From Climate Warehouse
Mark Morano
https://www.semafor.com/newsletter/12/06/2024/opec-is-gearing-up-for-a-game-of-chicken-with-trump
ESG Climate Check
Via signal:
Stock market investors are pulling record amounts of cash out of climate funds, even as many funds perform just as well.
By 2024, nearly $600 billion in mutual funds and ETFs globally will be held in companies involved in the energy transition, according to a report this week from Morningstar Sustainalytics. An increase of 6% over last year. But Hortense Bioy, director of sustainable investing research at Morningstar, said the growth is simply because many of these stocks have increased in value, not because more investors are putting money into the funds. Instead, investors pulled $24 billion from these funds, reversing the climate fund boom that peaked in 2021. But Bioy said the main reason for the exodus was a bad atmosphere. “These are good strategies and they perform well,” she said. “It’s more about anti-ESG sentiment.” One segment that remains popular, she said, is “climate transition” funds, which select companies based on long-term decarbonization goals rather than current carbon footprints and often include Big tech and fossil fuel companies.
Relevant
