The climate is right for fixed income sustainability

Bond markets are three times larger than equity markets, so it’s surprising that while sustainable equity investment strategies have caught the imagination of investors across the globe, they have so far less successfully ignited fixed income investing.

This may be about to change. According to the United Nations’ Intergovernmental Panel on Climate Change, climate mitigation costs for governments are estimated to reach almost $1 trillion a year for the next 30 years. This should surely be concerning for investors because climate change—and the efforts required to mitigate its impact—carry numerous risks that have not historically been incorporated into investment grade government debt investment decisions.

Read the complete white paper at the link beneath Related Files