Are green bonds funding the transition? Investigating the link between companies’ climate targets and green debt financing

Tuhkanen, Heidi; Vulturius, Gregor

doi:10.1080/20430795.2020.1857634

Cited by 41 publications

(12 citation statements)

References 36 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Concerns related to green banking, green bonds, Sukuk have been studied in this cluster. The authors (Alonso-Conde and Rojo-Suárez, 2020; Ngwenya and Simatele, 2020; Tuhkanen and Vulturius, 2020) investigated different aspects of green banking and bonds from the perspective of sustainability. The authors are connected strongly, while they do not have much connection outside their cluster.…”

Section: Results and Interpretationsmentioning

confidence: 99%

Current state and future directions of green and sustainable finance: a bibliometric analysis

Naeem

Karim

Rabbani

et al. 2022

QRFM

View full text Add to dashboard Cite

Purpose Growing attention of policymakers, governments and regulation authorities towards climate change and global warming has spurred the extensive need to carefully examine the current practices of green and sustainable finance. This study aims to provide a comprehensive analysis on the current state and future directions of green and sustainable finance through bibliometric analysis. Design/methodology/approach For extensive bibliometric analysis, the study comprises 1,413 documents published in peer-reviewed journals indexed in the SCOPUS database for the period ranging from 1990 to 2021. Findings The authors find that there are mainly three key areas of green and sustainable finance, which are largely addressed by the scholars following the given time. The key areas include socially responsible investments, green finance and climate finance that are in line with the previous studies and existing trends and practices prevailing in the business and corporate world. Practical implications The findings are important for policymakers, regulatory bodies, upcoming scholars, environmentalists and investors as findings of the study provide an effective framework for adopting sustainable strategies, to trade-off between profits and environmental hazards and to generate value from the green avenues of research and practice. Originality/value The study offers novel contributions to the existing literature in terms of comprehensively providing evidence of the current practices of green and sustainable finance. Meanwhile, significant implications for the prospective audience further refine the contribution of research.

show abstract

Section: Results and Interpretationsmentioning

confidence: 99%

Current state and future directions of green and sustainable finance: a bibliometric analysis

Naeem

Karim

Rabbani

et al. 2022

QRFM

View full text Add to dashboard Cite

show abstract

“…Flammer (2020) opined that the Corporate GB issuance could be interpreted by adopting the signaling theory. Interestingly, Fernando and Lawrence (2014) integrated the theories of stakeholder, legitimacy, and institutional to provide a single integrated approach for several practices (Tuhkanen & Vulturius, 2022) including the GB issuance as a part of the company’s CSR initiative (Li et al, 2020). Besides the wider theoretical underpinnings, the theorization, and understanding of the GB market particularly at the country level are sparse.…”

Section: Literature Reviewmentioning

confidence: 99%

Green Bond as an Innovative Financial Instrument in the Indian Financial Market: Insights From Systematic Literature Review Approach

et al. 2023

View full text Add to dashboard Cite

As India has set its ambitious target of reaching renewable energy by 2050, it has shown overwhelming interest in Environmental, Social, and Governance (ESG) focused financial products. However, studies on the Indian green bond market are sparse, besides its divergent role in terms of green bond issuance from an emerging market’s perspective. This study aims to fill this gap by employing a systematic review of the literature, emphasizing green bond market growth, the limiting factors, and its future development. This review examined papers published between 2010 and 2022. The review demonstrates that the lack of proper framework, high transaction costs, non-labeling of bonds, higher greenwashing, issuers’ poor creditworthiness, less government involvement, unattractive sovereign rate, unavailability of financial benefits, and lack of awareness have suppressed the rapid expansion of this market. The study based on its findings suggests effective policy measures with the expectation of the active involvement of multiple stakeholders.

show abstract

“…Investments with poorly designed metrics have rightly been criticised for 'green washing' (Tuhkanen and Vulturius 2022), potentially misleading investors, creating the appearance of socially and environmentally responsible investment without encouraging effective outcomes (Kedward et al 2022). Both providers of metrics, and providers of portfolio construction and design who use these metrics, have significant discretion in creating and adjusting their models, with limited oversight (Bloomberg Law 2022).…”

Section: Solutionsmentioning

confidence: 99%

Short term solutions to biodiversity conservation in portfolio construction: forward looking disclosure and taxonomy-based metrics

Layman¹,

Akçakaya²,

Irwin³

et al. 2023

Preprint

View full text Add to dashboard Cite

Demand is increasing amongst investors to create portfolios that encourage positive outcomes for biological diversity. The evolution of investment strategies for transitions to zero carbon over the last two decades provides insights that will assist in shaping strategies for biodiversity-positive investments. Many emerging approaches to capture company impact and dependence on biodiversity focus on nature-related threats to an organisation by looking at the composition of local ecosystems and sustaining ecosystem services. Other approaches have a different objective function, focusing on minimizing an organisation’s contribution to risks of species extinction by using data sets such as the IUCN’s Red List of Threatened Species. However, in both cases, many of the threat assessments that could link corporate activities to impacts are incomplete and omit critical information, and the models that use these links are largely untested for use in portfolio construction. If the investment community focuses on biodiversity without sufficient forethought, there is a risk of entrenching metrics with significant flaws. In this paper we suggest that until such time as species threat assessments are complete and the metrics to which they contribute are fully developed and tested for use, interim approaches to guide investments can leverage off disclosure-based or taxonomy-based approaches developed for climate investing. We present and discuss two potential such metrics, a Biodiversity Management Quality metric and a Biodiversity Revenues metric.

show abstract

Are green bonds funding the transition? Investigating the link between companies’ climate targets and green debt financing

Abstract: Vulturius (2020): Are green bonds funding the transition? Investigating the link between companies' climate targets and green debt financing,

Cited by 41 publications

References 36 publications

Current state and future directions of green and sustainable finance: a bibliometric analysis

Current state and future directions of green and sustainable finance: a bibliometric analysis

Green Bond as an Innovative Financial Instrument in the Indian Financial Market: Insights From Systematic Literature Review Approach

Short term solutions to biodiversity conservation in portfolio construction: forward looking disclosure and taxonomy-based metrics

Contact Info

Product

Resources

About