Internally developed ESG ratings and the dynamics of the underlying factors are monitored and followed by portfolio managers and constitute a firm component of a standard analysis conducted by portfolio managers when making active decisions. Given, however, that most of the active risk taking occurs in the high quality ESG space of the major developed market sovereign bonds, the ESG analysis does not typically affect the outcomes of the fundamental analysis to a large degree. For sovereign bonds held in countries with a low ESG rating, portfolio managers monitor the ESG developments and seek opportunities to improve the ESG scores when opportunities arise.