Abstract
The author empirically analyses the attributes of companies that issue ESG bonds, based on the motivations of both investors and issuing companies. Using data from 1,421 listed companies in Japan for the fiscal year 2021, a logit analysis was conducted, with the dependent variable being whether the company issued ESG bonds. The findings indicate that companies that are more environmentally conscious, actively address social issues through their business, disclose ESG information, incorporate ESG indicators into executive compensation, and maintain a higher debt ratio are more likely to issue ESG bonds. However, a company's stance on human rights does not reflect a significant relationship with ESG bond issuance. This is because ESG bonds have historically been driven by environmental concerns, and human rights issues currently do not exert a strong influence on ESG bond issuances.
