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Second-Party Opinion Download

Project Details


The California Endowment Social Bond Framework Second-Party Opinion


The California Endowment

Project Type

Social Bond/Loan

Industry Group


Use of Proceeds

Socio-economic advancement; Access to essential services;



Evaluation Date

Jan 2021

Evaluation Summary

Sustainalytics is of the opinion that The California Endowment Social Bond Framework aligns with the four core components of the Social Bond Principles 2020. This assessment is based on the following:


The eligible categories for the use of proceeds – Power Building, Health Coverage, Health and Wellness, Health Workforce, Resilient Communities and Research and Evaluation – are aligned with those recognized by the Social Bond Principles, namely socioeconomic advancement and empowerment and access to essential services. Sustainalytics considers that the eligible categories will lead to positive social impacts and advance the UN Sustainable Development Goals, specifically SDGs 3, 4, 9, 10 and 17.


The California Endowment’s leadership and program teams will be in charge of selecting the recipients of the Opportunity Investments. Prospective grantees will be evaluated to ensure they align with the Endowment’s mission and that they comply with all legal requirements. Sustainalytics considers the project selection process to be in line with market practice.


The California Endowment will track net proceeds of the social bonds through a register which will be updated on an ongoing basis. The unallocated proceeds of the social bonds will be held in a segregated account at the Endowment’s custodian bank and will be transferred to an operating account for disbursement, on an as-needed basis. This is in line with market practice.


The California Endowment intends to report on the allocation of proceeds on its website on a monthly basis, until full allocation, in line with the Endowment’s current grantmaking reporting. TCE also intends to include relevant impact metrics including recipients, location, subject area, and population served. Sustainalytics views the Endowment’s allocation and impact reporting as aligned with market practice.