Bloomberg has announced the launch of its Government Climate Tilted Bond Indices.

The new benchmarks are designed for investors with exposure to Bloomberg’s fixed income benchmarks with a focus on countries incorporating climate transition objectives.

The indices adjust country weights in Bloomberg treasury and sovereign indices based on Bloomberg Government Climate Scores which assess a government’s relative preparedness in the transition to a low-carbon world using transparent, data-driven indicators. The climate scores comprise three equally weighted pillars: carbon transition, power sector transition and climate policy.

The Bloomberg Government Climate Tilted Bond Indices include the following 14 indices:

• Global Treasury Climate Tilted Bond Index
• Pan-Euro Treasury Climate Tilted Bond Index
• Euro Treasury Climate Tilted Bond Index
• Emerging Markets Local Currency Government Climate Tilted Bond Index
• Emerging Markets Local Currency Government Climate Tilted 10% Country Capped Index
• Emerging Markets Local Currency Government Universal Climate Tilted Bond Index
• Global Inflation-Linked Climate Tilted Bond Index
• Pan Euro Inflation-Linked Climate Tilted Bond Index
• Eurozone-Euro CPI Inflation-Linked Climate Tilted Bond Index
• Eurozone-All CPI Inflation-Linked Climate Tilted Bond Index
• Emerging Markets Hard Currency Sovereign Climate Tilted Bond Index
• Emerging Markets USD Sovereign & Sovereign Owned Climate Tilted Bond Index
• Emerging Markets USD Sovereign Climate Tilted Bond Index
• Emerging Markets Pan-Euro Sovereign Climate Tilted Bond Index

Chris Hackel, Head of Sustainable Indices at Bloomberg Index Services, said, “The newly launched Bloomberg Government Climate Tilted Bond Indices are designed to consider not only a country’s progress against its climate ambitions, but also forward-looking measures of outlook, including investment in renewable energy capacity. We’re excited to continue our collaboration with Bloomberg Sustainable Finance Solutions and BNEF to bring innovative solutions to the market that meet investors’ climate objectives across sectors and asset classes.”

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