CONTRIBUTORS
Reina Berlien
Senior Vice President, Head of Responsible Investment
Brandywine Global
Bonnie M. Wongtrakool, CFA
Global Head of Sustainable Investments
Western Asset Management
Mary Jane McQuillen
Head of ESG, Portfolio Manager
ClearBridge Investments
Jackie VanderBrug
Head of Sustainability Strategy
Putnam Investments
David Sheasby
Head of Stewardship, Sustainability and Impact
Martin Currie
Preview
A group of experts from across Franklin Templeton gathered recently to share their thoughts on key sustainability trends and regulatory issues at a time of change for US policy.
Key takeaways
- The implementation of the Inflation Reduction Act (IRA) may change as new political leadership in Washington makes decisions about spending and tax incentives.
- With electricity demand rising, one of our main concerns from a sustainability perspective is how incredibly energy-intensive it is to provide cooling to AI data centers.
- Engagement on material sustainability issues remains important, whether managers engage with corporations or governments.
Read the full paper to explore more about current topics for global sustainable investment strategies.
WHAT ARE THE RISKS?
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Equity securities are subject to price fluctuation and possible loss of principal.
Fixed income securities involve interest rate, credit, inflation and reinvestment risks and possible loss of principal. As interest rates rise, the value of fixed income securities falls. Low-rated, high-yield bonds are subject to greater price volatility, illiquidity and possibility of default.
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Franklin Templeton and our specialist investment managers may consider environmental, social and governance (ESG) criteria in the research or investment process; however, ESG considerations may not be a determinative factor in security selection. In addition, the manager may not assess every investment for ESG criteria, and not every ESG factor may be identified or evaluated.
Active management does not ensure gains or protect against market declines.