ESG Integration in Sub-Sovereign Debt: THE US Municipal Bond Market

This report looks at ESG integration, an approach focused on measuring and managing ESG risks to investment performance. Future work will address thematic and screening approaches to ESG investing and investor engagement on ESG topics. Sub-sovereign debt in other countries will also be a future topic. Importantly, the PRI will also endeavour to broaden the investor dialogue with issuers, credit rating agencies (CRAs) and ESG information providers,3 along the lines of a similar PRI programme in the corporate market. Such dialogues have helped stakeholders understand expectations, challenges, and market nuances from a variety of perspectives.