In the drive for ESG investing, a gap has arisen between corporate bond and securitization markets, leaving investors to wonder if securitizations will ever leave the station. We see this as an opportunity to blaze new trails and influence better outcomes for investors, the environment and society.
- Securitized debt investors have been hampered in their ability to incorporate ESG factors due to the complexity of the market, a lack of data and changing classification standards
- Activity in ESG-branded securitized products is accelerating, with certain issuers offering innovative investments promoting sustainable loans and environmentally friendly assets
- We analyze ESG factors across three dimensions – collateral, parties and structure – providing a framework for delivering additional alpha while supporting practices that can foster a larger, more sustainable, more inclusive economy
- Our scale and expertise provide opportunities to work with issuers and the broker-dealer community to integrate ESG considerations when originating and servicing collateral or structuring new transactions