Markets
TD Securities collaborates with Yorkshire Building Society on its first-ever Senior Social Bond
October 4, 2021
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2 minutes 30 seconds
TD Securities solidified a deal with Yorkshire Building Society (YBS), the U.K.'s third-largest building society, on a promising social bond that supports the mandate to provide Real Help with Real Life.
It delivers a flurry of firsts. It is the first senior social bond for YBS; the first senior social bond from a U.K. building society; the first Sterling social bond from a U.K. financial institution, and the first social bond from a financial institution in which TD acted as a Joint Lead Manager (JLM).
It delivers a flurry of firsts. It is the first senior social bond for YBS; the first senior social bond from a U.K. building society; the first Sterling social bond from a U.K. financial institution, and the first social bond from a financial institution in which TD acted as a Joint Lead Manager (JLM).
Partners for positive outcomes
"TD and other JLMs advised on the format of the bond, including currency, rate and tenor, to ensure there was the required demand for the best possible execution" says Duncan Asker, Director of Treasury, YBS. "Through regular dialogue, they kept us aware of the latest market developments and provided us with the confidence to launch the trade. Once out in the market, a series of investor calls were arranged which enabled us to talk directly to key accounts and explain the reasons behind the Society’s strong recent performance and future outlook. This helped to build the order-book and, along with advice from TD and other JLMs, enabled us to generate a satisfactory outcome for both our investors and ourselves".
YBS is a mutual organization that focuses on delivering value to its members over maximizing profit for shareholders. Its steadfast goals are to help individuals secure a home and guide them towards financial wellbeing.
Positive social outcomes are a pillar of YBS' Social Financing Framework. The proceeds from social issuances enable YBS to prioritize underserved customers, including first-time home buyers, self-employed contractors, retirees, and those who rely on shared home ownership and social housing schemes. All lending is carried out with an eye on YBS' broader risk appetite, which ensures its ongoing sustainability.
YBS is a mutual organization that focuses on delivering value to its members over maximizing profit for shareholders. Its steadfast goals are to help individuals secure a home and guide them towards financial wellbeing.
Positive social outcomes are a pillar of YBS' Social Financing Framework. The proceeds from social issuances enable YBS to prioritize underserved customers, including first-time home buyers, self-employed contractors, retirees, and those who rely on shared home ownership and social housing schemes. All lending is carried out with an eye on YBS' broader risk appetite, which ensures its ongoing sustainability.
The big picture
"Our Financial Institutions Group (FIG) and Sustainable Finance and Corporate Transitions (SFCT) Teams worked hand-in-hand with Duncan Asker and his team to execute a Social Bond that would help YBS' most vulnerable customers," says Victor Blanchard, Director, Debt Capital Markets, FIG, TD Securities. "We were really impressed with U.K. and European investors' drive to better understand YBS' Social Financing Framework and ESG objectives. In the end, investor demand exceeded expectations and the transaction was an immense success."
This new social bond represents one of many ESG efforts. YBS' Financial Risks of Climate Change Team, comprised of risk, governance, finance and environmental professionals, is aiming to deliver a Financial Climate Risk Disclosure Plan by the end of the year. At the same time, YBS' Environmental Working Group is working on reducing the environmental impacts of its business to help combat climate change.
ESG plays just as critical a role in our business. TD has underwritten over US$30B in Green, Social and Sustainability (GSS) Bonds since 2010. Our TDS Sustainable Finance & Corporate Transitions Group also continues to provide ESG advisory services across our Global Markets, Corporate and Investment Banking businesses. We continue to seek opportunities, and partnerships, that drive good value and strengthen communities.
This new social bond represents one of many ESG efforts. YBS' Financial Risks of Climate Change Team, comprised of risk, governance, finance and environmental professionals, is aiming to deliver a Financial Climate Risk Disclosure Plan by the end of the year. At the same time, YBS' Environmental Working Group is working on reducing the environmental impacts of its business to help combat climate change.
ESG plays just as critical a role in our business. TD has underwritten over US$30B in Green, Social and Sustainability (GSS) Bonds since 2010. Our TDS Sustainable Finance & Corporate Transitions Group also continues to provide ESG advisory services across our Global Markets, Corporate and Investment Banking businesses. We continue to seek opportunities, and partnerships, that drive good value and strengthen communities.
Learn more about our Sustainable Finance & Corporate Transitions team
Director, Debt Capital Markets, Financial Institutions Group, TD Securities
Director, Debt Capital Markets, Financial Institutions Group, TD Securities
Director, Debt Capital Markets, Financial Institutions Group, TD Securities
