Is Green Still Sexy?
Is green still
sexy?
Once seen as niche and idealistic, “green” has become a strategic imperative for companies worldwide. But while some markets are dialing back the green narrative, Latin America is doubling down, embracing thematic bonds.
Myriel Frische, Portfolio Manager at Finance in Motion explains how we are helping to accelerate this transformation.
The green label
For many people, the word “green” evokes images of planting trees, recycling, and hugging it out with Mother Nature. It's romantic. It's noble. But is it current and even still, dare I say, sexy? Well, that depends on who you ask.
In truth, the green label has evolved into something much bigger. What was once considered niche has taken flight and even fight within the mainstream competitive business world. In 2023, according to Carbon Disclosure Project (CDP), 86% of the S&P 500 companies publicly announced their climate targets, showcasing to the market their commitment to making environmental action part of their core business strategies.
Green Is No Longer Optional — It’s Operational
Today, when companies shift to green practices, they’re doing it to stay competitive. The European Central Bank’s 2023 Supervisory statement reported, 86% of banks are disclosing their material exposures to climate and environmental risks. This means they are taking risk-adjusted steps to reduce the exposure of their portfolios to unforeseen climate and environmental events. In addition, over 90% provided basic descriptions on how they identify, assess, and manage environmental risks. Measured steps to future-proofing one’s business.
And yet, while the practices of the green economy are spreading, there are those that are ‘hushing’ the label.
Bright, bold and unapologetic, Latin America is reshaping and leading the way in financial innovation.
While Some Whisper “Green,” Others Say It Out Loud
Despite the emerging tendency – in the US and Europe – to hide or tone down any green measures implemented (“greenhushing”), in Latin America companies are openly and eagerly pushing the sustainability agenda. This can be evidenced in the thematic bond market.
Though the region represents a small fraction (5%) of the global thematic bond issuance volume, it tells a different story upon closer look. Thematic issuances in the region are growing faster than plain bonds, now accounting for 35% of all international issuances. This share is more interesting when looking at the world average, which stands at 2%*.
Bright, bold and unapologetic, Latin America is reshaping and leading the way in financial innovation. In 2023 alone, the region was responsible for nearly half (49%) of global blue bond issuances, mobilizing USD 2 billion**. Since 2021, it has executed seven sovereign debt-for-nature swaps and pioneered groundbreaking tools like the Amazonia Bond Investment Guidelines.
Through the LAGreen Fund, we share this spirit. By investing in green bonds in Latin America and the Caribbean, we channel financing towards sustainable local projects in support of environmental and societal benefits.
This allows us to not only push green financing but support companies to shift their productive models and adopt sustainability, or should I say ‘green” practices. Not just to check a box — but to improve operations, reduce risk, tap into new consumer demand and above all, reduce costs to remain competitive.
Maybe We Lost the Romance, But Not the Reason
There’s no doubt that we’ve lost some of the romance around “green.” It no longer feels like a revolution and may even be perceived as controversial by some. Whatever the case, the goal was never just to wear the badge; it was to change the system. To change how business works. And that’s happening, label or not.
The truth is, companies are making these changes ‘hushed’ or not. They are transitioning to low-carbon processes. They are investing in renewable energy, adopting circular models and regenerative practices. The fact that they’re not shouting “green!” from the rooftops doesn’t mean the transformation isn’t real, it’s now a no-brainer.
The 2025 Business Breakthrough Barometer of the World Business Council for Sustainable Development (WBCSD) indicates that 56% of business leaders consider long-term industrial competitiveness as the primary reason for investing in the transition to a low carbon economy. Their goal is to access growth markets, cost savings and future proof operations. And this is where LAGreen steps in.
LAGreen Redefining Sexy
For LAGreen, sexy today is a recycling plant in Bogota reducing the amount of waste that goes to the landfills. It’s a bank in Guatemala or Peru issuing green loans to small agricultural producers that adopt resilient practices. It’s a construction company focusing on building energy and water efficient homes in Mexico.
Let’s face it, green is now the standard. And maybe that’s the point. When something becomes the new standard, it stops needing the spotlight. It becomes baked into how we operate.
But we still need the narrative. We still need the stories. Because even if the term “green” is no longer the headline, the impact it creates deserves attention. Not just from consumers — but from institutional investors, governments, and innovators.
We at Finance in Motion and through the LAGreen Fund work hard to accelerate the transition and make it visible, profitable and yes — even a little sexy.