Charting a sustainable advantage: Fixed income summary
With the help of RBC Global Asset Management, we wanted to understand the growth of responsible investing principles. A survey of 23 questions was completed by investment professionals throughout Canada, Europe, Asia and the US.
The results? A surge of interest in environmental, social and governance (ESG) principles.
Survey data indicates that institutional investors have shifted from asking whether or not to adopt ESG principles, to embarking on implementation methods.
The results reveal that the adoption of responsible investing – including ESG integration, impact investing and engagement by asset owners – is growing steadily as the focus of institutional investors moves from ‘whether to’ to ‘how to’ implement a responsible investment approach.
A gap was also uncovered between what institutional investors want and what’s on offer regarding ESG-focused fixed income solutions.
Three-quarters of investors following ESG principles favour gender diversity on corporate boards – perhaps reflecting broader societal shifts. Yet there is no consensus on the importance of the issue, or how to achieve it.
Responsible investing clearly remains on a strong upward trend. The gaps that exist regarding information and resources illustrate that there is more to be done to build a fully functional market around ESG investing that meets the needs of institutional investors and the consultants and managers that serve them.
To learn about our approach in more detail, click here.