JPMorgan Makes Case for Polluters as It Pitches Transition Bonds

A new kind of bond issued by companies that pollute has caught the attention of investors eager to fill their climate-friendly portfolios, according to the head of green bonds at JPMorgan Chase & Co., Paul O’Connor.

Transition bonds are a way for issuers to raise funding by promising to clean up their business. While only a few of these securities have ever been sold, they’re set to play a key role in stretching the universe of assets that will eventually live up to environmental, social and governance goals, said O’Connor, who oversees JPMorgan’s business in Europe, the Middle East and Asia.