PRI launch fixed income ESG investor guide
Analysis of Environmental, Social and Governance (ESG) issues such as corruption and climate change should be considered as a natural fit for fixed income investors as it can help to manage risk and identify credit strength, according to a new report released by Principles for Responsible Investment (PRI).
The report is intended as a guide for fixed income investment managers and their clients on how to incorporate ESG into their investment strategies to gain the available information advantage. It was based on interviews with major fixed income investors and support from an investor working group. Participants included two sponsors; KfW Bankengruppe and Union Investment, as well as BlueBay Asset Management, Crédit Agricole CIB, Deutsche Asset & Wealth Management, Zurich Insurance Group and Rathbone Investment Management. The report explores a range of issuer types, such as governments, corporations and financial institutions, and touches on different (listed and private) instruments, including asset-backed securities. A copy can be downloaded here.