Image: Funds EuropeWhat fund managers need to know about reform of the Emissions Trading System - Funds Europe
• European Union Allowance (EUA) prices have dropped significantly, falling from approximately €90/tCO2e in January to below €65/tCO2e by March. • This price decline is primarily driven by market uncertainty surrounding the upcoming reform of the EU Emissions Trading System (EU ETS). • The volatility matters for fund managers as it impacts the cost of carbon permits that companies must hold to cover their CO₂ emissions.
funds-europe.com