FFI Perspectives Toggle

Fossil Fuel Underperformance: Short-term Phenomenon or Secular Trend?

For the year 2015, our FFIUS outperformed the S&P 500 by 1.51%, showing an increase of 0.78% where the S&P500 decreased 0.73%. And since its launch in June of 2014, the FFIUS has outperformed the S&P500 by 2.96%, showing a 2.09% increase compared to a 0.87% decrease for the S&P 500 for the same time period. Date FFIUS S&P 500 31-Dec-14 193.91 2,058.90 31-Dec-15 195.41 2,043.94 %...

Continue Reading →

Carbon Emissions Measurement for Investors, Part 2: Stranded Assets

As I mentioned in Part 1 of this post, our research shows that global proven reserves of fossil fuels will release about 3,200 GtCO2 if burned.1 For a better than even chance at limiting global warming to 2° C, only about 700 GtCO2 can be added to the atmosphere. What happens to the 2,500 GtCO2 that can’t be burned? Recall that global proven reserves are the coal, oil, and natural gas that is still in the ground but expected to be pulled...

Continue Reading →

COP21 and Investing for the Long Term

World Leaders and Investors: Similar Dilemmas On November 30, world leaders will meet in Paris at the Conference of Parties (COP21) in an attempt to construct a global climate agreement that will put the world on a path to a more sustainable future. The deliberations necessary for this agreement will be complex, require sacrifices, and will involve a combination of political, economic, and social considerations. During these deliberations,...

Continue Reading →

Carbon Emissions Measurements for Investors, Part 1: The Big Picture

With the advent of the United Nations 21st Conference of Parties (COP21) for climate change, many investors are starting to use carbon dioxide (CO2) emissions as a metric to evaluate companies. Current emissions figures are commonly cited, and although they do provide some useful information, they fail to measure the sheer amount of carbon controlled by energy companies. The most popular measure of emissions is current annual greenhouse gas...

Continue Reading →

FFIUS: A Look Back, A Look Ahead

Celebrating the FFIUS Index This week, we’re marking the one-year anniversary of our benchmark FFIUS index, the Fossil Free Indexes US (FFIUS). Launched on June 26, 2014, the index was, at the time of its launch, the culmination of our work to date. Starting with the S&P 500, we screened the index to exclude the securities that are in The Carbon Underground 200TM, our ranking of the world’s largest public companies based on the...

Continue Reading →