Green Bonds
Green bonds are financial instruments specifically designed to raise funds for projects that have positive environmental impacts. When investors purchase green bonds, their money is used to support initiatives like renewable energy, energy efficiency, or sustainable infrastructure. In return, investors receive interest over time, similar to regular bonds. The key distinction is that the proceeds from green bonds are exclusively allocated to projects aimed at combating climate change and promoting sustainability, making them an attractive option for socially conscious investors looking to support environmental goals while earning a return on their investment.
Additional Insights
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Green bonds are a type of fixed-income investment specifically designed to fund projects that have positive environmental impacts. When investors buy green bonds, their money is used to finance renewable energy, energy efficiency, sustainable agriculture, or other eco-friendly initiatives. These bonds give investors a way to support environmentally responsible projects while earning interest over time. The goal is to promote sustainable development and help combat climate change, making green bonds an appealing option for those looking to invest in a greener future.