Credit Suisse highlights the merits of going green

Date: 18 Jan 2010

Its private banking division has established a research institute to identify big picture trends shaping the future. Highlighting appealing valuations, it makes a compelling argument for making renewable energy investments.

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Leigh Powell
At the turn of the 19th century, economist Thomas Robert Malthus argued that the world economy would outgrow the capacity to feed itself.

His premise was that the global population would expand to the limit of subsistence and as a consequence there would be famine, ill-health and war.

At that time there were one billion people on the planet. But with nearly seven times that number now, the question is: how have we largely avoided Malthus’ disaster scenario?

The answer, it appears, is that he underestimated the power of innovation, such as the use of agricultural machinery to replace horses or the use of fertilizers to improve crop yields.

It was a point made eloquently by Lars Kalbreier, managing director and global head of equity and alternatives research for Credit Suisse’s private banking division.

“We will be able to solve sustainability challenges by innovation and better use of resources,”...

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