Monday, October 17, 2022

European Central Bank provides details on how it aims to decarbonise its corporate bond holdings. Really!

This is really bad news! The ECB is probably not authorized to do that! Environmentalism is not part of her mandate! This unlawful!
This radical! This is naked socialist central planning!

Based on dubious climate scores????

President Christine Largarde proves once more what an awful political operator she is! I have blogged here about her several times before.

"Decarbonisation to be based on issuer-specific climate score
Corporate bond holdings to be tilted towards issuers with better scores
Tilting to be applied to all corporate bond purchases settled as of 1 October 2022
The European Central Bank (ECB) today published further details on how it aims to gradually decarbonise the corporate bond holdings in its monetary policy portfolios, on a path aligned with the goals of the Paris Agreement. One goal is to reduce the Eurosystem’s exposure to climate-related financial risk [?????], following the Governing Council’s July 2022 decision to tilt the Eurosystem’s corporate bond purchases towards issuers with a better climate performance. ..."

ECB provides details on how it aims to decarbonise its corporate bond holdings

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