Invest in the Companies, Products and People that are Creating a Cleaner, Greener Tomorrow
“Decarbonizing the economy is the most important movement in industry and the economy since the Industrial Revolution."
Founder of GMO
"The climate-change fix is the “single biggest investment opportunity in history.”
Former Vice President and climate advocate
“The move to net zero is the “greatest commercial opportunity of our time.”
Special UN envoy for climate action and former Bank of England governor
GMO’s Climate Change Fund is value-based and invests in the technology, materials and products that will lead us towards a carbon-free lifestyle.
GMOs is an ESG investment that looks for reasonably priced any “green” projects they can find with little regard for the cost, GMO looks for reasonably priced investments across a diversified range of products, including investing in goods that are not typically thought of as “green” -- such as copper, carbon, lithium and nickel. Those materials are needed in order to advance toward a carbon-neutral economy and they should be in high demand for years to come.
Jeremy Grantham, one of the founders of GMO, has made it his personal mission to spearhead a cleaner, greener planet. For the last 40 years, he has been a tireless champion, warning about the dangers of climate change while personally funding a billion-dollar foundation to help stop its global advance.
Professionally, his company created an ESG investment climate change fund so that others can profit by investing in the areas that are reasonably priced and need our support.
Although the opportunities in the climate change sector are wide open, a measured, disciplined approach is crucial. Moving to a clean energy world is clearly an exciting story, but by the same token, it can also be an industry full of hype and empty promises
As value-focused investors, at PCA we stay focused on long-term outcomes, emphasizing reasonably valued or even undervalued areas of the markets while adjusting the type and amount of exposure based on expected returns. We believe that such a diversified, value-based approach improves the likelihood of long-term returns while lessening risk. That is precisely the approach taken by GMO in a strategy available only through their Climate Change fund at this time:
There are plenty of ESG investments focused on investing in alternative or green energy, but GMO is unique in the way that it focuses on value as it invests in the technology and materials necessary to achieve the end result of decarbonization. The importance of this emphasis on value cannot be overstated in our opinion.
We don’t want to own investments just because they are climate-related -- we want to make sure they are good and reasonably priced investments, too.
Invest in the kinds of companies that are positioned to benefit from mitigating both the short and long-term effects of climate change on a global scale. It’s possible, and we can help you do it.
GMO is an investment manager whose funds are typically reserved for those with at least $5 million in assets with the firm. However, through our special partnership with GMO, and in an effort to help ensure that investments go where they are most desperately needed, you can now open an account with $50,000 or more.
If you would like to invest in climate change solutions but you want a measured, value-based approach, the GMO Climate Change Fund could be right for you. You’ll be getting access to an institutional-level fund run by highly-respected value investors that you can’t access on your own.
We understand the critical nature of the problem that this fund’s thesis is based upon. It is, as Jeremy has coined it, the Race of Our Lives. With that being said, we understand that you may have further questions. Please do not hesitate to contact us for more information or check out our most frequently asked questions regarding the performance of the fund and more, below.
As of 12/31/21, the GMO Climate Change fund has returned an average of 11.44% over the prior year, and 26.26%/year over the prior three years. But, as always, past returns aren’t indicative of future results.
The GMO Climate Change fund is a global mutual fund with investments in many companies spread across the world. It has a risk of “average” compared to funds in the same category, according to Morningstar.
In addition to the fund’s institutional share class fee (.88% as of 11/29/2021), you’ll pay a 0.2% fee to PCA on the first $1 million in your account and 0.1% on anything after that. This fee covers access to the fund and service of your account.
We have access to the GMO Climate Change fund because our firm has $10’s of millions invested in GMO funds. That creates a relationship with GMO where we’re able to get the personal $5 million minimum waived for our clients.
Pacific Capital Associates is an independent investment management and financial planning firm whose representatives have been serving San Diego and beyond since 2000.
The account will be held at Schwab, but you’ll need to sign a contract with PCA to gain access to the GMO Climate Change fund. Other than that, you’re not required to use any of our active management or financial planning services—although we’re happy to help if you’re looking for an advisor!
If you’d like to learn more about the GMO Climate Change fund, we encourage you to look through these resources.
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