Tag: EU Climate Transition Benchmark
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Paris-aligned benchmarks
Paris-aligned benchmarks Paris-aligned benchmarks are financial indices designed to align investment portfolios with the climate goals of the Paris Agreement, aiming to limit global temperature rise to well below 2°C, with efforts towards 1.5°C. These benchmarks require a minimum annual decarbonization of 7%, covering Scope 1, 2, and 3 emissions for corporate bonds and sovereign…
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European Green Bond Standards
European Green Bond Standards A green bond is a type of fixed-income financial instrument specifically designed to raise capital for projects that have positive environmental or climate-related impacts. Green bonds serve as a pivotal component of green finance, a vital instrument in financing assets crucial for the low-carbon transition. With the European Green Bond Standard,…
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Climate Transition Benchmarks
Climate Transition Benchmarks A climate benchmark is defined as an investment benchmark that incorporates specific objectives related to greenhouse gas (GHG) emission reductions and the transition to a low-carbon economy — based on the scientific evidence of the IPCC — through the selection and weighting of underlying constituents. These benchmarks are intended to serve as…