Financial Soultions: Carbon fund assets sail through the recession.

Oct. 14, 2009 - PRLog -- As we begin emerging form the global economic crisis, with what most say is the worst behind us, Financial Soultions examines what the effect on the carbon fund niche was.
Many funds intended to be launched in the 2008-09 year, and listed in last years Carbon Funds Directory had to be temporarily put on ice, with other existing funds making little progress in the same period.

Having said this, this sector of the market has undoubtedly emerged in a comparatively healthy state, with strong growth in the emissions markets and the expectation that that growth still has a long road ahead of it. Financial Soultions understands that the carbon market saw its value double during the 2007-08 financial year, to over $126 billion according to figures available from World Bank, and independent research is showing that in the first 6 months of this year international volumes have risen 124% year on year.

Compared to last years 80 listed funds with an additional 5 planned, this year sees 89 funds with a further six in the pipeline, which jointly manage a total of $16.1 billion with an anticipated $3.23 billion likely still to be raised, compared with $12.87 billion and $5.49 billion respectively a year ago, Financial Soultions research shows. When put in the light of economies struggling to pull out of a global recession, these figures indicate a global industry on the verge of massive expansion.

Financial Soultions has learned that the majority of fund managers foresee the price of carbon certificates going up over the next 12 months and an even larger consensus for 2012 when prices are expected to have increased vastly.

However, it should be said that a lot rests on the Copenhagen climate talks in December, and how much of a commitment the U.S.A. is prepared to make in order to combat global warming.

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