Renewable-energy shares have significantly outperformed fossil fuels in major American and European stock markets over the past ten years, with considerably lower volatility, according to a study by the International Energy Agency and Imperial College London.
Their report, Energy Investing: Exploring Risk and Return in the Capital Markets, analysed the market performance of listed fossil-fuel companies and “those active in renewable power” in the US, UK, Germany and France, and found that “renewable power shares have offered investors significantly higher total returns relative to fossil fuels”.
