Carbon fund increases returns by decreasing supply of permits
Europe’s emissions trading system could be a catalyst for the energy transition, but only if prices rise
BP is one of Europe’s largest contributors to climate change. It is also the place where a trader came up with the idea for a fund that allows investors big and small to increase the cost of the permits that oil companies, airlines and other major polluters must buy to keep emitting carbon.
Dan Barry traded BP’s carbon allowances with other companies that belonged to the European Union’s Emissions Trading System. Barry wanted to allow outside investors to buy and sell the permits too. The move
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