SBIFMPL has recently started to have an ESG lens over our Fixed Income coverage. Following are the steps being followed:
- ESG Ratings: We take the ESG ratings of listed parent companies of fixed income issuers to map the overarching group level policies and initiatives that extend to the subsidiaries
- ESG Questionnaire: We send out our in-house ESG questionnaire to the fixed income companies to assess them on their ESG initiatives. In this process we also encourage them to disclose their ESG initiatives publicly
- Screening: The Screening process is similar to that we use in Listed Equities. We include ESG assessment in the first stage of the initiation of a company under our coverage and check the score against a set threshold. We take decisions to invest accordingly.