There is no doubt that there has been a rise in green and sustainability-linked bonds since 2012.
Green bond sales in 2019 are beating 2018’s record.
Despite the enthusiasm for green bonds, their returns are in line with the broader market.
Not surprisingly, Europe is a leader in the green/sustainable bond arena. French green bonds are in line with plain vanilla French government bonds.
The same holds true in Holland, except that Dutch green bonds generate slightly higher yields than plain vanilla Dutch government bonds.
There is now a dearth of green projects to finance, but there will likely changed over time.
On the equity side, Credit Suisse has a green/sustainable real estate fund.
With the popularity of green bonds and real estate funds, is it time to finance Soylent Green?