Equity investors: more aware of climate risk?

By Phil Thornton
28 Nov 2019

Economists at the European Central Bank said that stock markets were better than banks at reallocating investment towards greener sectors because of the greater role that equity plays in financing energy efficient sectors.

They said that innovative sectors that had more intensive research and development grew faster in countries with deeper stock markets, while sectors rich in tangible assets expanded faster in economies that relied more on debt financing.

Deeper stock markets correlated with more green patenting in traditionally carbon-intensive industries. ...

Already a subscriber?

Continue reading this article

Try full access to GlobalCapital

Free trial