The Mainstreaming of Renewable Energy Infrastructure Investing - Risks, Returns and Emerging Sectors
If you work in renewable energy or infrastructure finance, then you might like this...
Yesterday, I published an article in the Real Assets Newsletter for Preqin, a global leader in market intelligence for the alternative assets investment industry, serving 40,000 investment professionals in 90 countries.
See the link below. It's on page 8.
"The Mainstreaming of Renewable Energy Infrastructure Investing - Risks, Returns and Emerging Sectors"
Here are two highlights...
Figure 1 shows the attractive risk-return of infrastructure vs. other asset classes. Note that renewable energy made up 54% of all infrastructure deals globally in Q3 2016.
Figure 2 illustrates that solar projects in the developing world tend to be larger (i.e., allow for greater volumes of capital allocation) and generate higher IRRs (albeit with more political and other country risks).
What does it all mean for investors?
It's time to look forward, not backward. Most perceptions about renewable energy are outdated because the sector is changing so quickly. Those wait run the risk of being late to the (raging) party.
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