ESG stands for environmental, social and governance, and refers to the three key factors widely used to evaluate how companies, countries and other actors contribute to sustainable development
Nordea comments on report on investments in companies with exposure to Qatar
Fair Finance International recently published a report called “No questions asked” on financial institutions’ investments in construction and hospitality companies with exposure to Qatar and Qatar sovereign bonds.
How sustainability risks factor into credit ratings
The integration of ESG factors into credit ratings is an exercise distinct from the ratings and evaluations carried out by ESG service providers, although the two are often compared and confused. We take a look at the differences between the two approaches.
Nordea’s climate experts on what to expect from COP27
This year the UN climate summit, COP27 will be held amid rocketing energy and food prices and overall difficult geopolitical circumstances. We have interviewed Nordea’s climate experts Stefan Henningsson and Matti Kahra on what they expect will be the outcome.
EU Platform’s usability recommendations add clarity to EU Taxonomy in practice
The EU Platform on Sustainable Finance on 11 October released one of the last outstanding reports on the usability of the EU Taxonomy. It provides recommendations on interpretation of the existing Taxonomy and guidance for the remaining environmental objectives as well as alignment with other European sustainable finance regulation.
EU Taxonomy Minimum Safeguards: What are they and why do they matter?
The EU Platform on Sustainable Finance published its final report on the functioning of the Minimum Safeguards laid out in the EU Taxonomy Regulation. The Minimum Safeguards ensure that companies engaging in sustainable activities meet certain standards when it comes to human and labour rights, bribery, taxation and fair competition.
After a turbulent first half-year, the third quarter shows a market adapting to the new-normal: persistent inflation and rising interest rates. The energy crisis has not only resulted in a risk of recession in the Euro area but also created ambiguity for corporates’ sustainability ambitions, pushing the financial sector to the forefront of issuing sustainable debt.
How are companies performing on ESG after the pandemic?
The Nordea ESG Research expert team has released the yearly update of its ESG ratings. The update covers insights into disclosure trends and the material ESG risk and opportunity exposures of around 330 Nordic companies. With information based on FY2021 disclosures, the updated report offers new insight into the first full “back to business” year.
ECB announces decarbonisation plan for corporate bond holdings
The European Central Bank has announced that as of 1 October it will start tilting its reinvestments for corporate bonds falling due on its balance sheet towards issuers with higher climate-scoring profiles in order to mitigate the climate-related financial risks within the Eurosystem.
The new MiFID II regulation will not bring big changes to Nordea’s investment advice, but will hopefully give the customer an even better opportunity to consider sustainable alternatives, according to Kerstin Lysholm from Nordea’s Investment Center.
Nordea issues innovative bond to fund sustainability-linked loans
The new framework allows investors to invest in Nordea's sustainability-linked loan financing activity that tackles climate change. Investors describe the new bond structure as an "innovative and creative" way to help drive the green transition.