Wealth DFM: To conclude, what would you say are the key takeaways for those who might be looking at green bonds as an investment vehicle?
CME: The growth that we’re seeing in the market and the increase in the diversity of issuers is giving investors huge confidence in the market.
From our perspective, the role of indexing within the development of this market has been key in terms of providing investors with that transparency and standardisation.
That gives investors more confidence in terms of capturing that growth. But it has to go hand in hand with investment expertise in this asset class. BlackRock its own proprietary analysis applied to every green bond that comes to market.
Finally, if there is a role for green bonds within investor’s portfolios, being able to quantify the impact and the positive environmental benefits is important. That is achieved in iShares products, through the impact reporting. and provides transparency as to the role, from a sustainable perspective, this asset class could have within a portfolio.
About Cara Milton-Edwards, Fixed Income Product Strategist, iShares EMEA
Cara Milton-Edwards is a product strategist covering fixed income ETFs. Cara is part of the team responsible for supporting client engagement, creating thought leadership on fixed income markets and fixed income ETFs, and working to develop new fixed income ETF products. She specialises in wealth and retail client conversations.
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