Low-Carbon Revenues and Readiness intro copy

Anil Rao

December 2, 2020

 

Three-quarters of the USD 1.5 trillion in revenue from clean tech for MSCI ACWI constituents came from outside North America. The Pacific region had the highest share of clean tech to total revenue, at 5%. MSCI Research explored two other ways to quantify climate-change readiness: 

  1.  Share of solutions-oriented firms measures exposure to and management of risks and opportunities from a low-carbon transition; the Pacific region (5.4%) and Europe (4.9%) had the highest shares.
  2.  Share of “green” patents measures R&D efforts underpinning future clean-tech revenues. Europe and the Pacific region had the highest ratios.

Interactive Assets

North America

Europe

Pacific

Emerging Markets

Clean Technology Revenues1

Global total: $1,477bn

Share of Revenues from Clean Technologies
Low-Carbon Transition: Solutions-Oriented Firms2

Fraction of Market

Green Patents to Total Patents2

Ratio


1. MSCI Sustainable Impact Metrics are used to calculate clean-technology revenues, which are defined as those derived from products and services related to energy efficiency, pollution prevention, green building, alternative energy and sustainable water. Revenues reflect those by firms that are domiciled in each geographic region per MSCI country-classification methodology.
2. Firm-level Low-Carbon Transition data and number of patents as of September 2020. Solutions-oriented firms are those that have the potential to benefit through the growth of low-carbon products and services. The classification is based on the MSCI Low-Carbon Transition methodology.

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