Sustainability linked bond KPIs and SPTs
Sustainability-linked bonds (SLB) have become important financing instruments + facilitate a
more inclusive approach for companies Transitioning to Net Zero. SLBs are new and sometimes controversial instruments which can raise many questions in investors’ minds. ‘Greenwashing’, insufficiently robust and unambitious Sustainability Performance Targets (SPTs) + Key Performance Indicators (KPIs), structural inadequacies and improper incentives are but a few.
This Sprint uses current market research, data and case studies to examine the opportunities and risks within this rapidly growing asset class.
Lecturer: Grant Metcalfe-Smith
Length: 3h
Learning goal: To understand the nature of SLB KPIs and SPT and identify risks within these financial instruments.
PS framework: Instruments and Institutions
CPD accredited: Yes (3 credits)
Language: English
Beneficial for: CIOs, Asset Allocators, Analysts, PMs, Strategists, Board of directors, Sustainability & Stewardship Officers etc.
Sprint structure: 90min input + 90min deliberate practice, reflection and implementation planning
Format: Online (Zoom)
Costs: EUR 298 per participant
Minimum size: 5 participants
PROGRAM
PART ONE
BEST PRACTICES (90min)
- SLB structuring, KPI + SPT selection + issuer ambition.
- Price and product behaviours using market research.
BREAK (10min)
PART TWO
DELIBERATE PRACTICE (60min)
Participants bring along a specific SLB investment to undertake due diligence using ICMA’s KPI data base + methodology. Use Second Opinion Provider/Verification report to assess the issuer’s ambition and identify risks within the investment.
LESSONS LEARNED (10min)
NEXT STEPS (5min)
FEEDBACK FORM (5min)