News & Insights

An Introduction to Green Energy
Chris Cook, CFA^®, Senior Equity Trader and Research Analyst

Climate change is a critical topic these days and is transforming industry, government policy, and economies across the world. The energy sector is widely considered to be the biggest contributor to climate change and has been in the crosshairs of regulators and investors the past several years. There is a massive shift occurring in the sector as energy companies are working through the transition to greener options. But green energy is more than just reducing carbon emissions. It’s an extremely broad topic which includes segments of the energy sector, industries, companies, and a general strategy of economic growth, while accounting for contributors to climate change. Generally speaking, when we’re referring to green energy, the focus is on investment opportunities for companies and technologies that either reduce emissions, invest in carbon reduction strategies, or invest in infrastructure and products that provide energy alternatives to fossil fuels. Ultimately, the goal is to create a new efficient energy market to promote economic growth while reducing emissions of greenhouse gases (GHG) that affect climate change across the globe.