The credit cycle is close to the end. Risky assets, including credits, are vulnerable. Central banks risk falling behind the curve. Sander Bus and Victor Verberk, co-heads of the Credit team, are becoming more careful. They prefer safety and stay up in quality to benefit from further decompression and higher risk premiums.
It is our conviction that analysing sustainability information leads to better informed investment decisions. Whereas sustainability integration has been applied to equity investments for years, in fixed income it has only recently gained broader interest. At Robeco, we have six ways in which we can improve the sustainability of credit portfolios.