ESG

Elon Musk’s Twitter deal sullies his climate cred

27 Apr 2022

The Tesla CEO’s master plan is to combat global warming, which he calls the “biggest threat” to humanity. Committing most of his available wealth to buying a social media company doesn’t much help the cause. It’s a $33 bln missed opportunity to reduce even more carbon emissions.

Banks enter AGM season wearing green bullseyes

25 Apr 2022

Top U.S. lenders and some European rivals face votes on their climate policies at looming annual general meetings. Banks may resist greening their loan books if that hits earnings. But even if they clear the immediate hurdle, the heat will be on to clarify their net-zero plans.

China Inc has little to celebrate on Earth Day

22 Apr 2022

The annual environment-focused event gives titans like Alibaba a chance to showcase decarbonisation efforts. But since President Xi Jinping's net-zero emissions pledge, there has been little progress from China's biggest polluters. Greenwashing risks becoming the corporate norm.

EU greenwashing fix gets off to dodgy start

14 Apr 2022

Some 4 trln euros of funds are now deemed sustainable under European disclosure rules governing ESG investing. Yet the EU yardstick for such a definition is vaguer than for some private sector players. At the very least this is confusing; at most it actually aids greenwashing.

Renault is awkward guinea pig for Tesla-like trick

13 Apr 2022

The group may list its electric-vehicle business. Automaker CEOs look enviously at the rich valuation of Elon Musk’s group. Yet Renault’s battery unit is modest, and poor profitability and messy governance would mean its rump combustion operation would look even less desirable.

Australia can charge up a war on climate change

12 Apr 2022

Saul Griffith, author of “The Big Switch”, tells The Exchange why neither hydrogen nor carbon capture can tackle global warming. Instead, electrifying everything from cars to stoves will, thanks to ample sun and wind Down Under. It’d spark a jobs and exports boom, too.

Capital Calls: U.S. truck drivers go missing

4 Apr 2022

Concise views on global finance: Bonuses and concessions from Washington aren't enough to fill the industry's empty cabs.

On climate, SEC can dictate but market will decide

25 Mar 2022

U.S. plans for companies to disclose more on emissions are a guaranteed legal punch bag. But even if the SEC’s bid falls flat, and its edgier elements might, much of what’s outlined is helpful and relatively simple. If investors want it, change can come even when fiat fails.

The climate revolution is underhyped

15 Mar 2022

Kleiner Perkins Chair John Doerr outlines in his new book a plan to reach net-zero emissions by 2050. As an early backer of Amazon and Alphabet, he also explains how saving the planet is a business opportunity akin to the internet in this episode of The Exchange podcast.

Dixon: War boosts need for “green Marshall Plan”

11 Mar 2022

The West needs more allies, not just to turn Russian President Vladimir Putin into a global pariah, but to show China what will happen if it too throws its weight around. A good way to do this is to supercharge its embryonic plan to help developing countries grow in a green way.

Capital Calls: Americans accept inflation for now

10 Mar 2022

Concise views on global finance: U.S. prices rose a whopping 7.9% year-on-year in February. Even so, Russia’s invasion of Ukraine has improved President Joe Biden's approval ratings. It may not last.

Capital Calls: Snowflake’s no snowflake

3 Mar 2022

Concise views on global finance: The data warehouse firm doubled revenue, but the stock was whacked. Snowflake’s solid finances mean missteps are valuation conundrums, not existential threats.

U.N. climate report takes aim at net-zero 2050

28 Feb 2022

The world is moving too slowly to stop global warming, per the multinational body’s latest study. Ditching fossil fuels will reduce natural and man-made disasters. But too many governments and companies use the mid-century emissions targets to delay action. That’s unsustainable.

Ukraine war gives impetus to climate backsliders

24 Feb 2022

Politicians are supposed to be fast-tracking decarbonisation. Russia’s invasion may speed the long-term shift to renewable energy. But it could also empower fossil fuel fans to ease energy security fears via new supply. Investors, lured by high crude prices, may go along with it.

Brookfield Aussie coal bid hits toxic smokescreens

23 Feb 2022

The asset manager and its Atlassian CEO partner’s $3.6 bln offer for AGL deserves some pushback for its scant premium and competition issues. But government scaremongering that a deal could raise energy prices throws ugly light on official resistance to the energy transition.

Brookfield drafts inspired climate-deal blueprint

21 Feb 2022

The Canadian investor and Atlassian co-CEO Mike Cannon-Brookes want to buy AGL for A$5 bln and spend up to A$20 bln more to make the coal-heavy company a renewable-energy powerhouse. It’s a potent idea that others could emulate. The price to get started will be higher, however.

Shackled woman’s plight helps China find S in ESG

18 Feb 2022

Uproar over a mother found chained in a shed, a suspected trafficking victim, has the financial blogosphere in a rage as some call for a boycott of the local government’s bonds. A capital movement targeting social injustice could move prices, but only if Beijing lets it.

Aussie coal exits put dithering government on spot

17 Feb 2022

Origin wants to shut the country’s largest plant powered by the fossil fuel seven years early, following rivals’ lead. It drew ire from the ruling coalition, whose green-transition plan is lacklustre. Renewables have won the economic fight; the political battle is a slower burn.

Aussie climate M&A deal offers best of both worlds

16 Feb 2022

ANZ is taking a small stake in climate-change advisory and investing startup Pollination for $50 mln. The bank gets business acumen in a hot sector and its partner can offer clients access to a big balance sheet. The price reflects the scarcity value of green talent.

Glencore is gaining ground on its trust issues

15 Feb 2022

The $77 bln commodity giant has set aside $1.5 bln to settle graft probes. That’s better than feared. And an improving valuation suggests investors are less bothered about its desire to stick with coal. But the mineral remains sufficiently controversial to check further upside.