Tokyo, February 17, 2023 - Nomura Fiduciary Research & Consulting Co., Ltd. (NFRC), a wholly owned subsidiary of Nomura Holdings, Inc., today announced that from April 2023 it will revise the classification of NOMURA-BPI SDGs¹ and publish a sub-index named NOMURA-BPI SDGs Extended, which expands the index universe of NOMURA-BPI SDGs.

In response to growing interest in SDG bonds, NOMURA-BPI SDGs was developed in 2019 for use in performance measurement and risk analysis of the Japanese domestic SDG bond market.

The issuance of new types of bonds has increased in recent years amid a global move towards decarbonization, and transition bond issuances are expected to grow to further support this transition.

In light of these market changes, NFRC will add transition bonds to the three categories (green bonds, social bonds and sustainability bonds) that currently make up NOMURA-BPI SDGs for a total of four categories².

In addition, some sustainability-linked bonds and transition-linked bonds included in the NOMURA-BPI index are not included in the NOMURA-BPI SDGs sub-index. NFRC will publish a new NOMURA-BPI sub-index named NOMURA-BPI SDGs Extended to include such bonds that are eligible as SDG bonds³.

In keeping with its aim to Drive Sustainability, Nomura actively engages in ESG and SDG initiatives to help resolve issues affecting society and build a more sustainable world. By developing indices and providing necessary information, NFRC aims to contribute to economic and sustainable social development, while supporting the growth of the SDG bond market in Japan.