Sustainability is not just for equities. More and more asset owners who are investing to protect the world are starting to look at the ESG performance of all their portfolios. And in their fixed income exposures such an approach could improve their financial returns.
The thinking is that the kinder a corporate’s operations are to the planet, the less they will pay to fund their business through debt.
Yet research shows that those responsible for deforestation, for example, the risk is not priced in, but a correction could be on the way.
This month’s ESG Club explores the link between sustainability and debt to find out what investors need to know.
