FT: Climate change influences investment risk

The march continues to scare institutional investors away from fossil fuel-based portfolios.

“To narrow the gaping jaws between policy ambition for emission reduction and the carbon budget for a 2C world, governments will begin serious negotiations this year to deliver a global climate agreement in 2015,” Mr Robins continues. This implies that high-carbon assets will face increasing regulatory constraints and a growing risk of becoming stranded assets. Yet the average pension fund portfolio has 55 per cent of its assets invested in high-carbon sectors or sectors greatly exposed to climate change, Mr Poulter points out.

Read more at the Financial Times.

About these ads

One response to “FT: Climate change influences investment risk

  1. Exxon-Mobil will be out of business in no time.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s