This post is by Catherine Howarth, chief executive of ShareAction and Green Alliance trustee.
The focus of the investment community, in the run up to the Paris COP21, was on the financial risks of investments in fossil fuel companies. Understandably so, as these companies’ profits and valuation depend on activities that directly contribute to climate change. While the divestment movement has called for large institutions to move their money out of fossil fuels, others have chosen to engage with companies which have carbon heavy business models, challenging them on their preparations for the inevitable shift to a lower carbon economy. Read more