Amsterdam-based Sustainalytics has launched a new service that assesses “transition bonds” issued by high-carbon emitters looking to transition to a low-carbon future.
According to a release, Sustainalytics’ Transition Bond Second-Party Opinion Service will initially focus on companies in the natural gas and steel industries, before being expanded to the marine shipping, aviation, cement and aluminum industries, among others.
Assessments are based on market input and research produced by bodies such as the Intergovernmental Panel on Climate Change and the International Energy Agency.
By using the service, “corporations in high-emitting industries will now be able to signal to investors the credibility of their transition strategy and potentially be able to access capital from the sustainable finance market,” the release said.
The service is also aimed at helping investors “make more informed decisions regarding transition-focused investments.”