Leadership in ESG Investing
Stone Harbor has an extensive history of integrating environmental, social, and governance (ESG) factors throughout our investment processes. We believe that ESG analysis is a vital component of fundamental credit research and will continue to increase in importance into the future.
We believe that ESG factors should be regarded as integral components of thorough credit analysis and sustainability research. Throughout the firm’s history, we have continuously researched new sources of information that add value in the analysis of all risks, including ESG. We are confident in our ability to monitor, manage, and minimize specific ESG risks in our portfolios as part of our commitment to responsible investment for our clients, while seeking to achieve excellent risk-adjusted returns.
Throughout our history, we have striven to be at the forefront of ESG risk assessment. In building our processes, we have:
Developed a proprietary framework for inclusion of ESG factors into our fundamental investment process in emerging markets debt (EMD).
Conducted extensive quantitative research into the impact of ESG factors on EMD returns.
Engaged with corporate and sovereign issuers on ESG risks and their impact on creditworthiness and sustainability