Financial planners should be confident the clean technology sector is a viable long-term opportunity after US based investment in the sector rose 55 per cent to more than $2.4 billion over a year, according to CVC Sustainable Investments.
Sean Wiles, CVC Sustainable Investments investment manager, said a record level of venture capital investment in US based clean technology companies occurred in the third quarter of this year.
Wiles said the sector received a boost from the US government's $700 billion Housing and Recovery Act package that provided tax concessions for wind energy, geothermal and biomass projects.
In addition, he cited comments from Rajendra Pachuari, head of the Intergovernmental Panel on Climate Change, that financial institutions and other companies worldwide would pursue sustainable development when markets settle.
"The key issues that brought clean technology companies to prominence in the first place - namely energy security and climate change - are still as relevant today as ever," said Wiles.
Wiles said the firm's CVC Sustainable Investments fund achieve an average gross return in excess of 20 per cent across all realised investments since inception.
We invite you to watch our latest video featuring Bell Direct chief executive officer Arnie Selvarajah.
In the video and accompanying article he explains how easily the increasing number of advisers using ... Watch video
Financial Standard editor Mark Smith presents a roundup of the week's biggest industry news and executive appointments. In this week's news:
O'Dwyer says life insurance back on the agenda
After being ... Watch video
We invite you to watch our latest video featuring Zurich Investments senior investment strategist Patrick Noble.
The question of how to generate a satisfactory return to meet investors' needs is becoming ... Watch video
It is often said by equity managers with a mandate to scour the entire globe for investment ideas that getting the geographic allocation right in any given year is the most important driver of returns.
That's ... Watch video
We invite you to watch our latest video featuring the head of ANZ ETFS, Kris Walesby.
In it he introduces a new ETF, due for launch later in July, which tracks the Euro Stoxx 50 index of major companies ... Watch video
Get it Daily
FREE to your inbox, get the Financial Standard Daily Email.