Why do risk mitigation frameworks dominate the ESG information ecosystem and are they systematically pushing capital away from emerging markets?

The application of ESG factors to investment and credit decisions among asset managers, pension funds, and other market participants may have had the effect of directing capital away from emerging and especially frontier markets. 

Do ESG considerations effectively screen out investment to these markets or are there likewise opportunities for ESG-related capital flows in emerging and frontier economies? 

EMIA hosted a discussion to help investors better understand the role of ESG in investment decisions.

Speakers:

Stuart Theobald, Intellidex, author of the article, “Drivers of Investment Flows to Emerging and Frontier Markets,” June 2022

Ed Parker, Managing Director and Head of Research, Fitch Sovereign Ratings team

Abby McKenna, EMIA Senior Advisor (moderator)