The Box Jun 23

4 minute read

Ahead of the IMM June roll of various derivative contracts, we update our net green/fossil bond and loan syndication fee-based league tables of bank counterparties.

The tables proxy the relative tilt of individual institutions’ debt capital markets activities in terms of climate alignment. Using fee intake rather than nominal volumes of financing and/or underwriting is a way to adjust for (and thus) the risk appetite of the bank for particular types of transactions. Transactions where the bank is a more important facilitator to enable the capital flow are likely to generate higher fees than deals where the bank is more replaceable.

The most noteworthy changes observed among the major institutions are the continued improvement of MUFG (+4) coming up from its bottom position last year, as well as Credit Agricole (+1) moving into the top position through both a decrease in fossil fees and increase in green fees. Furthermore, SMBC (-2) continues to decline into the bottom three. For the intermediate institutions, BBVA (+5), Westpac Banking (+5) and Rabobank (-5) exhibit the largest moves compared to the last iteration of the rankings.

Download pdf (0.1mb)