The energy transition is being driven by the exponential growth of the core new energy technologies of solar, wind, batteries and electrolysers, all on established learning curves. As they move up the S curve of penetration they rapidly drive peak demand in the incumbent fossil fuel system once they get to a market share of around 5%.
Coal demand peaked in 2013, ICE car demand in 2017, and total fossil fuel demand itself likely reached a peak in 2019.
The implication of peaking demand for incumbents is well known – it means disruption. And investors sell when they get a whiff of the peak. Fossil fuel extraction and heavy consumption sectors make up around a quarter of equity markets and half of bond markets, so these peaks have profound implications for investors.
Learning outcomes from this session:
Where recordings are made, these are a member benefit that are accessed through the member-only platform, CFA UK Discover.
Event: 17:00 - 18:00
CPD Points: 1.00
Kingsmill Bond, CFA, Energy Strategist, Carbon Tracker.
Kingsmill Bond, CFA, has worked as a sell-side city equity analyst and strategist for 25 years, including for Deutsche Bank, Sberbank and Citibank in London, Hong Kong and Moscow. He believes that the energy transition is the most important driver of financial markets and geopolitics in the modern era.
He joined Carbon Tracker at the end of 2017 to write analysis on the impact of the energy transition on financial markets, and has written many pieces on that theme. He is also a member of the Global Future Council on energy transition for the World Economic Forum.
He has an MA in history from Cambridge University, qualified as an accountant (CIMA), and holds the Chartered Financial Analyst (CFA) qualification.
Click here to view our event terms and conditions.