- Consensus in a new report is that strategy more than a fad
- Data quality, access seen as obstacles to meeting ESG goals
As the debate heats up over ESG investing, fixed-income professionals say they need more data than what’s currently out there.
A survey of 111 senior buy-side fixed-income investors, conducted by analytics firm Coalition Greenwich, found that 90% believe the popular strategy, which prices in environmental, social and governance risks, is important to decision making. Yet only about a third of investors have fully integrated ESG into their risk-analysis. The reason? Not enough data.
“It boils down to risk-management,” said Coalition Greenwich’s senior analyst Stephen Bruel. “If you don’t have reliable ESG data about an issuer or issuance, then it’s harder to calculate what the negative consequences might be.”
Bloomberg Green
By Allison Nicole Smith
December 9, 2022