We all know that if someone divests from a company, all they do is sell the shares to another investor who may care less about the environmental or social record of a company. But David Whyte from the Queen Mary University in London tracked what happened to the shares in BP and Shell that were sold by large investors divesting from these companies. And the results are sobering.
Great analysis... all feels so circular to me at the moment. But what's the end game? For me it's the inevitable exponential decline in demand of oil and gas which will drive an exponential decline in these companies revenues. Their market caps will consequently shrink to a coal miner like status and the bag holders will take the hit. So divestment isn't just about casting a vote and hoping that hurts the company, it is.. imo.. also about avoiding badly managed, capital intensive businesses that face inevitable structural decline.
The bots have indeed taken over - we humans are just grist to their mill
Mind you, we only have ourselves to blame.
Great analysis... all feels so circular to me at the moment. But what's the end game? For me it's the inevitable exponential decline in demand of oil and gas which will drive an exponential decline in these companies revenues. Their market caps will consequently shrink to a coal miner like status and the bag holders will take the hit. So divestment isn't just about casting a vote and hoping that hurts the company, it is.. imo.. also about avoiding badly managed, capital intensive businesses that face inevitable structural decline.