Market Analysis

 

In the last year of crisis, many investors are talking about a new form of investment - in the emerging area of green or clean technologies. Venture capitalists and private equity funds have long been working in this growing sector, in all likelihood it is there waiting for the next speculative rally. Against the backdrop of a global recession of world economies, the sector looks promising. Environmentally friendly technologies - a very broad field, which consists of solutions to increase productivity, improve efficiency while reducing costs, energy consumption and environmental pollution, and recycling systems. Industry itself is at an early stage of its life cycle, with the highest profit will companies that are promoting new technologies in emerging markets, especially in the BRIC countries. Western markets and consumers are already covered by green technological revolution, which began there in 70 years in the wake of soaring oil prices.

Investment banks, asset managers and private equity funds that follow an investment strategy of limited risk and high potential returns, pay great attention to companies with clean technologies and their commercialization strategies for these technologies in emerging markets. Electricity consumption in the world is growing, as well as the demand for it. Thus, investors 'green' funds receive a double benefit: higher profits and meet the growing needs of industry in environmental protection systems.

Another growth factor - state's support. Barack Obama's Administration actively took up promotion of green initiatives and the development of programs promoting innovative solutions to increase the consumption of clean energy. Hundreds of billions of dollars invested in the development of new technologies and create jobs in industries that provide energy efficiency and reduce greenhouse gas emissions. Of course with an eye on theexport of technology to developing countries, and especially in China.

In the green technologies are investing not only government but also to large private investors such as George Soros. He intends to invest $ 1 billion in clean energy technologies, in addition creates a non-profit organization Initiative of climate policy, which will be in ten years to transfer 10 million dollars annually to environmental organizations to ensure that they have influenced policy decisions aimed at further reducing greenhouse gas emissions.

Investing in the future green economy is possible by buying ETF (Exchange-Traded Funds), traded on the American stock exchange sites, said Michael Aristakesyan, director of information and analysis on world markets Finam. Another option - to buy shares directly to their respective companies. For example, on the Copenhagen stock exchange quoted shares of companies ROCKWOOL, which develops and sells insulation materials, including Russia's market. Taking into account the fact that the issue of energy conservation is a priority not only in the world, but now in Russia, investing in thermal insulation industry is interested in the long term - believes Maxim Tarasov, Sales Director for Russia's unit ROCKWOOL. - Russia's President Dmitry Medvedev has repeatedly expressed the need to stimulate the adoption of energy-saving technologies to reduce by 2020 the GDP energy intensity by at least 40%. Insulation helps reduce energy consumption for heating and air-conditioning, that is, a material that enhances the energy efficiency of buildings.

Another example - auto company Renault (shares traded in the U.S., Paris, Frankfurt and other European stock exchanges), which in 2011 together with a venture capital company Project Better Place will sell in Denmark, 100 per cent electric cars that meet the requirements of European standards. They absolutely do not emit harmful emissions into the atmosphere and at the same time possess the technical characteristics of cars with 1.6-liter gasoline engine.

Of course, there is a risk that instead of the object of long-term investment in the market naduetsya another bubble. We already had the information technology bubble in 2001 and now - the financial bubble. Can we assume that the next will be related to biotechnology or alternative energy sources, - considers the rector of the New Economic School Sergei Guriev.

Although until the bubble is still very far away. At the moment such investment is still not very cost-effective program for the transition to renewable sources of energy are due to subsidies and tax incentives from the state, said Michael Aristakesyan. Investors are strongly optimistic, however, their interest depends on the rate of economic transition to alternative energy sources, which are the cost per kilowatt that while more expensive than the oil electricity. Arrival of foreign investors in the sector should be preceded by a breakthrough in green technologies that reduce the cost per kilowatt or very high oil prices - analyzes Mr. Aristakesyan.

Renewable energy - a long-term investments in new and emerging sectors, as well as hydrocarbons, sooner or later will end, while renewable energy will always exist - thinks Julia Dobrolyubova expert Rossiyskogo regional environmental center. - All the more so with time its price will decline, and it will become more accessible. There is a second factor in the appeal - the green companies are improving their image in the face of consumers and investors. In Europe, environmentally friendly company is regarded as one of the factors of competitiveness, said the expert.

Rating developments affecting Russia's market

 

 

 

 

 

 

 

 

 

 

 

NOTE:

1. most powerful influence on the market have an event with a rating of A events with D rating on our scale, have little influence.

    

2. In the sections Macroeconomics and Commodity Markets in column 2 in the brackets can be specified rating of the previous day.
3. down arrow in column 3 indicates the likely negative impact on the market, the arrow up - positive /neutral.

FUNDS - moderately positive

Price of oil the OPEC basket has reached the maximum value for three weeks
Litvin intends to sign the law on the allocation of the National Bank of UAH 9.8 billion to prepare for Euro-2012
Russia market sets new annual highs
Europe: week started with a green notes
VDTSB approved tariffs, which will operate the joint depository
SP: At current rates of return to savings for the full calculation with the former USSR Savings Bank depositors need 400 years
Russia's stock market remains bullish trend to a weaker dollar and rising commodity quotes
Retail Chain Magnet published results for the 9 months of 2009
The relatively weak on the stock exchange RTS appeared protective market instruments - stocks in the consumer sector

Scenario and forecasts