Growing popularity of green funds has pushed many stocks to massive valuations sparking fears of similar issues that destroyed the technology sector
Ethical investment has gradually become very fashionable, and with huge inflows into the strongest funds in the sector, valuations have gone very far very fast. This has left some wondering if we are seeing a green bubble of the same ilk as the dot.com situation in the late 1990s. UK company Climate Change for example is currently trading on a multiples of over 750 times with sales last year of just £880,000. The only justification for the rating is that the company runs a carbon trading exchange. Despite this, ethical managers dispute the suggestion of a bubble and many have specific st...
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