How to Invest for Climate Change

“Be selective about new technology, and don’t write off fossil fuels yet,” writes Anne Kates Smith for the March edition of Kiplinger’s Personal Finance. Before launching into a question-and-answer interview with Matthew Weatherley-White of Caprock.

Smith: Why have alternative energy stocks performed so poorly?

Weatherley-White: Everyone recognizes that the solution to a high-carbon economy is alternative energy. But making a bet on a specific company is a high-risk proposition. Twenty-five years ago, everyone agreed that computerization would accelerate. But think of the losses for people who bet on Wang Labs [which went bankrupt in 1992]. That had nothing to do with the computerization of society, but everything to do with the uncertainty of computing. We’re at the exact same place with alternative energy.