Wall Street Exploring Ways To Profit From Global Warming

Turning lemons into really pricy lemonade. Bloomberg on the investment companies banking on massive windfalls as the planet heats:

Investing in climate change used to mean putting money into efforts to stop global warming. Now some investors are taking another approach. Working under the assumption that climate change is inevitable, they’re investing in businesses that will profit as the planet gets hotter.

Derivatives that help companies hedge against abnormal weather and natural catastrophes are drawing increased interest from big players. In January, KKR bought a 25 percent stake in Nephila Capital, an $8 billion Bermuda hedge fund that trades in weather derivatives.

Drought is helping spur business at Water Asset Management. The New York hedge fund, which has about $400 million under management, buys water rights and makes private equity and stock market investments in water treatment companies.

Ole Christiansen is also investing to take advantage of rising temperatures. “Last summer we were exploring in south Greenland, mainly for gold,” says the chief executive officer of NunaMinerals (NUNA), a local mining company. “It has previously been covered by a glacier, but most of that glacier has disappeared.”

Piet Dircke, who oversees water management at Arcadis, says his phone was ringing nonstop in the days after Sandy. “The climate is changing. Sea level is rising. That’s quite obvious,” says Dircke. “It’s almost a natural growth market.”

, , , , , ,

  • rak

    I wonder why “One People’s Public Trust” was never mentioned on Disinfo.com

  • LucidDreamR

    “Exploring” ways? I thought they had it mastered already with all the fear mongering and global policy changes? Pretty sure Mr. Gore found a few ways…. Anybody happen to notice that despite all of these scare tactics the overall way we get our energy has yet to change one bit? I take that back: here in Maine we now have a train that regularly passes through carrying crude tar sands…. Don’t get me wrong: I’m all for changing the way we live as a race to better fit with Natures cycles, but It’s not going to be by the hand of any corporation or government that I can see.

  • LucidDreamR

    “Exploring” ways? I thought they had it mastered already with all the fear mongering and global policy changes? Pretty sure Mr. Gore found a few ways…. Anybody happen to notice that despite all of these scare tactics the overall way we get our energy has yet to change one bit? I take that back: here in Maine we now have a train that regularly passes through carrying crude tar sands…. Don’t get me wrong: I’m all for changing the way we live as a race to better fit with Natures cycles, but It’s not going to be by the hand of any corporation or government that I can see.

    • Mary

      I have noticed that in Maine there is growing controversy about installations of industrial wind: another Wall Street scam. This is a perception/propaganda based industry. It’s all about getting rich, not about saving the planet from global climate change. It’s INDUSTRY!

      • LucidDreamR

        It’s awfully sad to see what capitalism has done to so many things isn’t it? Whatever values we may have once had seem to be lost on most of us now…

  • emperorreagan

    Cap and trade was already an enormous get rich quick scheme. On top of the whole credit trading bullshit, there are tons of things to game the system, like clear cutting old growth forests and replanting quick-growing bamboo for credits…

  • emperorreagan

    Cap and trade was already an enormous get rich quick scheme. On top of the whole credit trading bullshit, there are tons of things to game the system, like clear cutting old growth forests and replanting quick-growing bamboo for credits…

  • Ugly Guy

    Nationalize water. Penalize any and all whining with the severing of limbs.

  • Mary

    Angela Merkel continues to push for her renewable mandate in Germany. As an example of how intellectually vapid she is, she thinks the carbon exchange is a good thing and needs to be expanded. Uhhhh…..after Germany ran out of law enforcement officials to execute the number of simultaneous search warrants in their possession and the head of Deutsch Bank was booted for fraud in the VAT exchange. Carbon emissions continue to rise, electrical rates are driving industry out of the country, neighboring countries are setting up switching stations to prevent Germany from dumping wind power onto their grids because it destabilizes their power source……And the European Community is complaining that Germany’s wind industry is wiping out the migratory bat populations: creatures necessary for plant pollination and agricultural pest control. Germany will be a shadow of itself in 10 years if this woman and her unclean/ungreen agenda are not wrestled under control.

21
More in Business, Climate Change, Economics, Finance, Global Warming, Investing
Research Suggests Volcanoes Are Tamping Down Global Warming

Via the University of Colorado Boulder: A team led by the University of Colorado Boulder looking for clues about why Earth did not warm as much as scientists expected between...

Close