ETFdb Logo
  • ETF Database
  • Channels
    • Themes
      • Active ETF
      • Alternatives Channel
      • Artificial Intelligence
      • China Insights
      • Climate Insights
      • Core Strategies
      • Crypto
      • Disruptive Technology
      • Energy Infrastructure
      • ETF Building Blocks
      • ETF Education
      • ETF Investing
      • ETF Strategist
      • Faith-Based Investing
      • Financial Literacy
      • Fixed Income
      • Free Cash Flow
      • Innovative ETFs
      • Invest Beyond Cash
      • Leveraged & Inverse
      • Modern Alpha
      • Portfolio Strategies
      • Tax Efficient Income
    • Asset Class
      • Equity
        • U.S. Equity
        • Int'l Developed
        • Emerging Market Equities
      • Alternatives
        • Gold/Silver/Critical Materials
        • Crypytocurrency
        • Currency
        • Volatility
      • Fixed Income
        • Investment Grade Corporates
        • US Treasuries & TIPS
        • High Yield Corporates
        • Int'l Fixed Income
    • ETF Ecosystem
    • ETFs in Canada
    • Market Outlook
  • Tools
    • ETF Screener
    • ETF Country Exposure Tool
    • ETF Database Categories
    • Indexes
    • Scenario Analysis
    • Watchlists
    • Head-To-Head ETF Comparison Tool
    • Mutual Fund To ETF Converter
    • ETF Stock Exposure Tool
    • ETF Issuer Fund Flows
  • Research
    • ETF Education
    • Equity Investing
    • Dividend ETFs
    • Leveraged ETFs
    • Inverse ETFs
    • Index Education
    • Index Insights
    • Top ETF Sectors
    • Top ETF Issuers
    • Top ETF Industries
  • Webcasts
  • Themes
    • AI ETFs
    • Blockchain ETFs
    • See all Thematic Investing ETF themes
    • ESG Investing
    • Marijuana ETFs
  • Multimedia
    • ETF 360 Video Series
    • ETF of the Week Podcast
    • Gaining Perspective Podcast
    • ETF Prime Podcast
    • Video
  • Company
    • About VettaFi
    • Get VettaFi’ed
  • PRO
    • Pro Content
    • Pro Tools
    • Advanced
    • FAQ
    • Pricing
    • Free Sign Up
    • Login
  1. The Responsible Investing Channel
  2. Private Investment Is a Credible Catalyst for Renewables
The Responsible Investing Channel
Share

Private Investment Is a Credible Catalyst for Renewables

Tom LydonJul 29, 2022
2022-07-29

Much of the thesis for renewable energy equities and the related exchange traded funds often focuses on government spending.

Indeed, there’s no denying that’s a relevant factor to consider. After all, it’s Western governments, including those in the U.S. and Europe, that are driving significant adoption of clean energy products and technology. Likewise, as many investors already know, assets such as the SPDR Kensho Clean Power ETF (CNRG A-) can be adversely affected by political wrangling, particularly in the U.S.

That’s just the state of affairs when it comes to renewable energy investing, but in a positive development for investors who committed to this industry for the long term, some experts believe it will be private investment that drives the next wave of green energy expenditures.

“The consequences of years and years of outrageous inaction from politicians on the climate crisis are now being laid bare,” noted deVere Group CEO Nigel Green in a recent report. “The UK’s Met Office has issued its first-ever ‘Red Extreme’ heat alert; the worst heat wave in Europe is causing an avalanche of devastating wildfires across Spain, Portugal, Croatia and France; a heat dome has formed over the southwest and central U.S, smashing temperature records; and almost 90 cities in China are living under heat alerts.”

One way of interpreting the above is that although plenty of governments pay lip service to renewable energy, many aren’t yet adequately spending to that effect, but it’s possible that private industry can pick up some of that slack.

Over the long term, that could be to the benefit of CNRG member firms because government spending is notoriously slow and often inefficient. Conversely, private industry can drive targeted expenditures that are potentially relevant or specific to CNRG holdings.

“Trillions of dollars are needed. This is why it is now critical that private money is unlocked and mobilized in the battle to mitigate the worst effects of human-created climate change,” added Green. “If we fail on this, the level of finance will not be available, nor at the pace necessary, to halt the catastrophic effects of global warming. If mega amounts of private money are not urgently put towards battling climate change – the defining issue of our time – we are doomed to fail.”

The $275.45 million CNRG holds 46 stocks and turns four years old in October.

For more news, information, and strategy, visit the ESG Channel.

Loading Articles...
Our Sites
  • VettaFi
  • Advisor Perspectives
  • ETF Trends
Tools
  • ETF Screener
  • Mutual Fund to ETF Converter
  • Head-To-Head ETF Comparison
  • ETF Country Exposure Tool
  • ETF Stock Exposure Tool
  • ETF Database Pro
More Tools
  • Financial Advisor & RIA Center
Explore ETFs
  • ETF News
  • ETF Category Reports
  • Premium Articles
  • Alphabetical Listing of ETFs
  • Browse ETFs by ETF Database Category
  • Browse ETFs by Index
  • Browse ETFs by Issuer
  • Compare ETFs
Information
  • Contact Us
  • Terms of Use and Privacy Policy
  • © 2025 VettaFi LLC. All rights reserved.

Advertisement

Is Your Portfolio Positioned With Enough Global Exposure?

ETF Education Channel

How to Allocate Commodities in Portfolios

Tom LydonApr 26, 2022
2022-04-26

A long-running debate in asset allocation circles is how much of a portfolio an investor should...

Core Strategies Channel

Why ETFs Experience Limit Up/Down Protections

Karrie GordonMay 13, 2022
2022-05-13

In a digital age where information moves in milliseconds and millions of participants can transact...

}
X