New Report from Institute for Energy Economics & Financial Analysis: The Financial Case for Fossil Fuel Divestment

Once a sound investment strategy, the coal, oil and gas sectors have lost their financial rationale while the case for divestment has proven financially sound and a path for effective climate action, according to a new Institute for Energy Economics and Financial Analysis (IEEFA) report.

This is an updated version of The Financial case for Fossil fuel Divestment from 2018. The financial risk of continued investment in the coal and oil and gas sectors continues to grow. The updated version is following the growing call across the world to stop investing in a destructive and volatile industry. 

“Divestment is a defensive move to prevent the loss of share value. It works. Opponents of divestment continue to make the false argument that it will lose investors’ money,” said Tom Sanzillo, IEEFA director of financial analysis and co-author of the report. “When that argument fails, industry leaders have turned to unprincipled and arbitrary punitive policies, a worrying trend for investors who are seeking blue chip stability at this time of turbulence.”