Investors Probe ESG Credentials of Bond Sellers on Greenwashing Fears

Investors are increasingly seen looking to underlying ESG credentials of issuers over specific green bond labels. As Green Bond Issuance has boomed from it’s starting point about a decade ago into approximately €660bn today investors seek to understand if an issuer’s overall strategy is sustainability aligned. Given the dynamic of how sustainability-linked bond reward climate-based and environmental targets, the scale of sustainability-linked bond market is expected to surpass the entire green bond market.