The number of Emerging Market (EM) corporate issuers with responsible and sustainable business practices has been growing in recent years. As a result, the sustainable EM corporate bond market is today a sizeable, growing and well-diversified asset class, which gives investors access to private-sector issuers with strong Environmental, Social and Governance (ESG) credentials, located in the fastest growing regions of the world.
UBAM - EM Sustainable Corporate Bond invests exclusively in hard currency bonds, issued by EM corporate and quasi-sovereign issuers with sound ESG practices. The investable ESG universe is selected by a rigorous process combining exclusion, positive ESG selection and thorough credit analysis. It includes companies with strong ESG credentials, and avoids or limits exposure to those in breach of international norms like the UN Global Compact, or involved in controversial activities like weapons, tobacco or thermal coal.
The strategy aims to offer risk-adjusted financial outperformance over the long-term combined with superior ESG quality and lower carbon intensity than traditional EM corporate bonds.
Please find the code of transparence in french here.