Green bond lending market faces up to limits

By Craig McGlashan
16 Oct 2014

A securities lending market in green bonds will remain all but non-existent until volumes grow to a much larger size — but even then, borrowing bonds could remain off the table for several reasons.

The buy and hold nature of many Socially Responsible Investing (SRI) portfolios, coupled with the double stigma of not just being a short seller but being a short seller of a green bond, could stymie demand for green bond securities lending, said a market participant in private.

But ...

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