T
he great energy transition, generating electricity from ultra-low carbon renewables rather than fossil fuel, is critical for meeting targets to combat climate change. It is also sparking much interest among investors while the world strives to achieve net-zero status — so much so that research suggests that the sector could be in bubble territory.
According to the index provider MSCI, investors’ interest has soared to a level last seen when technology stocks were at the height of the 1999 dotcom boom. Money has been pouring into renewables over the past 18 months, and exchange traded funds (ETFs) — a type of tracker with low fees — are largely behind the surge.
Global inflows into clean energy ETFs rose to $14.7 billion in the six
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