The Carbon Yield quantifies the environmental impact of a Green Bond in terms of GHG emissions avoided per annum through the financed activities
Introducing the Carbon Yield:
Simple to understand and can be used by anyone
Increases transparency on investment impact upfront
Introduces a standardised approach to climate mitigation reporting in the market
A quantitative metric rather than a score, made up of data already being collected by issuers
The Carbon Yield methodology
- Issuers can use the Carbon Yield to communicate the climate change mitigation impact of their bonds clearly, succinctly and comparably, to investors.
- Investors, in turn, can use the Carbon Yield of each Green Bond they hold to obtain a portfolio-level Carbon Yield, which aggregates the climate change mitigation impact of their investments and can then be included in the relevant impact reporting.
The Carbon Yield is a publicly available tool developed for the market and as such we welcome feedback on the methodology from market participants. If you have any comments or questions please do get in touch with us through the contact box below or at [email protected].
The information in this site is intended for informational puposes only. The Carbon Yield does not offer investment advice and does not hold views on any specific investment, investment tool or investment strategy. If you have any queries, please consult your financial advisor.