We are proud to be the lead investor in innovative transactions that provide not only attractive total return potential, but also the direct and measurable outcomes we look for under our proprietary impact framework. We are especially hopeful that the partnership between public and private markets can serve as templates for future transactions to help address critical global challenges, and transition economies and communities to a more sustainable future.
Use of Proceeds
/'juz əv 'prō sēdz/ noun
Bonds where the proceeds are devoted to financing new and existing projects or activities with direct and intentional positive impacts.
CASE STUDY
The Rhino Bond and the first labeled Orange Bond.
In 2022, the World Bank issued its first-ever Wildlife Conservation Bond — dubbed the Rhino Bond given the endangered animal population the proceeds will support. Nuveen was the lead investor in this bond, which was the first of its kind which directly links investors to the survival of an endangered species.
Nuveen also invested in the Women’s Livelihood Bond, issued in December 2022. This bond was the first to be officially labelled as an orange bond, which represents the color of Gender Equity by the UN SDGs.
Source: Nuveen Fixed Income, 2023
Glossary: S-Z
Stewardship
A range of activities performed to exert influence on companies, issuers and other investees to help them innovate and operate more efficiently, i.e., proxy voting, company dialogue, targeted initiatives, market initiatives and policy influence. See responsible investing.
Sustainable Development Goal (SDG) alignment
Aligning investments to the Sustainable Development Goals — e.g., poverty, health, education, climate change and environmental degradation — to help connect business strategies, objectives and outcomes with global priorities. See responsible investing – other RI approaches.
Sustainable investing
An umbrella term often used interchangeably with responsible investing. See responsible investing.
Sustainable Development Goals (SDGs)
A set of United Nations goals with a universal call to action to end poverty, protect the planet and ensure that all people enjoy peace and prosperity. Today, the 17 UN SDGs are an internationally accepted, outcome-oriented roadmap to sustainability for organizations in all sectors.
Task Force on Climate Related Financial Disclosures (TCFD)
Climate-related financial disclosure recommendations designed to help companies provide better information to support informed capital allocation. Disclosures are structured around four thematic areas that represent core elements of how companies operate: governance, strategy, risk management, and metrics and targets.
Source: TCFD
Taskforce on Nature-related Financial Disclosures (TNFD)
Disclosure recommendations and guidance for organizations to report and act on evolving nature-related dependencies, impacts, risks and opportunities. The recommendations and guidance will enable business and finance to integrate nature into decision making, and ultimately support a shift in global financial flows away from nature-negative outcomes and toward nature-positive outcomes.
Source: TNFD
Thematic
Targets investment themes or assets that contribute to specific issues or outcomes, e.g., climate change, gender. See responsible investing – other RI approaches.
UN Global Compact
Strategic partnership to drive business awareness and action in support of achieving the UN Sustainable Development Goals.
Source: UN
Use of Proceeds
Bonds where the proceeds are devoted to financing new and existing projects or activities with direct and intentional positive impacts
► Blue bond: Bonds issued to finance marine and ocean-based projects that have positive environmental, economic and climate benefits.
► Green Bond: Bonds issued to fund or refinance specific climate-related or environmental projects.
► Orange Bond: Bonds issued to finance projects associated with gender equality or projects that have an intentional gender lens.
► Sustainability Bond: Bonds issued to finance Green and/or Social projects.
