Publication Type
Journal Article
Version
submittedVersion
Publication Date
2-2023
Abstract
Using a global dataset of over 840,000 equity, bond and syndicated loan investment banking deals, we build the fossil fuel investment brokerage profile of financial centres worldwide between 2000 and 2018. We also study whether city-level fossil fuel divestment commitments and country-level green banking policies impact the profile of fossil fuel financial centres over our study timeframe. We find that several financial centres shift their fossil fuel investment brokerage profiles substantially, including the asset classes in which they are active. However, we do not find any evidence that this is driven by city-level divestment commitments. In contrast, we find that fossil fuel investment banking brokers situated in financial centres exposed to voluntary green banking policies reduce their fossil fuel financing. This is driven by foreign brokers whose behaviour appears to signal an anticipation of forthcoming mandatory green finance policies.
Keywords
Fossil fuel, financial centres, fossil fuel divestment, green banking policies, brokerage
Discipline
Environmental Sciences | Finance and Financial Management
Research Areas
Integrative Research Areas
Publication
Regional Studies
Volume
57
Issue
2
First Page
268
Last Page
286
ISSN
0034-3404
Identifier
10.1080/00343404.2021.1995601
Publisher
Taylor and Francis Group
Citation
COJOIANU, Theodor Florian; Hoepner, Andrea G. F.; Schneider, Fabiola I.; Urban, Michael; Vu, Anh; and Wojcik, Dariusz.
The city never sleeps: But when will investment banks wake up to the climate crisis?. (2023). Regional Studies. 57, (2), 268-286.
Available at: https://ink.library.smu.edu.sg/cis_research/368
Copyright Owner and License
Authors
Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial-No Derivative Works 4.0 International License.
Additional URL
https://doi.org/10.1080/00343404.2021.1995601