Below is an excerpt from ISS ESG’s thought leadership paper “The COVID-19 Crisis: Lessons Learned from the Social Bond Market.” The full paper is available for download from the Institutional Shareholder Services (ISS) online library.
Social Bond issuances were the first instruments used in what nowadays constitutes the sustainable debt capital market. The first issuance came in 2006, with the “Vaccine bond” issued by the International Finance Facility for Immunisation. However, compared with its environmentally focused sibling, the Green Bond that appeared on the market in 2008 with an issuance by the European Bank for Reconstruction and Development, Social Bonds did not gather much momentum and ended up lagging behind Green Bonds in volume.
Damaso Zagaglia, ISS ESG
Mélanie Comble, Head of SPO Operations, ISS ESG
Viola Lutz, Head of Investor Consulting, Climate Solutions, ISS ESG