Fixed on ESG

Antimicrobial Resistance (AMR) is one of the most urgent health challenges today, making infections harder—and sometimes impossible—to treat. This episode of  Fixed on ESG explores what AMR is, why it matters, and its wide-ranging impact on health systems and the global economy. We also highlight the science behind resistance, why innovation in diagnostics, vaccines, and stewardship is critical, a...

COP30 took place in Belém, Brazil, at the heart of the Amazon, setting the stage for high-stakes climate negotiations amid one of the planet's most critical ecosystems. This episode of Fixed on ESG examines the summit's defining outcomes: the formal acknowledgment that the 1.5°C target is no longer attainable without overshoot, debates over fossil fuel phase-outs, and the shifting balance of influ...

Access to medicine is a vital issue at the crossroads of global health issue, corporate responsibility, and ESG investing. Join us as we unpack barriers to equitable access, explore how pharmaceutical companies and ESG-focused investors are addressing these challenges, the emergence of patient reach is as a measure of progress, and how improvements in reporting can align access initiatives with bu...

As the International Maritime Organization (IMO) presses to implement their groundbreaking Greenhouse Gas Fuel Intensity Standards across the shipping industry, we examine the scope and likely impacts of these net-zero regulations. Get our take on the credit implications to the industry—including progress on the transition to alternative fuels—as well as considerations for investors in this growin...

EU ESG regulations significantly impact companies operating within the EU, necessitating precise actions and accountability. This episode of  Fixed on ESG outlines the key institutions responsible for shaping EU ESG regulations and the various forms these regulations can take, including sustainability frameworks and reporting obligations to investment classifications. We will examine the current t...

With climate-related events increasing in frequency and severity, we discuss the role of insurance in mitigating the economic and social risks. With a focus on the property and casualty insurance sector, learn about insurance's economic role, how insurers are adapting their strategies to protect against losses while offering coverage where it is needed, and the importance of risk mitigation effort...

This episode of  Fixed on ESG  unravels the perils of fast fashion ,  the environmental footprint, transparency challenges, and opportunities for innovation. We highlight the role of different stakeholders across the value chain in driving change towards a more sustainable future. Samantha Van Belle , ESG Specialist at PGIM Fixed Income, hosts this discussion with Alice Roche-Naude , Sustainabilit...

Often excluded from ESG portfolios on ethical grounds, the defence sector is at the forefront due to current geopolitical tensions. In this episode of Fixed on ESG, we consider whether defence companies should be included in ESG investments, the rising strategic importance of defence, investment barriers, and the potential for ESG-conscious investors to reconsider their exclusion policies. PGIM Fi...

Investors are looking to the United Nations Sustainable Development Goals (SDGs) as one tool to help guide impactful investments. This episode of  Fixed on ESG explores the role of the SDGs as a framework for identifying opportunities, SDG-related challenges (e.g. "SDG washing"), the financing gap, methodological issues in assessing contributions, and factors to consider when balancing operational...

Securitised credit is emerging as a key driver in financing the green transition, offering investors opportunities to support ESG initiatives without sacrificing return. This episode of Fixed on ESG navigates how securitisation helps fund green assets, the challenges of measuring financed emissions, and the evolving regulatory landscape in the U.S. and Europe. We break down the mechanics of green...

Can green bonds—intended to drive sustainability—complicate emissions reporting? This episode of Fixed on ESG explores the complexities of green bonds and their reported emissions. We examine a proposal by the Partnership for Carbon Accounting Financials (PCAF) and highlight issues like vanishing emissions, unallocated proceeds, increased reporting demands, and the need for a comprehensive approac...

With COP29 in Baku, Azerbaijan now concluded, the conference ultimately delivered mixed results. In this episode of  Fixed on ESG , we analyse the key takeaways from the event, including the geopolitical tensions, financial commitments, and growing Global North-South divide that influenced the outcomes. We also highlight under-the-radar wins, such as methane reduction pledges and the establishment...

There are many top-down tools that attempt to model climate-related credit risks, but risks relating to the transition towards a low carbon economy often stem from complex regulation and hotly debated policy that are not easily captured in simplistic models. In this episode of  Fixed on ESG , we focus on the EU autos sector as a means of exploring how we leverage our bottom-up research approach to...

