Tail dependence and systemic risk spillovers between green bond and G7 stock markets

Puntos clave

• Systemic risk spillovers indicate a connection between green bonds and G7 stock markets, impacting financial stability.
• The analysis highlights significant tail dependence, suggesting a joint risk assessment approach is necessary.
• Assessment was based on market data from G7 economies and green bond indices, capturing critical financial interactions.
• These findings may enable better risk management strategies to address vulnerabilities in interconnected markets.