Investment Strategies

Navigating ESG: What to Demand and What to Avoid

During a panel discussion at the 2019 Milken Global Conference, Scott Mather, CIO U.S. Core Strategies, takes a look at current themes in how ESG is integrated into traditional asset management. To learn more, download our ESG investing report at

More from this section

Read Transcript

Text on Screen: An excerpt from: Milken Institute 2019 Global Conference
Panel discussion: Navigating ESG: What to Demand and What to Avoid
How does PIMCO approach ESG integration?

Scott Mather, PIMCO: From the fixed income perspective, several years we sort of realized that fixed income was getting left behind, for the most part. People were doing things, deepening their research on the equity side of the business. So we saw it as great opportunity.

And certainly understood that there's growing risks if we didn't up our game in our research. So we really wanted to address two things. And we took the integration pretty seriously, in saying, "The analysis has to be done by the experts. So every group, develop a methodology for your particular corner of the bond market."

They develop the framework themselves. And being experts in that particular area of the markets, I think means that they're doing a better job than imposing something by somebody who's just an ESG expert.

And, of course, to maintain some consistency, we do have ESG analysts that basically going around different groups, just trying to make sure that we don't have a hundred different versions of what people are thinking is the right way to approach ESG in their sector.

But we wanted to have a platform, too, so that we could deliver a solution for any client that comes. Clients will have different concerns, different levels of ESG-ness, if you will, different things they want to achieve. And we want to have a flexible platform, where we can just dial in exactly. Give them advice on how they should think about structuring their particular mandate.

So we have that. It's a platform. But all the integration that we built out is really to the benefit, we think, of all of our investors. Because we think it's completely additive to making batter investment decisions.

Text on Screen: How does PIMCO engage with fixed income issuers?

I think people for a long time just assumed the only way to have an impact or change corporate behavior or issuers' behavior is through a proxy vote. But they didn't really think through that in fixed income, what's unique is this maturity.

If somebody's issuing, they constantly have to care about their ratings. Yes, they constantly have to care about their bond investors. So big, large bond investors can have an impact. They can engage with the issuers.

Increasingly, the issuers understand that traditional credit ratings, from the traditional agencies, are going to incorporate more and more ESG-type analysis. And so it'll have very much an impact on the cost of servicing their debt going forward.

For more insights and information visit


Socially responsible investing is qualitative and subjective by nature, and there is no guarantee that the criteria utilized, or judgment exercised, by PIMCO will reflect the beliefs or values of any one particular investor. Information regarding responsible practices is obtained through voluntary or third-party reporting, which may not be accurate or complete, and PIMCO is dependent on such information to evaluate a company’s commitment to, or implementation of, responsible practices. Socially responsible norms differ by region. There is no assurance that the socially responsible investing strategy and techniques employed will be successful. Past performance is not a guarantee or reliable indicator of future results.

This material contains the opinions of the manager and such opinions are subject to change without notice. This material has been distributed for informational purposes only and should not be considered as investment advice or a recommendation of any particular security, strategy or investment product. Information contained herein has been obtained from sources believed to be reliable, but not guaranteed.

Filters: Reset All


Close Filters Dropdown
  • Tags


  • Category


    Bond by Bond
    Economic and Market Commentary
    Investment Strategies
    PIMCO Foundation
    PIMCO Education
    View from the Investment Committee
  • Order By


    Most Recent
() filters applied

Multimedia Finder

Filter By:
  • Bond by Bond
  • Careers
  • Economic and Market Commentary
  • Investment Strategies
  • PIMCO Education
  • View from the Investment Committee
  • Viewpoints
  • Understanding Investing
  • A
  • B
  • C
  • D
  • F
  • G
  • H
  • I
  • K
  • L
  • M
  • N
  • O
  • P
  • R
  • S
  • T
  • W
Tina Adatia
Fixed Income Strategist
Olivia A. Albrecht
Head of ESG Business Strategy
Joshua Anderson
Head of Global ABS Portfolio Management
Andrew Balls
CIO Global Fixed Income
Justin Blesy
Asset Allocation Strategist
David L. Braun
Head of US Financial Institutions Portfolio Management
Nathaniel Brown
Director of the PIMCO Foundation
Erin Browne
Portfolio Manager, Multi-Asset Strategies
Libby Cantrill
Executive Office, Public Policy
Stephen Chang
Portfolio Manager, Asia
Josh Davis
Global Head of Client Analytics
Pramol Dhawan
Head of Emerging Markets Portfolio Management
Joachim Fels
Global Economic Advisor
David Fisher
Co-Head of Strategic Accounts
Nick Granger
Portfolio Manager, Quantitative Analytics
Adam Gubner
Portfolio Manager, Distressed Debt
Mary Hoppe
Daniel H. Hyman
Head of Agency MBS Portfolio Management
Daniel J. Ivascyn
Group Chief Investment Officer
Mark R. Kiesel
CIO Global Credit
Christine Long
Head of Retirement Marketing
Scott A. Mather
CIO U.S. Core Strategies
Mohit Mittal
Portfolio Manager, Liability Driven Investment and Credit
James Moore
John Murray
Portfolio Manager, Commercial Real Estate
John Nersesian
Head of Advisor Education
Roger Nieves
Senior Advisor
Jason Odom
Strategist, Asset Allocation
Sonali Pier
Portfolio Manager, Multi-Sector Credit
Libby Rodney
Steve A. Rodosky
Portfolio Manager, Real Return and Long Duration
Emmanuel Roman
Chief Executive Officer
Steve Sapra
Client Solutions & Analytics
Jerome M. Schneider
Head of Short-Term Portfolio Management
Marc P. Seidner
CIO Non-traditional Strategies
Greg E. Sharenow
Portfolio Manager, Real Assets
Anmol Sinha
Fixed Income Strategist
Candice Stack
Head of Client Management, Americas
Kimberley Stafford
Global Head of Product Strategy
Cathy Stahl
Global Head of Marketing
Christian Stracke
Global Head of Credit Research
John Studzinski
Vice Chairman
Geraldine Sundstrom
Portfolio Manager, Asset Allocation
Richard Thaler
Distinguished Service Professor of Economics and Behavioral Science at the University of Chicago's Booth School of Business
Jessica K. Tom
Senior Credit Analyst
Jerry Tsai
Quantitative Research Analyst
Jamie Weinstein
Portfolio Manager, Head of Corporate Special Situations
Tiffany Wilding
North American Economist
Andrew T. Wittkop
Portfolio Manager, Treasuries, Agencies, Rates
Ben S. Bernanke
Chair, Global Advisory Board
  • Alphabetical
  • Most Recent
Section : Date : Experts :
Reset All
Comparing Risk Assets in Mid-Cycle Markets
Economic and Market Commentary

Comparing Risk Assets in Mid-Cycle Markets(video)

Comparing Risk Assets in Mid-Cycle Markets

Growth-oriented asset classes are likely to shine, but not equally. Geraldine Sundstrom and Erin Browne discuss our views across asset classes, including equities, credits, currencies and rates, and how we’re positioning for a mid-cycle environment.

More from this Asset Allocation Outlook

Mid-Cycle Investing: Growth-Oriented and Selective
Cyclical Outlook: Peak Policy, Peak Inflation, Peak Growth
Implications from our Cyclical Outlook
Unlocking Alternatives: Possibilities in Quantitative Analytics
Beyond the Paris Agreement: Corporate Investing and Climate Change

Load more results Load {{cCtrl.fetchResults}} more results



Please input a valid email address.