As you know, investing in line with environmental, social and governance (ESG) principles has gained increasing momentum within both active and passive strategies, accelerating notably since the start of the pandemic.
The survey we released in collaboration with EY back in May found that a majority of market participants saw ESG and securities lending as compatible, but it also highlighted the need for more clearly-defined options and standards to guide participants in areas where ESG and securities lending considerations intersect.
With this in mind, PASLA is now conducting an industry consultation with the aim of creating practical guidelines on the ESG related aspects of securities lending. These are intended to build on and complement the ISLA Council for Sustainable Finance's (ICSF) Principles for Sustainable Securities Lending (PSSL). This consultation also aims to engage regional asset owners on how the industry can help them manage securities lending variables in a way that is consistent with their ESG commitments.
The first phase in this consultation is a survey that we are conducting in collaboration with Asian Investor, a leading publication for the region's investment industry that has a particular focus on asset owners. This will be followed by more in-depth conversations with selected market participants, the publication of a report by Asian Investor and, ultimately, PASLA's own recommendations.
To complete the survey, please click "Read More" below. It is open to all market participants and will take approx. 10 minutes to complete. We ask all Agent Lenders to share the link with their Asset Owners clients and encourage them to participate. All responses will be anonymous, but those who complete the survey can opt to receive the analysis of its results.
We warmly invite you to complete the survey and help shape the future relationship of ESG investing with securities lending in Asia Pacific.