Sustainable Finance Solutions
Links to select resources:
- Banking & Finance: Hype over ESG social bond sale grows after bumper demand at debut
- Environmental Finance: Are banks really going green or just greenwashing?
- Environmental Finance: Are banks really going green, or just greenwashing, Part two
- Environmental Finance: Green Bond Standard 'may lead to fewer issuance'
- BunkerSpot: Climate Bonds Initiative launches shipping investments criteria
- I&PE: ESMA launches consultation on taxonomy KPI reporting
- Malay Mail: UK to sell its first 'green' bond in 2021, says Sunak
- BloombergQuint: China Opens Its Bond Market—With Unknown Consequences for World
- Global Compliance News: Indonesia Sustainability Series: Obligation to Submit Sustainability Report in 2021
Sustainalytics SPOs:
Episode 10 (October Highlights)
As our Sustainable Finance Insight series hits 10 episodes, Nick and Cheryl discuss developments and deals over the months of September and October. One notable milestone was the delivery of Sustainalytics’ 500th SPO in October. Check out our retrospective on the sustainable bond market. The Climate Bond Initiative also noted that green bond issuance has surpassed USD 1 trillion and sustainable finance issuance has topped USD 2 trillion since inception.
In addition to market updates, Cheryl and Nick answer some listener questions. Submit your questions to podcast@sustainalytics.com.
Hosts:
- Nick Gandolfo, Director, Sustainable Finance Solutions
- Cheryl Tay, Senior Associate, Sustainable Finance Solutions
Links to select resources:
- CBI market growth:
- ICMA Quarterly Newsletter - Sustainability-Linked Bond from External Review Perspective
- ICMA response to the EC consultation on the EU Green Bond Standard
- Increasing sustainable bond market scrutiny
- Environmental Finance: Science Based Targets initiative launch finance sector framework
- BCG: Why the new competitive advantage demands sustainability (Sustainable Business Model innovation)
- Nordea: Lessons from the infant sustainability-linked bond market
- Wall Street Journal: Companies test a new type of ESG bond with fewer restrictions
- OECD: Developing Sustainable Finance Definitions and Taxonomies
- I&PE: International sustainable finance forum starts taxonomy work, gains IMF
Sustainalytics SPOs:
- adidas Sustainability Bond Framework Second-Party Opinion
- EU SURE Social Bond Framework Second-Party Opinion
Episode 9 (September Highlights)
In this episode, Nick and Cheryl note that the cumulative volume of green bond issuance globally has surpassed $1 trillion. They also discuss the Climate Bonds Initiative’s annual conference, which focused heavily on the theme of transition finance. In addition, they note pledges from China and South Korea to become carbon neutral by 2050 and 2060 respectively, and provide updates on developments in sustainable finance and corporate sustainability commitments.
Hosts:
- Nick Gandolfo, Director, Sustainable Finance Solutions
- Cheryl Tay, Senior Associate, Sustainable Finance Solutions
Links to select resources:
- AIIB & Amundi: Climate Change Investment Framework
- BP: 2020 Energy Outlook report
- World Economic Forum & Deloitte: Summary of alignment discussion among leading sustainability and integrated corporate reporting organization CDP, CDSB, GRI, IIRC and SASB
- Environmental Finance: Defining transition finance: how to be inclusive yet specific
- International Energy Agency: Energy Technology Perspectives 2020
- Hellenic Shipping News: The Poseidon Principles: Shipping emissions reduction efforts steer into new waters
- GRI Universal Standards
- GRI Sector Standard: Oil and Gas
- Natixis CIB: Report on EU Taxonomy for sustainable activities
Sustainalytics SPOs
Episode 8 (August Highlights)
In this episode, Nick and Cheryl discuss the smorgasbord of activity in the sustainable finance space, noting an increasing diversification among issuers, use of proceeds and deal structures. This as monthly green bond issuance peaked in the month of July at USD$20 billion.
Hosts:
- Nick Gandolfo, Director, Sustainable Finance Solutions
- Cheryl Tay, Senior Associate, Sustainable Finance Solutions
Links to select resources:
- ING: Asia’s lamentable green Covid-19 response
- Morningstar: Sustainable Fund Flows Hit Record in Q2
- Harvard Business Review: The Challenge of Rating ESG Performance
- Sustainalytics’ public company ESG Risk Ratings
- S&P Global: Growing supply chain focus prompts interest in nascent form of ESG finance
- Sustainalytics: ESG Risk Ratings Licence
- Oxfam: Making Green Bonds Work
- Climate Bonds Initiative: Agriculture Criteria
- Global Impact Investing Network: R3 (Response, Recovery, and Resilience) Investment Coalition
Episode 7 (July Highlights)
In this episode, Nick and Cheryl share updates on the notable deals and developments over the month and share insights on market developments over the first half of the year.
Hosts:
- Nick Gandolfo, Director, Sustainable Finance Solutions
- Cheryl Tay, Senior Associate, Sustainable Finance Solutions
Links to select resources:
- Environmental Finance: Sustainable debt market transformed by Covid-19 impact in H1
- BBVA: How sustainability-linked bonds will breathe life into the market
- Environmental Finance: KPI-linked bonds webinar: Investors want 'Paris alignment'
- Sustainalytics’ company ESG ratings are now public: www.sustainalytics.com/esg-ratings
- Bloomberg: MetLife Makes Green Bond Sale Debut as Financials Pave the Way
- ESI Africa: Nedbank accounts for green bonds launched in South Africa
- Bangkok Post: Govt to offer B30bn of green bonds in August
- GlobalCapital: Moncler find fit for EU 400m sustainability-linked loan
- Environmental Finance: World Bank launches EM green taxonomy development guidelines
Episode 6 (June Highlights)
In this episode, Nick and Cheryl note the uptick in social bond issues compared to this time last year. At the end of May global social bond issues amounted to USD 30.4 bn compared to USD 17.3 bn for the entirety of 2019.
