Schroders' Webber plans to boost renewable exposure

Schroders'Simon Webber is planning to increase exposure to renewable stocks believing prices are about to reach rock bottom.

The Global Climate Change fund manager says negative sentiment around the sector has pushed down valuations from their highs. However, he believes there are a number of factors which could lead to a rebound. "It has been a tough start to the year for the renewable energy sector. Germany is, rightly, slashing its over-generous solar subsidies, which some in the industry had become reliant upon," he says. "Meanwhile wind energy markets outside of China remain depressed by low power prices and slowly recovering project finance markets." Webber says this has driven multiples down to 10...