Fixed income market practitioners are evolving to integrate environmental, social and governance (ESG) factors and, at Russell Investments, we are witnessing a rapid expansion in the techniques used to further embed ESG into day-to-day practices.

In this paper, we share some key ESG integration trends we are observing amongst these practitioners. These are derived through a combination of findings from our annual ESG Manager Survey as well as up-to-date discussions with some of the leading fixed income managers in the market. The topics covered here are:

  1. ESG for fixed income investing
  2. Sense of urgency/ESG journey
  3. Data coverage availability
  4. Engagement
  5. Materiality
  1. Regulation
  2. Reporting
  3. Climate-risk measures
  4. Product offerings
  5. Surge of labelled bond insurance