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This paper examines the risk transmissions across the green economy indices of three major regions which include US, Europe and Asia. The econometric analyses are conducted using DCC-GARCH and TVP-VAR connectedness approach to evaluate potential spillover effects within the context of oil and gold. Results indicate that green economy indices of US-Europe exhibit the greatest time-varying correlations among the three pairs during much of 2010–2022 consistent with that of the general equity market. However, co-movements during the COVID-19 pandemic period seem to display a change in pattern for green economy indices. The strength of the co-movements between the US and Europe displayed a declining trend, while that between US and Asia was strengthened, suggesting greater interdependence between these two markets. TVP-VAR connectedness analysis revealed that US and Europe dominate the transmission of the shocks across the years in the green economy, similar to that of the equity markets. However, during the pandemic a pronounced shift occurred in green economies when considering the risk transmissions within the context of commodities: oil and gold. While Asian green economy index was persistently a receiver of risk transmission from oil unlike the other two regions, since pandemic, oil displayed an asymmetric effect and has become the net transmitter of risk in negative returns of the green economies of US and Europe. This may reflect the diversion in environmental policies of the two regions in the recent past, and point to the dominance of energy sector in the green economy. These findings have substantial implications for the development of green economy policies and from an investment perspective. [ABSTRACT FROM AUTHOR]

Motivation: The interest in sustainable, socially, environmentally and climatically stable development of the economy is growing. At the same time, issuers and investors are looking for financial instruments with which they can achieve their investment goals. The idea of the green bond market is to develop debt instruments in financing projects contributing to ecologically sustainable development, which should have a direct impact on the development of technologies and practices in the area of resource use that contribute to limiting adverse climate change. Bonds for financing or refinancing renewable energy sources and increasing energy efficiency are seen as a natural part of the transformation of the global economy. Aim: The purpose of the article is to present an analysis and goals of green bond market in Europe based on currency of issue, geographic structure, issue period, sectors and issue targets as well as major stock exchanges on which green bonds are listed. Results: Relevant data on the green bond market in Europe was analyzed and the objectives of issuing green debt finance in particular sectors by number of emission were identified. It was verified that green bonds, which are listed only on one stock exchange, mainly the Scandinavian one, have a lower average value of the issue. [ABSTRACT FROM AUTHOR]

Sustainable development is nowadays a high priority for firms all over the world. Consequently, numerous firms have increased their social responsibility initiatives, reinforcing the credibility and trust of their stakeholders. However, prior research about the relevance of sustainability leadership for the European investment community is scarce. In this context, the aim of this study is to examine whether sustainability leadership - proxied by membership of the Dow Jones Sustainability Index Europe - is value relevant for investors on the 10 major European stock markets over the 2001-2013 period. Our overall results reveal that there exist significant differences across markets. These findings are relevant especially for investors, but also for the managers of listed firms, market regulators and policymakers. Copyright © 2017 John Wiley & Sons, Ltd and ERP Environment [ABSTRACT FROM AUTHOR]