Bloomberg Launches New Tool Enabling Investors to Assess Sustainable Bond Impact

Business and financial markets information service provider Bloomberg announced the launch of its new Impact & Allocation dataset, aimed at enabling fixed income investors to assess how labeled sustainable bond proceeds are allocated and the outcomes of their financed projects.

According to Bloomberg, the new tool comes as the market for labeled corporate and government bonds has grown to $5.9 trillion, while post-issuance reporting remains fragmented, leading to challenges in assessing allocation and impact.

Bloomberg said that its new dataset addresses this gap by standardizing post-issuance disclosures across 22 allocation indicators, including renewable energy, clean transportation, green buildings, biodiversity and affordable housing, and 15 impact indicators, including GHG emissions reduced or avoided, renewable energy generated and water saved. The dataset incorporates more than 800,000 manually collected data points, covering 8,000 corporate and sovereign bond instruments.

Joshua Kendall, Head of Sustainable Fixed Income at Bloomberg, said:

“Until now, investors had to manually review issuer documents and reconcile complex, inconsistent disclosures to compare bonds and assess entire portfolios. Bloomberg’s normalized Impact & Allocation dataset transforms this fragmented information into decision-ready data, giving investors a clear view of where capital was deployed and the impact reported by issuers.”