Hosts:
- Nick Gandolfo, Director, Sustainable Finance Solutions
- Cheryl Tay, Senior Associate, Sustainable Finance Solutions
Links to select resources:
- Lexology: Sustainable Finance 2.0: Recent Developments in the Loan Market
- International Capital Market Association (ICMA) updates
- Climate Bonds Initiative (CBI): China Green Bond Market report
- Business Standard: State Bank of India plans to raise up to $1.5 bn via overseas bonds in FY21
Episode 5 (May Highlights)
In this episode Nick and Cheryl are joined by Zach Margolis, Project Manager on our Sustainable Finance Solutions to discuss some notable Green Bond transactions over the month.
Hosts:
- Nick Gandolfo, Director, Sustainable Finance Solutions
- Cheryl Tay, Senior Associate, Sustainable Finance Solutions
Guests:
- Zach Margolis, Project Manager, Sustainable Finance Solutions
Links to select resources:
- Second-Party Opinions on Transition Bonds
- South China Morning Post: Green bonds gain popularity, a defensive bet as coronavirus pandemic weighs on markets, investment managers say
- Environmental Finance: Leading academics outline climate-friendly Covid-19 recovery proposals
- The Edge Markets: World’s economists agree economic stimulus ought to be green
- New Guidance in the Market
Episode 4 (April Highlights)
In this overview of the noteworthy deals and developments in sustainable finance in the month of April, Nick and Cheryl are joined by Lili Hocke, who addresses some of the common questions we have received from issuers regarding COVID-19 related social bonds. Molly Stern also joins the episode to provide an update on regulatory developments in Europe.
Hosts:
- Nick Gandolfo, Director, Sustainable Finance Solutions
- Cheryl Tay, Senior Associate, Sustainable Finance Solutions
Guests:
- Lili A. Hocke, Product Manager, Sustainable Finance Solutions
- Molly Stern, Manager, Sustainable Finance Solutions
Links to select resources:
- Press release: Morningstar acquires Sustainalytics
- Blog: Responding to Coronavirus through social bonds
- Politico: Follow the green money as coronavirus spreads
- Truthout: A Big Oil Bailout Would Be the Opposite of the Green New Deal We Need
- Climate Bonds Initiative:
- Environmental Finance: What makes a good corona-bond?
- Climate Works Australia: Decarbonisation Futures: Solutions, actions and benchmarks for a net zero emissions Australia
- Ministry of Economic Trade and Industry (METI): Concept Paper on Climate Transition Finance Principles
- APLMA/LMA/LSTA: Guidance on Green Loan Principles
- European Commission: Consultation on the renewed sustainable finance strategy
Episode 3 (March Highlights)
In this month’s episode, Nick and Cheryl highlight some of the recent developments and noteworthy deals in the global sustainable finance market. They discuss the ongoing impacts of Covid-19 and how issuers are responding to help those in need, along with other topics. They are joined by colleagues in Europe and North America who provide updates on their markets.
Hosts:
- Nick Gandolfo, Director, Sustainable Finance Solutions
- Cheryl Tay, Senior Associate, Sustainable Finance Solutions
Guests:
- Enrico Tessardo, Associate, Sustainable Finance Solutions
- Melissa Menzies, Senior Associate, Sustainable Finance Solutions
Links to select resources:
- Sustainalytics ESG Blog - Coronavirus, oil prices and ESG: Three takeaways for investors by Doug Morrow and Kaili Mai
- International Capital Market Association (ICMA) - Q&A and case studies addressing COVID-19
- Transition Pathways Initative (TPI) report – TPI State of Transition Report 2020
- Rainforest Alliance, Bank Track et al. report - Banking on Climate Change: Fossil Fuel Finance Report 2020
- Sustainalytics Sustainable Finance Blog - COVID-19 and Beyond: Using sustainable finance to build social resilience by Jonathan Laski
- Sustainalytics Sustainable Finance Blog - Responding to COVID-19 through Social Bonds by Kevin Ranney
- To read the posts from Sustainalytics' Coronavirus blog series, please visit www.sustainalytics.com/esg-blog
Episode 2 (February Highlights):
This week, Nick and Cheryl discuss the impact of the COVID-19 pandemic on the global economy, and share highlights from recent reports reviewing the state of the sustainable finance market in 2019. Nick runs down some of the latest transactions and is joined by colleagues in Europe and the US who share their thoughts on what’s happening in their respective markets.
Hosts:
- Nick Gandolfo, Director, Sustainable Finance Solutions
- Cheryl Tay, Senior Associate, Sustainable Finance Solutions
Guests:
- Jean-Claude Berthelot, Director, Sustainable Finance Solutions
- Paramjot Kaur, Associate, Sustainable Finance Solutions
Links to select resources:
- Technical Expert Group final report on EU taxonomy
- “Toys or weapons? The choice for sustainable loans,” Global Finance, January 30, 2020
Episode 1 (January Highlights):
In this episode, Nick Gandolfo and Cheryl Tay discuss some interesting green bond transactions as well as some noteworthy sustainability linked loans and market and regulatory developments from across the globe.
Hosts:
- Nick Gandolfo, Director, Sustainable Finance Solutions
- Cheryl Tay, Senior Associate, Sustainable Finance Solutions