Despite global policy divergences, the fundamentals underlying sustainable finance and investment still hold, and corporate issuers, asset owners and investors are using them to make business-first decisions.
In this episode of Sustainability Leaders, host Melissa Fifield, Head of the BMO Climate Institute, welcomes:
Nalini Feuilloley, Head of Sustainable Investment, BMO Global Asset Management
John Uhren, Global Head of Sustainable Finance, BMO Capital Markets.
They unpack demand drivers like electrification, energy efficiency, and capital-intensive transition investments; why renewables remain a major destination for labeled capital; and where momentum is building next (including AI data center financing).
Below are highlights from the podcast:
Q: Now we're well into 2026 ... how are things evolving from your perspective?
John Uhren:
“Things haven't slowed down globally. That continues to be the case. It's really about deploying optimal capital and efficient capital in a way that has environmental and social impact but of course helps the company succeed and compete in the real world.”
Nalini Feuilloley:
“The fundamentals of sustainable investment are still what they were 10 years ago … And we're also seeing a lot of CapEx allocation happening in industries in which we invest in sustainability, because it just makes good business sense.”
Q: At this point last year sustainable loans specifically were heavily concentrated in industrials and technology ... What’s driving demand in those sectors?
John Uhren:
“From an industrials perspective, it's really about the fact that they're incredibly capital-intensive operations, and we’re seeing higher energy costs, higher input volatilities, supply chain resilience requiring more investment in a way that maybe looks different than it did 20 or 30 years ago.”
Q: Where do you see the biggest opportunities by sector or instrument or geography?
Nalini Feuilloley:
“The energy transition continues to be one that we follow very closely, like looking at critical minerals, the mining sector, battery storage, and just really the opportunity side of the equation.”
John Uhren:
“Nuclear is one area that we circle and spend a lot of time with at BMO. Certainly, within the Canadian context, we saw nuclear be added to the government of Canada's green bond framework at the end of 2024.”
Q: What are you most closely watching over the next 12 to 24 months?
Nalini Feuilloley:
“We're following very closely the transition taxonomy framework here in Canada and what that means for transition bonds. We're really excited about that. We think they're necessary.”
John Uhren:
“I'm very interested in the fact that 31% of sustainable bonds will mature in 2026 ... I'm curious to see whether or not corporates continue their programs.”