Research & News
Major Disruption to the Global Energy Chain Is Triggering Once-in-a-generation Opportunities
The current global energy transition is driving an "inevitable geopolitical shift" and creating "unique opportunities not seen in generations," according to a Winton Group-backed advanced energy investment firm
LONDON: The current global energy transition is driving an "inevitable geopolitical shift" and creating "unique opportunities not seen in generations," according to a Winton Group-backed advanced energy investment firm.
This analysis by Dr Erich Becker, Founder and Managing Partner of London-based energy investment firm, Exergy Capital, comes as momentum builds across the world on the seismic shift towards cleaner energy sources, and with oil prices in the grip of volatility.
Exergy is backed by Winton Group, a global investment management and data science company with more than $20bn in assets.
Dr Becker observes: "The unprecedented, global energy transition is already underway. So far-reaching and disruptive is it, it will affect the entire energy value chain from energy firms, their providers, suppliers and financiers, to end-users.
"The global energy sector is changing dramatically, and the momentum is accelerating due to growing consensus on climate change and the need to decarbonise, as well as mounting pressures on and increasing appetite for electrification and digitisation.
"This transition will also drive an inevitable geopolitical shift over the next couple of decades as many countries will be able to become less vulnerable to price volatilities of traditional energy sources with a shift to efficient, cleaner ones."
He continues: "This upending of the status quo across the energy sector is creating unique opportunities not seen in generations.
"The next few years of the transition are critical. Investors will need to understand these new opportunities as they are unlikely to come around again."
To provide global investors with highly rewarding opportunities to develop the infrastructure and technology required to reshape the energy value chain, Exergy, together with Dalma Capital Management, a prominent hedge fund manager in the Dubai International Financial Centre, have established the world's first Sharia-compliant investment strategy in this area.
This includes forging long-term partnerships with strategic and financial energy market participants, entrepreneurs and developers across the energy value chain.
Zachary Cefaratti, CEO at Dalma Capital, explains: "Investing in energy of the future provides a hedge to fossil fuel economies, benefiting investors in the Middle East and beyond who are either directly or indirectly exposed to the conventional energy value chain."
He continues: "The ESG Investment thesis [environmental, social and governance] is well aligned with Sharia principles – together with Dalma Capital's Islamic Window this will provide the first Sharia and ESG Compliant Energy Transition Private Equity structure globally."
Dr Becker concludes: "The advanced energy investment approach, focusing on the infrastructure and companies that are driving the global energy transition, is providing once-in-a generation opportunities for investors requiring a hedge to fossil fuels and/or seeking active returns in this new era."
About Dalma Capital:
Dalma (DIFC) is an alternative investment accelerator and investment advisory firm focused on alternative investments and innovative financial products. The company primarily serves institutions, family offices and corporations - managing their alternative investments and advising on innovative financial products, including Islamic Investment Solutions, with a focus on Alpha generating strategies.
For enquiries, contact [email protected]
About Exergy Capital: Exergy is an ESG-rated London-based private equity firm pursuing an advanced energy investment approach focused on the infrastructure and businesses that are driving the global energy transition, a structural shift towards sustainable and low-carbon energy. Its team comprises of energy sector experts, combining engineering backgrounds with experience at leading financial institutions such as Goldman Sachs, Macquarie and Och-Ziff. Exergy is led by Dr Erich Becker and backed by Winton Group.
About Winton Group: Winton is a global investment management and data science company. Founded in 1997 by CEO David Harding, Winton's business utilises computing technology to apply mathematical and statistical methods to the field of investing. The firm aims to help savers and institutional clients meet their investing goals by building intelligent, long-term investment systems that evolve as markets change.
Winton employs approximately 300 people in eight offices around the world and manages more than $20 billion of assets for many of the world's largest pension funds, sovereign wealth funds, banks and fund platforms.