We blogged the draft version a few months ago; at that stage it was just Citi and Bank of America Merrill Lynch. Things have moved forward and yesterday a more developed version was published. Now there are 13 banks involved, with JP Morgan and Credit Agricole joining the first two in the driver's seat.
This is a big development; and with even more banks expected to now sign up to the Principles they are likely to have a major impact on development of the market.
Today, the EIB (AAA) announced that is has re-opened its EUR denominated Climate Awareness Bond for a further EUR350mn ($478mn) tap bringing the total size of the bond to EUR1.5bn or just over $2bn. This makes it the largest climate/green bond currently outstanding. The tap was timed with the publication of the Green Bonds Principles by major banks.
LONDON – The Institutional Investor Group on Climate Change (IIGCC), which represents more than 85 of Europe’s largest investors with total funds under management of approximately EUR7.5 trillion, has today joined the International Climate Bond Standards Board. The Standards Board is supervising a program to provide investors and governments an easy way to assess the integrity of environmental claims for green bonds. Eric Borremans, IIGCC Vice Chairman and sustainability expert at Pictet Asset Management, will represent the IIGCC on the Climate Bond Standards Board.
We’re 10 days into the New Year and the first green bond is already out – the European Investment Bank has just announced the release of its latest Climate Awareness bond, a CHF350 bond (USD386bn). Lead managers were Barclays, Credit Suisse, Deutsche Bank and the coupon is 1.625%.
As a boy who grew up in the South Pacific, the idea of going to meetings in sophisticated Paris still gives me a thrill. So imagine how excited I get when we're hosting an event there - well, to be precise co-hosting, with our friends at KeplerCheuvreux and 2 Degree Investing.
You're invited!
It's on Tuesday 28 January 2014, from 14:00 to 17:45pm. Venue is the 'Auditorium FNCA' at 48-50 Rue de la Boétie, 75008 Paris, France.
It's a star-studded line-up. And it's free - although if we run out of seats priority will be given to asset owners and fund managers.
The first half, 14:00-15:30, is on "New Dynamics for Integrating Sustainability in Fixed Income" (It does sound better in French).
The Climate Bonds Standard has established a Low-Carbon Transport Working Group to develop eligibility criteria for the certification of low-carbon transport related bonds – a means to enhance private investors’ confidence in financing the low-carbon economy.
Christopher Knowles, Head of the Climate Change & Environment Division in the European Investment Bank (EIB)’s Operations Directorate since 2006, has today joined the Climate Bonds Advisory Panel.
Chris leads the EIB’s deployment of innovative financing products and structures in the climate and environment areas - critical tools if we're to make the most of our limited public funds - and plays a prominent role in the Bank’s engagement with a range of public and private counterparts in the same areas.
Earlier this year the Commonwealth Secretariat was asked by member States to convene an "Expert Group on Climate Finance" to: explore practical actions to help unlock resources for small and vulnerable Commonwealth countries combatting climate change impacts.
The Expert Group was led by the former President of Guyana, Bharrat Jagdeo. UNEP FI Chair David Pitt-Watson and I served as "experts on private sector finance". Members are listed at the bottom of this note.
If you're in Paris at 14:00-17:45 on Tuesday 28 January 2014 - or looking for as good excuse to be there - come along to the Sustainable Bonds seminar we are co-hosting with KeplerCheuvreux and the 2ºC Investing Initiative. Venue: Auditorium FNCA, 48-50 rue de la Boétie, 75008 Paris
The seminar will look at issues impacting on Sustainable Bonds, and at developments with Green and Climate Bonds. Speakers are:
