FFI Perspectives Toggle

Identifying the Oil Sands Investments in Your Portfolio: Why It’s Important, How We Can Help

There is no question on the definition of fossil fuels. Oil, coal, and their derivative products are well understood. Fossil fuel companies, on the other hand, can be harder for investors to identify. For example, Maersk is generally known as a shipping giant. Mitsui & Co. is known for its iron and steel business. However, both companies hold large reserves of fossil fuels and, as a result, have ranked in every edition of our Carbon...

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Shareholder Resolutions in The Carbon Underground 200 Companies, 2012-2016: A Complex Picture

Over the past five years, shareholder resolutions targeting The Carbon Underground 200TM (CU200) have increased meaningfully. Given investors’ growing interest in engaging fossil fuel companies as a way to mitigate climate risk, we recently undertook a review of climate- and carbon-risk-related shareholder resolutions in the oil and gas, energy, and mining sectors between 2012 and 2016, including those targeting the public companies included...

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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 %...

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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...

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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,...

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