Reuters Sustainable Finance Newsletter - A Monaco fund bails on uncertain US

Reuters02-05 00:00
Reuters Sustainable Finance Newsletter - A Monaco fund bails on uncertain US

By Ross Kerber

Feb 4 (Reuters) - This is the weekly Reuters Sustainable Finance Newsletter, which you can sign up for here .

A pullback from U.S. renewable energy projects by a Monaco-based hedge fund might not be a surprise these days. But Knight Vinke Asset Management also raised rule-of-law questions about the Trump administration, which you can read about in this week's main story below.

You'll also find links below to news including price cuts by PepsiCo for struggling consumers, and a new CEO at nonprofit Freedom House.

Please follow me on LinkedIn and/or Bluesky. You can reach me via ross.kerber@thomsonreuters.com

Knight Vinke founder bails on "uncertain" US under Trump

Eric Knight said his hedge fund cannot invest in the United States under President Donald Trump because the risks have become too great, but profits can be made in Europe where rules and policies for green energy projects are more predictable.

Monaco-based Knight Vinke Asset Management sold the last of its U.S. holdings in August, its CEO and founder Knight told Reuters in a recent interview.

After investing in everything from Big Oil to banks, Knight has focused on the energy sector in recent years, launching a dedicated energy transition fund last year.

However, the risks of investing in alternative energy companies in the U.S. have become too high, he told my colleagues in a recent interview. "It's become uninvestable because the rule of law is not applied uniformly," said Knight, "the headwinds are too strong."

You can read the rest of the story by clicking here.

Company news

Bank of America BAC.N put in place new standards for agricultural commodities to prevent deforestation, leading Green Century Capital Management to withdraw a shareholder resolution on the subject.

Amazon AMZN.O confirmed 16,000 corporate job cuts, completing a plan for around 30,000 since October, while leaving open the possibility of further reductions.

PepsiCo PEP.O will cut prices up to 15% on core brands as U.S. consumers struggle to afford essentials due to inflation and delayed food stamp benefits. Other companies have made similar moves including P&G PG.N and Coca-Cola KO.N.

On my radar

U.S. nonprofit Freedom House named Jamie Fly as its new CEO, where he will oversee its flagship Freedom in the World report that had gained attention tracking the rise of authoritarian leaders. Most recently Fly was senior counselor at Palantir Technologies PLTR.O.

A poll of executives and practitioners involved in corporate reporting by financial reporting software maker Workiva WK.N found 83% of respondents said tech investments were increasing in response to geopolitical instability.

Brian Daly, director of the SEC's Division of Investment Management, said the agency welcomes ideas on the use of artificial intelligence for fund disclosures, such as having AI agents available to retail shareholders.

(Reporting by Ross Kerber; Editing by Lisa Shumaker)

((ross.kerber@thomsonreuters.com; (617) 412 0093;))

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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