• Gustavo Bernal Torres

Some Sustainability-Linked Bonds’ ESG Benefits Fall Short Of Investors’ Expectations

Only 47 per cent included a KPI considered core to their business under ICMA’s KPI registry, study finds.


  • After reviewing deals concluded between 2019 and mid-2020 by the world’s first 30 sustainability-linked bond issuers and their bonds’ key performance indicators (KPIs), analysts at data and ratings provider Sustainable Fitch found that only 47 per cent included a KPI considered core to their business under the International Capital Market Association (ICMA)’s KPI registry. Some 20 per cent had a KPI deemed secondary.

  • The study’s findings are significant because the issuance of global sustainability-linked bonds jumped more than tenfold to US$91.2 billion via 154 deals last year from US$8.3 billion through 16 transactions in 2020, according to financial data provider Refinitiv.


Source: https://www.scmp.com/business/article/3193920/green-finance-sustainable-fitch-finds-some-sustainability-linked-bonds-esg

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