The issuance of this debt is expected to reach a record $AU900 billion this year, driven by strong growth in Europe and growing interest in Asia.
Green bond issuance has shrugged off a volatile first quarter and is set for a bumper year, despite the pushback from the Trump administration and US markets, according to bond specialists.
AXA Investment Managers (AIM), which has $AU1.47 trillion under management, of which $824 billion is invested in environmental, social and governance (ESG) related, sustainable or impact investments, expects green bond issuance to reach a record $900 billion this year, driven by strong growth in Europe.
That would take the total green bond market to about $4 trillion, or about four per cent of the global bond market, a doubling in the past two years.
Johann Ple, AIM fixed income portfolio manager, which has about $10 billion under management, half of which is in green social and sustainability (GSS)…
