Hybrid instruments with equity-like features

The transformation of the economy towards climate neutrality is associated with enormous investments, but these sometimes pose major financial challenges for industry. The Federal Ministry for Economic Affairs and Climate Action has therefore commissioned dena and the Frankfurt School of Finance & Management to conduct a company survey to examine whether an instrument to strengthen the equity base of companies, a hybrid instrument with equity-like features, could be helpful in this respect. The report presents the results of the survey on the need for such an instrument and indications of preferred design features.