ESG Impact
Market participants are focusing more on the potential for environmental, social and governance (ESG) issues to affect investment decisions and to assist in the development of a more sustainable economy.
  • SUMMARY
  • REPORTS
  • Events

  • 25 Feb 2021|Moody's Investors Service
    Electric-vehicle battery makers will generally benefit from rising battery demand, but rapid business expansion and investments in innovative technology to maintain a competitive edge will come with operational risks and the challenge of keeping leverage stable. Mihoko Manabe and Motoki Yanase of the Corporates team in Tokyo examine the credit implications for rated battery makers in this podcast.

    OUTLOOK
    03 Feb 2021|Moody's Investors Service
    Major economies will integrate their economic recovery initiatives with longer-term efforts to reduce carbon emissions. Emissions targets in the EU, the US and China will converge again, while new regulations regarding climate-related disclosures will subject the financial system to greater scrutiny. And diversity initiatives will begin to drive higher turnover on corporate boards.
    Environmental
    SECTOR IN-DEPTH
    01 Mar 2021|Moody's Investors Service
    Among the largest global economies, the strength and implementation of renewable and clean energy policies vary, with China and the EU plus UK leading the way while the US trails its peers.
    SECTOR IN-DEPTH
    04 Feb 2021|Moody's Investors Service
    We expect global issuance of green, social and sustainability bonds – collectively referred to as sustainable bonds – to reach a record $650 billion in 2021, up 32% from last year. While we expect green bond issuance to surge 39% after a flat 2020, growth in social and sustainability bond issuance will slow as coronavirus-related financings begin to stagnate.
    Social
    SECTOR IN-DEPTH
    18 Jan 2021|Moody's Investors Service
    The pandemic-driven shift to online shopping and working from home will reduce demand for retail and prime office space in the region, a credit negative development for property companies that receive retail and office rental income.
    SECTOR PROFILE
    18 Jan 2021|Moody's Investors Service
    We have rolled out new environmental, social and governance (ESG) credit impact scores as well as E, S and G issuer profile scores for sovereigns to provide greater clarity, consistency and differentiation of risk exposures. Our new report explains that sovereigns’ exposure to environmental and particularly social risk is mostly negative and often combined with weak governance and financial strength. However, the credit impact of ESG varies widely, from positive to very highly negative.

    PODCAST
    10 Feb 2021|Moody's Investors Service
    A dwindling number of workers in developed economies will support a growing share of retirees, and growth and profitability are declining for banks, insurers and asset managers. Young Kim of the Insurance team and Tomoya Suzuki of the Banking team examine how South Korea’s insurers and Japan’s regional banks are turning demographics into opportunities (begins at 2:35), while Dean Ungar of the Asset Management team zeroes in on US asset managers’ future (begins at 11:35).​
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    Governance
    Sector In Depth
    08 Dec 2020|Moody's Investors Service
    Challenges to judicial independence in Poland and corruption in Malta and Slovakia heighten political risks and pose challenges for their economic development over the longer term.
    Sector In Depth
    25 Nov 2020|Moody's Investors Service
    Environmental, social and governance risks are often higher in emerging markets than in developed markets and debt issuers' capacity to address these risks is often weaker.