Responsible Fixed Income
Parametric’s Responsible Fixed Income strategies help investors align their bond holdings with their environmental, social, and governance (ESG) principles.
Our approach to responsible investing makes it simple to customize fixed income portfolios in a straightforward and scalable way. We strive to deliver both strong returns and positive impact, including environmental sustainability, social equity, and accountable governance.
With our partners at Calvert Research and Management, we deliver customized solutions designed around each investor’s objectives. Calvert’s ESG research helps investors determine the precise exposures they want, delivered via Parametric’s customized separately managed accounts.
Research driven
Calvert’s analysis dives deep into financially material ESG characteristics affecting company and issuer performance.
Client directed
Our customized ESG portfolios seek to provide precise market exposure and active tax management for each investor’s unique needs.
Explore our fixed income solutions
Parametric Calvert Municipal Bond Portfolios
This strategy adds ESG customization to our Laddered Fixed Income and Managed Municipals strategies. We base our security selection on Calvert’s ESG research framework, which identifies municipal credits for positive social and environmental impact.
Investors will be able to support responsible municipal projects in the following areas:
- > Renewable energy
- > Pollution control
- > Clean water
- > Viable waste
- > Education
- > Health care
- > Public transportation
- > Affordable housing
- > Sound financial controls
- > Feasible capital plans
- > Operational transparency
- > Data disclosure
Responsible muni strategy overview
Parametric Responsible Corporate Bond Portfolios
This strategy combines our credit research experience and institutional purchasing power to diversify portfolios across sectors and issuers. Investors can use Parametric’s menu of ESG screen options and Calvert’s proprietary research to identify ESG-eligible investments.
These strategies give your clients:
We offer systematic rules-based exposure to the corporate bond market.
We weight maturity exposures equally over a portion of the yield curve.
We build our portfolios to meet your clients’ unique circumstances.
Why choose Parametric?
$389B
Total firm AUM
$47.8B
Fixed income AUM
24
Fixed income professionals
10+ years
Average manager tenure
As of 12/31/2022
Laddered Interest Rate Scenario Tool
Intended benefits of responsible bond portfolios
Values-aligned investing
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We invest in bond issues that look to improve social outcomes through environmentally and socially beneficial projects.
Comprehensive research
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Our holistic approach to research is designed to apply the most material ESG factors to our investment analysis.
Thought leadership
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We provide advisors with advanced insights and training, including tips and tactics to build their responsible investing capabilities.
Reporting
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Our reports provide transparency into how we apply ESG criteria to your clients’ portfolios, including our measurements and metrics.
2021 Investment Stewardship Report
A combination of proxy voting and targeted engagement can help strengthen companies, protect shareholder capital, and benefit economies and communities. Learn more about our stewardship activities in 2021:
- Our practice-improvement discussions with more than 103 companies
- Our support for enhanced disclosure frameworks from industry and regulatory groups
- Our votes at more than 10,000 shareholder meetings in 86 countries
More to explore
How to Avoid Greenwashing in Bond Portfolios
by Lauren Kashmanian, Director, Portfolio Management and Responsible Investing
May 16, 2022
What should fixed income investors make of bonds with a green use of proceeds but a not-so-green issuer? Find out if greenwashed bonds belong in responsible investing portfolios.
Green Bonds, Greener Planet: How Fixed Income Investors Can Help Solve the Climate Crisis
by Lauren Kashmanian, Director, Portfolio Management and Responsible Investing
May 4, 2022
Investor interest in sustainability is rising, and ESG bond issuance is rising with it. What makes a bond issue green?
What Fixed Income ESG Investors Should Keep on the Radar in 2022
by Lauren Kashmanian, Director, Portfolio Management and Responsible Investing
March 21, 2022
What can responsible investors in fixed income expect in the year to come? Sustainable bonds should play an increasingly important role.
Get in touch
Want to know more about our Responsible Fixed Income solutions? Complete our contact form, and a representative will respond shortly.