Beleggen in duurzame overheidsobligaties: duurzaamheid van opkomende landen
In recent decades, emerging markets have become more integrated into the global financial system. High-yielding emerging market government debt (‘emerging debt’) gained growing interest from investors, especially against a backdrop of historically low interest rates in developed markets. Given the higher risk typically associated with emerging market assets, and a general growing interest in socially responsible investing (SRI), it is important to be able to assess whether emerging debt meets certain criteria related to economic stability, good governance, and environmental and social impacts. In connection with the SRI funds offered by KBC Asset Management, in this research report we present the sustainability screening of a wide group of emerging markets (the KBC Emerging Markets Sustainability Barometer) to arrive at a ‘best in class’ sustainable investment universe. The Central and Eastern European countries score quite well in the ranking. Countries from the region secure the top 5 spots and 11 out of 18 emerging countries that are eligible for investment in KBC's SRI bond funds originate from the region.