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Record W4417051478 · doi:10.3390/jrfm18120689

Green Bond Pricing: A Comprehensive Review of the Empirical Literature

2025· article· en· W4417051478 on OpenAlexvenueno aff
Cheng Liu

Bibliographic record

VenueJournal of risk and financial management · 2025
Typearticle
Languageen
FieldEconomics, Econometrics and Finance
TopicSustainable Finance and Green Bonds
Canadian institutionsnot available
Fundersnot available
KeywordsBondYield (engineering)Investment (military)Bond marketEmpirical researchRisk premium

Abstract

fetched live from OpenAlex

As green finance grows, green bonds have become an essential tool for funding sustainable projects. While many studies explore whether green bonds exhibit a “green premium,” existing literature reviews often lack depth, timeliness, and consistent methodology. This paper addresses these gaps by systematically reviewing 70 empirical studies on green premiums published up to 2025, making it the most comprehensive review to date. We organize the literature by region (Global, U.S., Europe, Asia Pacific), market segment, premium dimension, data source, and estimation method, offering a structured framework to analyze diverse findings. Our analysis reveals a consistent negative green premium of −12.44 bps on average across most markets, with European and Asian markets showing higher yield spreads than the U.S. Studies using more recent data report smaller premiums, and larger bond issues tend to have lower premiums. Despite variations in methods and data sources, the overall results are consistent. This paper provides an updated overview of green premium research and offers key insights for investors, issuers, and policymakers on green finance pricing and investment strategies.

Fetched live from OpenAlex and de-inverted. Abstracts are not stored in this database: the inverted indexes are 8.6 GB of the frame’s 9.3 GB of text, and the host has 13 GB free.

How this classification was reachedexpand

Full frame distilled prediction

Teacher imitation

Not calibrated prevalence, not ground truth. Human validation pending. Learned from the 10,348 direct Codex labels and 10,348 direct Gemma labels. Candidate is the union of thresholded teacher heads; consensus is their intersection. These outputs are machine_predicted_unvalidated and are not human labels or direct frontier model labels.

metaresearch head score (Codex)0.000
metaresearch head score (Gemma)0.000
Version: codex-gemma-dda1882f352aValidation status: machine_predicted_unvalidated
Candidate categoriesnone
Consensus categoriesnone
DomainCandidate signal: none · Consensus signal: none
Study designCandidate signal: Not applicable · Consensus signal: none
GenreCandidate signal: Review · Consensus signal: none
Teacher disagreement score0.538
Threshold uncertainty score0.368

Codex and Gemma teacher scores by category

CategoryCodexGemma
Metaresearch0.0000.000
Meta-epidemiology (narrow)0.0000.000
Meta-epidemiology (broad)0.0010.000
Bibliometrics0.0000.001
Science and technology studies0.0000.000
Scholarly communication0.0000.000
Open science0.0000.000
Research integrity0.0000.000
Insufficient payload (model declined to judge)0.0000.000

Machine scores (provisional)

The two teacher heads of the student model, read on this work. A score orders the frame for review; it never asserts a category, and the validation status ships verbatim with every row.

Baseline scores from an immature model (maturity gate not passed, 7 training rounds). Scores rank; they never assert a category.

Opus teacher head0.024
GPT teacher head0.249
Teacher spread0.226 · how far apart the two teachers sit on this one work
Validation statusscore_only:v0-immature-baseline · verbatim from the scoring run: score_only means the number may rank works, and no category label ships from it

Classification

machine, unvalidated

Machine predicted; a candidate call from one teacher head, not a consensus.

The models applied no category: nothing in the taxonomy fit this work.
Study designNot applicable
Domainnot available
GenreReview

How this classification was reached, model by model and score by score, is at the end of the page under "How this classification was reached".

Quick stats

Citations3
Published2025
Admission routes1
Has abstractyes

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