Wealth Strategies
The ESG Phenomenon - Bloomberg, MSCI
We gather developments and commentary in and around the ESG investment space.
Bloomberg
News, business and financial information service group Bloomberg has put
environmental, social and goverance (ESG) ratings from MSCI, the
index group, on the Bloomberg terminal.
MSCI ESG Ratings by MSCI ESG Research can use these on the
terminals alongside other data. The ratings measure a company’s
resilience to long-term, financially relevant ESG risks. MSCI
rates businesses on an “AAA to CCC” scale according to their
exposure to ESG risks and how well they manage those risks
relative to peers.
“With the shifting regulatory landscape and the demand for
long-term sustainable returns, investors need the full picture of
ESG data available to make informed decisions,” Patricia Torres,
global head of sustainable finance solutions at Bloomberg,
said.
NN Investment Partners
The global green bond market is set to grow from around €662/672
billion to €1 trillion ($1.17 trillion) by the end of 2021 and €2
trillion by the end of 2023, according to NN Investment
Partners. However, the company warns that around 15 per cent
of bond issues aren’t truly Green at all, coming from companies
involved in controversial practices that breach environmental
standards.
Drivers of market growth come from the demand side – investors –
while some large firms are keen to stress their Green credentials
and are issuing corporate debt that fits with this model.
