Goldman Sachs Asset Management has launched the GS Global ESG Enhanced Income Bond Portfolio.

The fund, managed by GSAM’s Global Fixed Income team, seeks to provide investors with access to corporate bonds, securitized credit and emerging market debt.

GSAM says bonds held in the portfolio are identified through fundamental research that integrates ESG analysis that involves omitting sectors such as tobacco and other business models that are inconsistent with widely-accepted norms and values, including companies that violate UN Global Compact Principles. The team also conducts in-depth analysis of individual company revenue streams to screen for negative social and environmental factors. For example, a utility company would be excluded if more than a quarter of its revenue is derived from thermal coal generation, an activity that is one of the largest contributors to global carbon emissions. Finally, the investment universe is further distilled based on proprietary ESG scores, with bonds from the lowest scoring issuers eliminated.