Project Details
Project
JPMorgan Chase & Co. Sustainable Bond Framework Second-Party Opinion
Client
JPMorgan Chase & Co.
Project Type
Sustainability Bond/Loan
Industry Group
-
Use of Proceeds
-
Location
U.S.
Evaluation Date
Jul 2020
Evaluation Summary
Sustainalytics is of the opinion that the JPMorgan Chase & Co. Sustainable Bond Framework aligns with the Green Bond Principles (2018), the Social Bond Principles (2020) and the Sustainability Bond Guidelines (2018), as applicable. This assessment is based on the following:
USE OF PROCEEDS
The eligible categories for the use of proceeds – Green Buildings, Renewable Energy, Small-Business Lending, Affordable Housing, and Access to Essential Services – Health and Education – are aligned with those recognized by the Green Bond Principles, and Social Bond Principles. Sustainalytics considers that the eligible categories will lead to positive environmental or social impacts and advance the UN Sustainable Development Goals, specifically SDGs 11, 7, 8, 3, and 4.
PROJECT EVALUATION/SELECTION
JPMC has defined an internal process wherein different groups within the Bank are responsible for selecting eligible projects. Final selection will be documented with a framework for attestation, controls and governance managed by JPMC’s Risk Controller organization. Sustainalytics considers this project selection process to be aligned with market practice.
MANAGEMENT OF PROCEEDS
JPMC has existing internal processes and mechanisms to track allocation of proceeds towards Eligible Projects and intends to allocate all bond proceeds within one year from date of issue. Sustainalytics considers this to be aligned with market practice.
REPORTING
JPMC intends to report on allocation as well as impact via KPIs which demonstrate impact of financing on an annual basis until full allocation. This report will be made publicly available and may be accompanied with an attestation from an independent accountant or ESG consultant. Sustainalytics considers this to be in line with market practice.