Pacific Investment Management Company (PIMCO) published its 2025 Sustainable Investing Report earlier this month, detailing the firm’s ESG activities across more than 1,300 corporate issuer engagements conducted throughout the year. The report covers $645 billion in AUM across sustainability strategies, spanning exclusionary, enhanced, and thematic approaches as of December 31, 2025.
Key activities highlighted in the report include PIMCO’s role in facilitating the Methane Finance Working Group (MFWG), which published guidance in June 2025 for incorporating methane and flaring abatement targets into oil and gas debt structuring. The firm also expanded its Sustainable Development Goal (SDG) scoring framework to cover sovereign issuers across developed and emerging markets and contributed to updated carbon accounting standards through the Partnership for Carbon Accounting Financials (PCAF).
On the investment side, PIMCO noted it served as an anchor investor in the International Finance Corporation’s inaugural $510 million securitization in September 2025, a transaction designed to open a new institutional asset class for emerging markets fixed income.
The report identifies four themes the firm expects to shape sustainable investing through 2026: continued growth in transition finance, ESG divergence across global markets, increasing investor focus on real-economy stewardship outcomes, and the growing intersection of AI with energy consumption and the energy transition.