Market Update

The definitions of what ESG really means are still blurry and there is no one-size-fits-all approach to sustainability. If anything, the growing popularity of these funds has highlighted the differences in the expectations of both individual investors and institutions when it comes to ESG.

Creating a truly sustainable bond fund is no mean feat. Unlike the listed equity universe, where ESG data is more readily available, it is often sorely lacking in the fixed income space. At the same time, the problem for fixed income managers is exacerbated by the complexity of a bond’s structure, consisting of multiple parts which must all be individually assessed.

Fixed income investors are in "pole position to push for change" when it comes to ESG

The remarkable pace of change in the markets as the global economy reopens points to opportunities in higher yielding bonds, with financials in particular set to benefit, says TwentyFour Asset Management CEO and portfolio manager Mark Holman.

The inexorable growth of sustainable investing during the last decade is likely to continue without interruption given the experience of COVID-19 has only intensified investor and regulatory focus on environmental, social and governance (ESG) issues globally.

TwentyFour Asset Management launched its first sustainable fund in January 2020 and I would like to share some of the lessons we have learned from our first year of sustainable bond investing.

In TwentyFour's Multi-Sector Bond update on Thursday 13th May 2021, Partner & Portfolio Manager Eoin Walsh provided an update on investment themes and positioning in the fixed income market.

In TwentyFour's Investment Grade update on Wednesday 12th May 2021, Partner and Portfolio Manager Chris Bowie provided an update on investment themes and positioning in the Investment Grade market.

In TwentyFour's ABS update on Monday 10th May 2021, Aza Teeuwen provided an update on investment themes and positioning in the ABS market.

Mark Holman explains why the likes of Warren Buffett and Ray Dalio are warning investors away from fixed income, and points out where he thinks they’re wrong.

TwentyFour AM partner and portfolio manager Douglas Charleston discusses how ABS markets have performed in the first quarter of 2021 and provides his outlook for the rest of the year.

TwentyFour Asset Management partner and portfolio manager, Chris Bowie, looks at the specific challenges faced by investors wanting to invest sustainably in the bond markets and considers two controversial examples in Tesla and Coca-Cola.