For financial professionals in Finland

In the transition to zero carbon, the resources sector is a natural fit

Portfolio Managers Tal Lomnitzer and Tim Gerrard discuss the investment opportunity presented by the global decarbonisation effort and the key role natural resources companies will play in the transition to a low-carbon economy.

Key takeaways

  • The potential consequences of climate change require urgent action, and natural resources companies are critical to facilitating the production and development of renewable, low-carbon energy sources.
  • The opportunities in the sector go beyond renewable energy, however, with critical raw materials, and agriculture, among others, also playing a key role in the transition to zero carbon.
  • In our view, an active approach to investing in this space is best suited to identify resources companies that are contributing to decarbonisation and driving what to us appears to be an attractive long-term outlook for the sector.
Tal Lomnitzer, CFA

Tal Lomnitzer, CFA

Senior Investment Manager


Tim Gerrard

Tim Gerrard

Portfolio Manager


13 Sep 2021

Key takeaways:

These are the views of the author at the time of publication and may differ from the views of other individuals/teams at Janus Henderson Investors. Any securities, funds, sectors and indices mentioned within this article do not constitute or form part of any offer or solicitation to buy or sell them.

 

Past performance does not predict future returns. The value of an investment and the income from it can fall as well as rise and you may not get back the amount originally invested.

 

The information in this article does not qualify as an investment recommendation.

 

Marketing Communication.

 

Glossary

 

 

 

Important information

Please read the following important information regarding funds related to this article.

The Janus Henderson Horizon Fund (the “Fund”) is a Luxembourg SICAV incorporated on 30 May 1985, managed by Henderson Management S.A. Henderson Management SA may decide to terminate the marketing arrangements of this Collective Investment Scheme in accordance with the appropriate regulation. This is a marketing communication. Please refer to the prospectus of the UCITS and to the KIID before making any final investment decisions.
    Specific risks
  • Shares/Units can lose value rapidly, and typically involve higher risks than bonds or money market instruments. The value of your investment may fall as a result.
  • The Fund is focused towards particular industries or investment themes and may be heavily impacted by factors such as changes in government regulation, increased price competition, technological advancements and other adverse events.
  • The Fund may use derivatives with the aim of reducing risk or managing the portfolio more efficiently. However this introduces other risks, in particular, that a derivative counterparty may not meet its contractual obligations.
  • If the Fund holds assets in currencies other than the base currency of the Fund or you invest in a share/unit class of a different currency to the Fund (unless 'hedged'), the value of your investment may be impacted by changes in exchange rates.
  • Securities within the Fund could become hard to value or to sell at a desired time and price, especially in extreme market conditions when asset prices may be falling, increasing the risk of investment losses.
  • Some or all of the ongoing charges may be taken from capital, which may erode capital or reduce potential for capital growth.
  • The Fund could lose money if a counterparty with which the Fund trades becomes unwilling or unable to meet its obligations, or as a result of failure or delay in operational processes or the failure of a third party provider.
Tal Lomnitzer, CFA

Tal Lomnitzer, CFA

Senior Investment Manager


Tim Gerrard

Tim Gerrard

Portfolio Manager


13 Sep 2021