Written by: 01 - Featured 09 - Use of Proceeds

What the Duck? Refinancing, LookBack, Allocated & Unallocated UoP

Some of the most misunderstood concepts in the Sustainable Finance market are the differences between Refinancing, Look Back Periods, Allocated and Unallocated Use of Proceeds

As these are crucial concepts for the use of proceeds products in Sustainable Finance, we seek to clarify each one and also reference best market practices that you’ll need to know:

Conclusion & Future Developments

Overall, these are important concepts which are crucial to understanding how use of proceeds instruments work and can be structured.

We believe these principles are timeless and key to how use of proceeds function, so there is unlikely to be any major changes to these elements.

These are also relevant concepts for Transition labelled instruments which are generally built on use of proceeds concepts as well.

Tags: , , Last modified: April 12, 2022