These instruments are typically debt securities, such as bonds, that offer a fixed rate of return to the investor. This allows investors to receive a steady stream of income while supporting environmentally responsible initiatives.
Welcome to our lesson on fixed-income financial instruments, an essential aspect of finance that plays a significant role in promoting positive climate impact. These instruments, often in the form of debt securities like bonds, offer a fixed rate of return to investors. This means that investors receive a reliable income stream while contributing to environmentally responsible endeavors. Let's dive deeper into the world of fixed-income financial instruments and understand their importance in sustainable finance.