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Shares rise on bargain hunting despite lockdown

Shares rise on bargain hunting despite lockdown
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Institutional investors seen abandoning fossil fuel

April 4, 2021 | 8:09 pm Font Size AAA INSTITUTIONAL INVESTORS are abandoning fossil fuel companies in favor of renewables, driven in part by the perception of improving renewable energy (RE) returns as technologies improve, according to a study of publicly-traded RE companies in developing markets. According to the study, “Clean Energy Investing: Global Comparison of Investment Returns,” issued by the International Energy Agency and London’s Imperial College Business School Centre for Climate Finance & Investment, the listed RE sector across a number of emerging markets and developing countries posted returns of 136% in the decade ending in 2020, against 113.8% for fossil fuel companies. RE volatility was higher though at an annualized 6.9% compared with 5.4% for fossil fuels.

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