It’s certainly true that global greenhouse gas emissions will fall this year as economic activity dives. The International Energy Agency estimates that CO2 emissions from the energy sector will fall by 8% in 2020 – six times greater than the reduction due to the financial global financial crisis – which will take these emissions back to levels last seen in 2010.1
But whilst this effect is dramatic, it won’t bend the curve longer term.
The value of investments and any income derived from them can go down as well as up and investors may not get back the original amount invested.
Views and opinions have been arrived at by BMO Global Asset Management and should not be considered to be a recommendation or solicitation to buy or sell any companies that may be mentioned.
To meet the Paris Agreement goal…a much more significant drop in emissions is needed than what we are currently projected to achieve.