Greenflation: What are the drivers and how long will it last?

Metal price rises 'structural'

clock • 3 min read

As nations plan to accelerate their energy independence, so-called 'greenflation' is becoming a bigger concern.

For investors, the key questions are: What is causing this inflation and are those drivers here to stay?  According to Alec Cutler, manager of the Orbis Global Balanced fund, the ESG movement is driving chemical and manufacturing plants to decarbonise, along with every energy extraction process, with those drilling for natural gas increasingly required to remove carbon at the well head. FCA warns alternative investment firms of increasing scrutiny Cutler told Investment Week: "Rebuilding chemical, industrial and manufacturing plants and energy production processes to decarbonise co...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on ESG

Neil Brown (pictured), is co-portfolio manager of the PGIM Jennison Carbon Solutions Equity fund
ESG

PGIM: Why today's narrow approach to decarbonisation is flawed

Dive deeper into solutions

Neil Brown
clock 05 January 2024 • 5 min read
The industry group praised the transparency introduced by SFDR, but said the de facto labelling regime had 'stretched it beyond its original intentions and not always been helpful'.
ESG

EFAMA calls for major reforms to SFDR labelling regime

SFDR has 'not always been helpful'

Elliot Gulliver-Needham
clock 22 December 2023 • 2 min read
The board of AERI noted this morning’s statement and confirmed the 'unsolicited proposals'.
ESG

Octopus Renewables trust makes bid for Aquila European Renewables

Multiple attempts over 2023

James Baxter-Derrington
clock 22 December 2023 • 2 min read
Trustpilot