Energy Cafe: Climate and Bonds
Climate and Bonds: The Impact of Drought on US Corporate Bond Yields
Hosted by Bert Scholtens
In this Cafe, Bert will speak to a recent analysis of the relationship between drought and bond yield spreads of US companies. The analysis reveals that yield spreads significantly increase for companies exposed to a worsening drought trend. Furthermore, this effect is stronger for firms that are geographically more concentrated. The effect is more pronounced for less profitable and higher levered firms. The influence of drought risk on yield spreads seems homogenous across industries.
The Energy Café is an informal, open and inclusive space where people across our network, from undergraduates to Professors Emeriti, can come together for an hour to share ideas about the energy research they are working on. It is intended to encourage collaborations, expand research horizons, and inspire new ideas and questions about issues of energy.
Fostering collaboration and interdisciplinarity are at the heart of the Centre’s ethos and the motivation for the Café. By openly exchanging ideas with others and working across disciplines, the Energy Café offers a unique venue that celebrates the diversity of roles and contributions individuals make to energy research and research culture.