IFM podcast series: ESG in Fixed Income

Our ESG in Fixed Income podcast series explores a range of ESG issues that are impacting fixed income markets and investors. Host Darren Pasco, Executive Director, Head of Treasury Services in IFM’s Debt Investments team, facilitates discussions with podcast guest Tim Conly, JANA’s Head of Responsible Investment and IFM’s Sjoerd Kitzen, Associate Director, Debt Investments.

Episode 1: Acts Matter

In the first episode of our ESG in Fixed Income series, we explore how fund managers have evolved to incorporate ESG perspectives into their fixed income portfolios. The taxonomy of sustainability-linked, social and green bonds is discussed, as well as the extent to which the objectives of sustainability-themed issuances align with the wider actions of the issuing companies.

Episode 2: Engage or divest?

This episode discusses the role of ESG-driven engagement in fixed income, exploring the question of how much influence fixed income investors can really have? It is a common perception that fixed income investors cannot engage or influence outcomes as they do not hold equity and they can’t vote. But is access to company CEOs and Chairs becoming easier for debt holders?

Episode 3: Greenium

We called this episode ‘Greenium’ as it discusses the potential impact that ESG investing decisions can have on portfolio construction and returns. We discuss critiques of ESG investing that argue it could negatively impact returns or move portfolios too far away from their relevant benchmarks.

Episode 4: Net Zero

In this ‘Net Zero’ episode, we focus on the extent to which companies are announcing interim 2030 targets and committing to be net-zero by 2050. The discussion highlights the complexities of the issue, which go far beyond voicing a commitment. Companies need a framework and a structure around such commitments, outlining how they will be achieved.