Graduation Year


Date of Submission


Document Type

Campus Only Senior Thesis

Degree Name

Bachelor of Arts



Reader 1

Joshua Rosett

Reader 2

George Batta

Terms of Use & License Information

Terms of Use for work posted in Scholarship@Claremont.


This study builds on prior research that has reported a positive stock market reaction upon a firm’s announcement of an upcoming green bond issuance. I analyze this distribution of cumulative abnormal returns after a green bond announcement, how this market reaction changes depending on a firm’s industry and geography. Namely, this study indicates that companies whose cash flows rely more heavily on environmentally-unfriendly practices have a greater chance of having a negative stock response if they decide to issue green bonds. Green bonds have become increasingly popular over the last ten years, and with many companies worldwide seeking carbon neutrality by 2040 in compliance with the Paris Climate Accords, executives are deciding whether green bonds are a viable option to fund sustainability projects and signal a commitment to the environment.

This thesis is restricted to the Claremont Colleges current faculty, students, and staff.