Sustainability · Products

Carbon emission funds 'look comfortable' for next decade

The price of carbon allowances plummeted in Europe against the backdrop of the escalating Russian-Ukrainian war, lowering the cost of carbon emissions for the EU's most polluting companies. That fall has since been rapidly reversed.

While most asset classes are recording double-digit losses this year, one corner of the market is holding its own: European emission rights. Global ETF provider KraneShares sees its carbon allowance ETF stand year-to-date at a positive 0.26 percent. 

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