The Canadian Imperial Bank of Commerce is launching a Canadian bond framework focused on a commitment to promoting women in corporate leadership roles.
The bond framework aims to meet the increasing demand by institutional investors for options to commit dollars to socially responsible investments, according to a press release from the bank.
“This new social bond framework focused on gender diversity will bring a new investment option to the institutional bond market, reflecting the growing demand among clients for socially responsible investments,” said Susan Rimmer, managing director and head of global corporate banking for CIBC Capital Markets, in a press release.
The bonds will provide corporate lending to companies with a minimum of 30 per cent women on their boards or in executive positions. As well, it will target signatories of the Catalyst Accord 2022, a commitment to accelerate the advancement of women in business with the aim of achieving women as 30 per cent of corporate boards and holding executive officer positions by 2022. All companies eligible for the bond must have at least one female board member and one female executive.
“A social bond focused on women in leadership roles sends a clear signal about the importance of gender diversity as a business imperative,” noted Rimmer.