<![CDATA[This study proposes to examine the return performance of green bonds and conventional bonds throughout Southeast Asian financial markets. As environmental issues and sustainability objectives increasingly shape global investment choices, green bonds have arisen as an innovative financial tool for funding sustainable initiatives. This research uses a quantitative analysis approach to analyze historical return data, yield spreads, and risk-adjusted performance (Sharpe ratio) of green and conventional bonds with maturity 2025 in prominent Southeast Asian nations, including Indonesia, Malaysia, Singapore, Thailand, and the Philippines. The regression results reveal that coupon rate and credit rating remain the dominant drivers of YTM for both bond classes. For conventional bonds, bidask spread, and volatility are insignificant, suggesting that investors with buy-and-hold horizons as immaterial. In contrast, green bonds exhibit significant positive sensitivities to both bid-ask spread and volatility, indicating a heightened liquidity and price-stability premium in this newer market segment. Meanwhile, Sharpe ratio analysis indicates that every country in the sample shows a superior risk-adjusted payoff for green bonds. Overall, the results suggest that green bonds in Southeast Asia not only meet environmental objectives but also deliver financially competitive often superior returns after controlling for risk.]]>
Copyrights © 2026