The past decade's explosive increase in digitalisation is forecast to continue exponentially in the coming years. This expansion of the digital economy is fueling the need for data centres. But data centre growth may see significant challenges given the large amounts of electricity they require. Uncertainty about how quickly their power demand will grow is also creating challenges for utilities th...

The rising cost of housing has brought into full view the need for more affordable housing solutions. Fannie Mae's new Mission Index aims to assist the housing market by enhancing transparency and supporting disadvantaged borrowers. This episode of Fixed on ESG explores the Mission Index and Social Bond Framework for single-family RMBS pools, looking at pool composition, prepayment performance, th...

Debt-for-nature swaps have come to the forefront as a unique solution for both environmental conservation and debt alleviation. In this episode of Fixed on ESG , we are joined by The Nature Conservancy, an organization that's aided in structuring several of these types of instruments. Together, we examine their role in alleviating the post-pandemic debt surge in developing economies, the environme...

The aviation industry is under the sustainability microscope with recent estimates finding that it contributes to 6% of total global warming . This episode of Fixed on ESG explores the role of Sustainable Aviation Fuel (SAF) in mitigating aviation's environmental impact, the contrasting policy approaches in the U.S. and EU, and discusses the potential implications of SAF on airline credit profiles...

Tackling the intricacies of ESG investing in a warming world is a top challenge for today's investors. In the second half of this two-part series, we explore the practical application of temperature alignment in investment strategies, detail the limitations of third-party ESG data, and introduce PGIM Fixed Income's proprietary Temperature Alignment Tool, which offers a nuanced assessment of a comp...

In the face of escalating climate challenges, temperature alignment is taking center stage and helping to reshape climate-conscious investment strategies. In the first of a two-part series, we delve deeper into this innovative tool and its role in the low carbon transition, understanding the shift from excluding to backing certain issuers critical to the low carbon transition, the reason for secto...

The vital role of biodiversity across social and economic dependencies has captured the attention of ESG investors. With biodiversity in focus and a surge of new datasets to inform investment considerations, we explore how biodiversity is measured, approaches to investing in nature, how we tackled some of the complexities in biodiversity data when redesigning PGIM Fixed Income's Sovereign ESG Impa...

For fixed income ESG investors, gaining a deeper understanding of emerging markets is crucial as standard ESG assessments may neglect the complex economic and social dynamics that influence positive ESG impact as well as investment risks and opportunities in these regions. In this episode of Fixed on ESG , Nuvneet Dhillon, CFA , ESG Specialist, highlights our enhanced Sovereign ESG Impact Rating f...

Several major reports were released just ahead of this year's COP28 in the UAE on the state of climate action, the widening gap between actual progress and policies on decarbonization, and what would be needed to limit warming to well below 2°C. In this second of a two-part instalment of PGIM Fixed Income's Fixed on ESG , James Malone, CFA , ESG Research Specialist, and John Ploeg, CFA , Co-Head o...

COP28, which was hosted in the UAE, has come to a close. In the first of a two-part instalment of PGIM Fixed Income's Fixed on ESG , James Malone , CFA , ESG Research Specialist, and John Ploeg , CFA , Co-Head of ESG Research, analyse the key takeaways of the COP. The duo take a closer look at the results of the first-ever Global Stocktake, discuss the effectiveness of Nationally Determined Contri...

Climate finance has gained significant attention over the past decade due to the increase in extreme climate events around the world. While developed countries have been the largest contributors to climate change, it's developing countries that often feel the worst of the impacts as they struggle to finance resources to respond, rebuild, and protect themselves from extreme weather events. In this...

With the use of plastic packaging on the rise, the issue of plastic waste looms large and complex. Plastic is a prevalent part of our lives, but this widespread use poses alarming consequences to the environment and to our health. In this episode of PGIM Fixed Income's Fixed on ESG , David Klausner, ESG Specialist , hosts guests James Malone, CFA, ESG Specialist , and Richard Kus, CFA, U.S. Levera...