Oil Sands v. Cleantech

An article in today’s Globe & Mail describes the recent woes of oil sands investors.  High labour costs, regional markets, and pipeline protests are all spelling trouble for companies that have been expanding at rates that are hardly sustainable (by any definition of the word). And the article doesn’t even mention China’s new carbon tax that could change the geopolitical game on climate change.

The Oil Sands Index Fund (CLO) is an ETF that tracks the ironically-named Sustainable Oil Sands Index®.  As you can see from the 3-month chart below, it hasn’t been so profitable lately:

 

Oil_Sands_index.png

Meanwhile, the green economy has continued its impressive growth.  The PowerShares Cleantech Portfolio (PZD) ETF has performed much better over the same period:

PZD_cleantech.png

Now I realize that 3-months is a very short time-frame, but this could be a signal that the market is starting to recognize that there’s more money to be made in the clean, green economy than in the dirty, black one.

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commented 2013-12-23 03:00:50 -0500
Thank you
Don't let your money do things you wouldn't