Abstract
Regarding the relationship between sustainable finance (ESG investment) and credit ratings, there have actually been many rating change actions based on ESG factors in recent years, and many credit rating agencies also agree that ESG factors should be considered when assigning ratings. Existing studies indicate that companies with higher ESG scores generally obtain lower spreads and higher credit ratings, although some studies also point to uncorrelated or negative relationships. Issues such as endogeneity and variation in ESG scores in the analysis have also been noted. The existence of “Greenium” is one of the puzzles in ESG bonds and continues to be an interesting research topic. In any case, the recent surge in the issuance of ESG bonds has led to an increase in the number of related studies in recent years, but more research is needed in the future.
