2023 Fourth Quarter

I recently attended talks on residential energy conservation and the Massachusetts state energy and climate action plan, at the local Hitchcock nature center.  This followed a conference I attended by Historic New England on sustainability themes, environmental, social and economic, not exactly the traditional stuff of stuffy museums or historic homes.  I came away with the following investment ideas:

First, diversity and inclusion were featured.  Done well, as with anything, these initiatives enhance the entire organization, revitalizing the organization’s mission and making its work more productive.

Second, the process of addressing climate change is underway.  Questions have been asked yet answers about who will pay for constructing new physical infrastructure remain.  The expensive stuff won’t get built out of charity.  Expertise and skilled workers are needed.  It’s going to require policy changes and planning, along with a broad mandate politically.

Third, the state’s climate plan doesn’t address embodied carbon, energy that had been used to construct what is already in place, and affordable housing.  Historic structures require labor (along with insulation and updated equipment) to restore and modernize.  In New England, developers have repurposed vast mill complexes for housing, schools and businesses, as well as local community housing trusts have worked to enhance historic neighborhoods within the center of walkable, bikeable towns and cities.

The seeds of several potential investment ideas came out of attending these conferences, especially with regard to investing in community development financial institutions.  I met many wonderful people, no investment advisers … without a doubt, everybody has their thing that matters most to them.