In this session we took a look at the component parts of an ESG framework and instrument rating. We looked at how loans with a strong ESG framework from corporate entities in some sectors may achieve lower ESG instrument ratings than conventional loans from ESG ‘pure players’, and how Sustainable Fitch’s ESG analysis framework looked beyond labelling to ESG fundamentals. Topics included:
- An introduction to Sustainable Fitch’s ESG rating scale and datasets.
- ESG instrument ratings for loans and bonds:
- standalone documentation framework assessments
- weighting of ESG analysis factors for instruments and entities
- placing a debt instrument in the context of the ESG credentials of the issuing entity
- ESG instrument ratings for conventional bonds and loans
- green-washing and SLB-washing – when sustainable instruments are no different from conventional loans
- ESG leveraged finance scores:
- Working with limited information and disclosure
- The importance of subsets and cross-comparability
- Transparency around weighting E versus S versus G scores
EVENT DETAILS
Tuesday, November 9, 2021
11AM to 12PM (ET) | Virtual Webcast Only
Presentation & Replay | Now Available | Scroll Down to View
No CLE for This Webcast
SPEAKERS
- Andrew Steel, Global Head of Sustainable Finance, Fitch Ratings
- Tess Virmani, Associate General Counsel, EVP Public Policy, LSTA – Intro
