Investment - Articles - Biden Presidency may be watershed for US green bond market


Johann Ple, portfolio manager at AXA Investment Managers, said: “If Biden was to win in November and pursue his clean energy agenda - including his pledge to sign the US back up to the Paris Agreement on day one - we would expect to see not just growth of the green bonds market globally but also a rebalancing between the US market and its Euro counterpart.

 “Currently the green bond market is dominated by euro bonds, with Euro-denominated debt accounting for around 60% of the market and this share of the market growing, while dollar-denominated green bonds account for around 30%. 

 “Biden’s appointment could change this, with his $2trn climate plan a real game-changer in terms of the shape of the green bond market, as well as being a huge positive in terms of its overall future growth.

 “US corporate issuance remains broadly on the sideline of the green bond market despite a few notable exceptions including Coca-Cola just last week, but Biden could be the turning point leading the US to take a bigger part in the Green bond market development.

 “Alternatively, if Trump wins, nothing will change. The current administration has largely ignored the move to green finance, and if he wins a second term the US dollar will stay in the euro's shadow within the green bond market."
  

Back to Index


Similar News to this Story

Pensions can help HENRYs take control
Growing numbers of HENRYs – High Earners, Not Yet Rich - are finding six-figure salaries don’t stretch as far as expected. With less than six months t
Bull run on pause as investors take stock of stellar gains
FTSE holds near 9,500. Ibstock profit warnings as customers brick it over Budget. US futures up a touch. Investors digest Washington deadlock and Q3 e
Momentum in the BPA market continues
Standard Life research reveals 48% of DB schemes favour buy-in as their endgame strategy. Of these schemes, 40% plan to approach an insurer about a tr

Site Search

Exact   Any  

Latest Actuarial Jobs

Actuarial Login

Email
Password
 Jobseeker    Client
Reminder Logon

APA Sponsors

Actuarial Jobs & News Feeds

Jobs RSS News RSS

WikiActuary

Be the first to contribute to our definitive actuarial reference forum. Built by actuaries for actuaries.