SQOTD, Hurricanes, Climate Change, Investing Opportunities

[frayne]

Every year it seems like the current year is the hottest on record. Not arguing if climate change and global warming are man made or just the natural forces of nature. That said, one would think with the additional heat load and increasing evaporation rates into the atmosphere, these storms will only continue to bigger, more fierce and destructive. Now the engineers on the board can jump in and explain heat balances, heat transfer coefficients, etc. but the question I have is real basic, are there some good investment opportunities to be had besides the obvious ones like building materials. Something maybe along the lines of pro-active companies looking forward in anticipation of rising ocean levels, larger and more destructive hurricanes, tornadoes, etc.?

 

[Blueskies123]

Home depot

 

[mpeirce]

The climate has varied during recorded history. I expect it to continue to do this.

Real investment opporunities? Doubtful.

 

[NYEXPAT]

This!

 

[HondoBob]

Every year it seems like the current year is the hottest on record. Not arguing if climate change and global warming are man made or just the natural forces of nature. That said, one would think with the additional heat load and increasing evaporation rates into the atmosphere, these storms will only continue to bigger, more fierce and destructive. Now the engineers on the board can jump in and explain heat balances, heat transfer coefficients, etc. but the question I have is real basic, are there some good investment opportunities to be had besides the obvious ones like building materials. Something maybe along the lines of pro-active companies looking forward in anticipation of rising ocean levels, larger and more destructive hurricanes, tornadoes, etc.?

Perhaps a big-box cremation services company? Offering volume discount coupons?

 

[GrayHare]

Real effects that will require mass (re)construction work are beyond the lifetime of most here. Perhaps during the 2100s such efforts will be needed in sufficient quantity to move the investment needle.

 

[Nemo2]

I'm by no means religious, but this comes to mind:

And ye shall hear of wars and rumours of wars: see that ye be not troubled: for all these things must come to pass, but the end is not yet.

Matthew 24:6 King James Version

 

[USGrant1962]

Home depot

I was thinking the same thing. I wonder if a seasonal trade on HD or LOW would work as a speculative strategy? Maybe something for the PUTS and CALLS thread...

Which, BTW, has nothing to do with climate change - hurricane season was around long before the industrial era. But huge cities on the coast weren't.

 

[OldShooter]

... the question I have is real basic, are there some good investment opportunities to be had besides the obvious ones like building materials. ...

The efficient market hypothesis, which I generally believe has to be correct over the long term, would say that everyone knows these things so the consensus of their predicted effect is already reflected in the price of the stocks. IOW, there are no bargains to be had.

The behaviorists like Richard Thaler might speculate that these stocks are currently overpriced because the weather and climate change are such hot topics and many are thinking like you are.