Environmental Finance's Bond Awards 2023

Sustainability bond of the year - corporate: Dream Impact Trust

Dream Impact Trust issued its inaugural C$40 million ($29 million) sustainability bond in June 2022. It was the first bond issued under the Dream Impact Trust's Impact Financing Framework.

A key differentiating factor on this issue was that Dream Impact Trust had developed a proprietary scorecard to measure the direct and indirect positive impact of each investment.

The scorecard includes both environmental and social metrics and will be externally verified, according to the Dream Impact Trust.

"It was great to see this innovation in the Canadian capital market," said an Environmental Finance Bond Awards judge.

Impact investing instruments issued under Dream Impact Trust's Framework will be allocated to projects across environmental sustainability, health and resilience, attainable and affordable housing; and inclusive communities.

"We are continuing to work with various levels of government and stakeholders to look for creative solutions for affordable housing needs and are tracking well as it relates to our sustainability commitments," says Michael Cooper, portfolio manager at Dream Impact Trust.

"This year, we also completed our baseline benchmarking as part of the Trust's broader 2025 social procurement targets.

"We intend to report publicly on our progress as part of our annual impact report this spring but feel we are well positioned to meet our stated objectives."

Deal highlights:

Issuer: Dream Impact Trust
Size: C$40 million ($29 million) 
Maturity: 31 December 2027
Coupon: 5.750%
Use of proceeds: Green buildings; energy efficiency; sustainable water and wastewater management; biodiversity and conservation; pollution prevention and control; adaptability and resilience to climate change; clean transportation; affordable housing, socio-economic advancement and empowerment; employment generation
External reviewer: DNV
Lead managers: TD Securities; Scotia Capital Inc.