Hedge fund doubts Fed cuts can revive green bet

Failing transition: Turbines seen at a wind farm in Schuelp, Germany. Continued investment in the green transition may backfire, causing voters to reject pro-renewable politicians. — AFP

NEW YORK: It’s wrong to expect that a cycle of interest-rate cuts from the US Federal Reserve (Fed) will suddenly revive the green transition, according to Barry Norris, the founder and chief investment officer of UK hedge fund Argonaut Capital Partners.

“For the last few years, energy-transition insiders believed that the problems in the industry stemmed purely from high interest rates,” Norris said in an interview.