"The value of sustainable business opportunities could reach $10 trillion annually by 2050 — 4.5 percent of the world’s projected GDP: Morgan Stanley"
"There's a $100 trillion global sleeper risk behind the moves to fossil fuel-free investments."
"One of the concerns is that fossil fuel companies' won't be able to tap reserve assets across the globe in the future due to the governments of the world waking up to a worsening environment and taking strict regulatory action. The idea that oil and gas companies will have to write off tons of natural resources underground, and possibly go bankrupt themselves, is referred to as the "stranded assets" theory."
For those who are interested, here are a few carbon-free socially responsible funds:
Parnassus Endeavor Fund (PARWX)
Expense ratio: 0.95 percent
5-year return:15.23 percent
$1.4 billion in assets
PAX World Growth (PXGAX)
Expense ratio: 1.26 percent
5-year return: 12.28 percent
$191.3 million in assets
Gabelli SRI (SRIGX)
Expense ratio: 1.64 percent
5-year return: 7.66 percent
$73 million in assets
Portfolio 21 Global Equity (PORTX)
Expense ratio: 1.4 percent
5-year return: 6.27 percent
$433 million in assets
Calvert U.S. Large Cap Core Responsible Index Fund (CISYX)
Expense ratio: 0.60 percent
5-year return: 14.34 percent
$636.5 million in assets
See:
Constance Gustke
Comments
I suppose you could argue that the free market is helping to drive this shift, but it is also undeniable that the kick-start from governments was also helpful. And actually, by governments, I was mainly talking about China...though we are clearly trying to play catch up.
thanks for the post Davfor...posted below is another link with related information.
press
http://fs-unep-centre.org/publications/global-trends-renewable-energy-investment-2015
China is an interesting case. They appear to be "getting serious" about solar. But, the most recent data I have seen tells me 2/3's of China's energy still comes from coal. And, solar just represents a blip on their energy source chart. Five times a blip just makes for a big blip. Also, I have read that what they are doing in part is to shut down their dirtier coal burning plants close to urban areas and replace them with plants located further from those urban centers. (From an environmental perspective, this helps their domestic population somewhat but not the planet.)
About the possibility oil will wind up be left forever in the ground....well, forever is a long time. I suspect future extraction will increasingly come with more strings attached. Here are some quotes about that general subject from an article I just read:
"The International Energy Agency (IEA) and many other credible parties continue to forecast that our growing world population from 7 billion people today to 9 billion by 2050 will need much more energy – in particular as most of these people will aspire a life like we have here in North America."
"“Sustainable Innovation” may become key to future energy financings and.....oil and gas companies will have to innovate much more than they do today in order to survive as energy-producing Fortune 500 companies in the decades to come."
"....lacking some spectacular new innovations, longer term most Canadian oil sands reserves will likely remain undeveloped."
See: This Oil Bust Will Change The Energy Industry Forever
PS Someone needs to file a pattent on Fossil Free Mutual Fund quickly. In fact, I'm expecting FOSFX launch soon now. Fossil Free Large Cap. Wisdom Tree Small Cap. Tree of Wisdom. Free off Fossill.
Exxon Predicted the Present Cheap Solar Boom Back in the 1980s
"The oil giant's 25-year-old research into the economics of solar was spot-on."
I recall years ago Exxon Mobil buying the patent rights to integrated solar roof shingle technology (not panels that are mounted on the roof, but are integrated into the shingle).
bloomberg.com/news/articles/2015-11-04/exxon-predicted-today-s-cheap-solar-boom-back-in-the-1980s
Article on Integrated Photovoltaics:
nytimes.com/2009/09/27/business/27novel.html?_r=0
Article and Part 1 Episode:
gpb.org/blogs/family/2015/11/04/nova-making-of-north-america
A different scale for sure, but worth remembering that it's not juts used for energy.
What happens to all of the products that are made - to some degree - with oil?
I get the desire for people to be green, but this sort of discussion is unrealistic and more than a little absurd.
We have no energy plan, are not forward thinking and if we eventually all move to green things, it will not because the government puts a cap on oil, it will because something happened with oil and we have no other choice but to move to alternatives - and I don't see that happening for a very, very long time.