Advanced

Green Bonds: Doing well by doing good

Andersson, Simon LU and Prag, Karl (2015) NEKN01 20151
Department of Economics
Abstract
In this essay we study green bonds in a quantitative framework, comparing volatility, initial yield and price to standard bonds. The asset class was conceived in 2008 and our sample cover 2009-2014. We use panel- and time series data, and find significant differences in all three variables. Green bonds have been significantly less volatile than standard bonds; they have paid higher initial yields, but have had a stronger price development since issue. We conclude that green bonds have been a good investment for the buyers but less so for the borrower.
Please use this url to cite or link to this publication:
author
Andersson, Simon LU and Prag, Karl
supervisor
organization
alternative title
A quantitative study of green bonds.
course
NEKN01 20151
year
type
H1 - Master's Degree (One Year)
subject
keywords
Economics, green bonds, finance, climate investment, sustainable investing
language
English
id
5464118
date added to LUP
2015-06-30 10:53:19
date last changed
2015-06-30 10:53:19
@misc{5464118,
  abstract     = {In this essay we study green bonds in a quantitative framework, comparing volatility, initial yield and price to standard bonds. The asset class was conceived in 2008 and our sample cover 2009-2014. We use panel- and time series data, and find significant differences in all three variables. Green bonds have been significantly less volatile than standard bonds; they have paid higher initial yields, but have had a stronger price development since issue. We conclude that green bonds have been a good investment for the buyers but less so for the borrower.},
  author       = {Andersson, Simon and Prag, Karl},
  keyword      = {Economics,green bonds,finance,climate investment,sustainable investing},
  language     = {eng},
  note         = {Student Paper},
  title        = {Green Bonds: Doing well by doing good},
  year         = {2015},
}