12.JUL.2013Nutrition: why we're heading for an investment bubble
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The concept of a carbon bubble is very firmly on the radar. We'd have to have our heads buried in the sand to deny that there are carbon-based assets sitting on company balance sheets that might not fulfill their financial potential. These assets are valued on the assumption that they'll be burned. Panicked policy responses from politicians, who are faced with the increasingly traumatic consequences of climate change, could be the pin that bursts the carbon bubble. And this could ultimately leave oil, gas and coal assets completely stranded, wiping trillions of dollars off market value.
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