Abstract
Environmentally focused investors often consider climate risks. But research
suggests carbon-intensive industries’ share prices may not reflect potential liabilities for damages from all associated hazards.
Other climate-related challenges could include sea level rise, storm surges, droughts, wildfires and extreme heat. Beyond performance, many investors recognise the problems of global warming and social issues, extending ethical considerations into broader aspects of their lives, including selecting portfolio assets.
Fossil fuel companies’ activities are the major contributors to carbon dioxide emissions leading to global warming. In response, many investors have chosen to ‘divest’ – to sell assets in these industries – arguing the carbon in those fuels must stay locked below ground to avoid further warming. At P1 Investment
Management, we have also taken the decision to divest from fossil fuels.
suggests carbon-intensive industries’ share prices may not reflect potential liabilities for damages from all associated hazards.
Other climate-related challenges could include sea level rise, storm surges, droughts, wildfires and extreme heat. Beyond performance, many investors recognise the problems of global warming and social issues, extending ethical considerations into broader aspects of their lives, including selecting portfolio assets.
Fossil fuel companies’ activities are the major contributors to carbon dioxide emissions leading to global warming. In response, many investors have chosen to ‘divest’ – to sell assets in these industries – arguing the carbon in those fuels must stay locked below ground to avoid further warming. At P1 Investment
Management, we have also taken the decision to divest from fossil fuels.
| Original language | English |
|---|---|
| Pages | 21 |
| Number of pages | 1 |
| No. | 620 |
| Specialist publication | Citywire New Model Adviser |
| Publication status | Published - 14 Jan 2019 |
| Externally published | Yes |
Bibliographical note
Q83ASJC Scopus subject areas
- Economics, Econometrics and Finance(all)
- General Environmental Science
