To Do Good and To Do Well: The Experience and Prospects for Public Market Renewable Energy Infrastructure Investors
by John O'Brien, Risman Cornelius
What is relatively new, however, is the ability of broad-market investors to participate in businesses through shareholdings. In the past, investor groups were generally limited to small groups of joint investors, often merchants themselves, who sought to benefit from a particular business endeavour. The broadening of this business investment base to ordinary shareholders who can invest small fractional amounts in publicly traded companies, or in investment funds, has meant that, in theory, many more can enjoy the benefits of business endeavours that satisfy both profit-seeking and world improvement goals. Companies that operate renewable energy businesses, or funds consisting of renewable energy companies, are a classic example of those that seek to both achieve a profit on their investment and to provide a positive contribution to the world. For renewable energy operators, this positive is actually the neutralisation of a negative: by substituting for oil & gas extracted from the earth and burned into its atmosphere, renewable energy improves a situation that would otherwise be worse, for the same amount of energy consumption.
About the authors
John O’Brien
Director, Investment Solutions Group
John heads infrastructure manager research within the Investment Solutions Group. His areas of expertise within the group also include global equities and alternative credit strategies. From 1998 to 2007, John was a director with Standard & Poor’s, where he rated more than 200 structured credit transactions and developed the first industry benchmarks for structured credit funds. From 2007-2010, he was a director at two global banks. From 2010 to 2012, he was head of research at van Eyk Research.
Cornelius Risman
Director, Investment Solutions Group
Cornelius is a Director within the Investment Solutions Group and leads the team in investment management research and selection, real asset portfolio construction and analysis and responsible investment (ESG). Risman is a member of the CFA Institute and a Fellow of the Financial Services Institute of Australia (Finsia). Prior to joining PATRIZIA, Risman was a portfolio manager and investment analyst at a leading boutique funds management firm specialising in socially responsible investment. His past experience also includes three years as an equity analyst with Macquarie Bank.