tailieunhanh - THE ROLE OF PENSION FUNDS IN FINANCING GREEN GROWTH INITIATIVES

A vast literature focuses on the predictability of . and international stock returns using macroe- conomic variables, such as the short government interest rate or the yield spread between defaultable and government bonds. For instance, Ferson and Harvey (1993) nd that returns on international stock indexes are predictable using macroeconomic indicators as conditioning variables. More strikingly, Ferson and Harvey (1999) nd that broad economic variables explain the cross-sectional variation in . individual stock returns better than the Fama and French (1993) empirical factors. Avramov and Chordia (2006) extend this literature by showing that substantial alphas are derived from choosing individual stocks based on macroeconomic conditioning variables. These. | Please cite this paper as Della Croce R. C. Kaminker and F. Stewart 2011 . The Role of Pension Funds in Financing Green Growth Initiatives OECD Publishing Paris. OECD WORKING PAPERS ON FINANCE INSURANCE AND PRIVATE PENSIONS NO. 10 THE ROLE OF PENSION FUNDS IN FINANCING GREEN GROWTH INITIATIVES By Raffaele Della Croce Christopher Kaminker and Fiona Stewart Ho G2 CTraV . sector clean _. infrestructure financing bonds pension _ e rau jnvesbmenb Oạtể pÍ Jcap balpr ecbsTUnQS growth issued renewable ỉnVGSuQrS impolicy countries support . --2j governments 6 notos m s assets p p _projecb including portttfob i devetoprig f inance regulatory global mtXAXaom eftaency low September 2011 OECD WORKING PAPERS ON FINANCE INSURANCE AND PRIVATE PENSIONS OECD Working Papers on Finance Insurance and Private Pensions provide timely analysis and background on industry developments structural issues and public policy in the financial sector including insurance and private pensions. Topics include risk management governance investments benefit protection and financial education. These studies are prepared for dissemination in order to stimulate wider discussion and further analysis and obtain feedback from interested audiences. The papers are generally available only in their original language English or French with a summary in the other if available. OECD WORKING PAPERS ON FINANCE INSURANCE AND PRIVATE PENSIONS are published on daf fin wp OECD 2011 Applications for permission to reproduce or translate all or part of this material should be made to OECD Publishing rights@ or by fax 33 1 45 24 99 30. 2 Abstract Résumé THE ROLE OF PENSION FUNDS IN FINANCING GREEN GROWTH INITIATIVES Abstract It is estimated that transitioning to a low-carbon and climate resilient economy and more broadly greening growth over the next 20 years to 2030 will require significant investment and consequently private sources of capital on a much larger scale than previously. With their USD 28