Charging Toward a Lower Carbon Economy
Social concern, favorable economics, and political dynamics may signal success for companies dedicated to sustainability and renewable energy.
Despite negative rhetoric from the Trump administration and the recent repeal of the US Clean Power Plan, we strongly believe that companies focused on sustainability and renewable energy will continue to thrive. Increasingly favorable economics and global support from consumers, governments, companies, and large investors create tailwinds for long-term growth and value creation.
All investments are subject to risk, including the possible loss of principal. Foreign investments can be riskier and more volatile than U.S. investments due to the adverse effects of currency exchange rates, differences in market structure and liquidity, as well as political and economic developments in foreign countries and regions (e.g., “Brexit”). These risks are generally greater for investments in emerging markets. Risks of focusing investments on the utilities and industrials sectors include regulatory and legal developments, competitive pressures, pricing and rate pressures (utilities), rapid technological changes, potential product obsolescence, and liquidity risk. Investments that involve sustainability and environmentally responsible investment criteria have increased risks related to downturns or other adverse developments in that market segment.