PETALING JAYA: Environmental, social and governance (ESG) factors are high up on international bond investors’ radar as more local institutions gear up to enter the responsible investment space.
Bond analysts said more investors are making in-depth considerations for ESG factors before investing in sukuk and bonds to better manage risks to ensure sustainable investments amid a tough and volatile investment climate. Industry experts have acknowledged that these factors are paramount for the long-term stability and health of capital markets.