The world in 2041

SPONSORED CONTENT - Peter Michaelis, head of the Liontrust Sustainable Investment team, looks to the future

City streets and skyscrapers seen from above

Fund management company Liontrust has announced its intention to launch the Liontrust ESG Trust PLC (ESGT), with a portfolio of between 25 and 35 holdings in sustainable companies around the world that it has judged to have the highest sustainability scores.

Peter Michaelis, head of the Liontrust Sustainable Investment team, reveals the trends he expects to shape ESGT between today and 2041:

“Over the last 20 years, we have experienced huge transformation across so many facets of life, and Covid-19 has shown this change will likely accelerate as we move past the pandemic. The changes we can expect over the next two decades will be reflected in ESGT, for which the IPO is planned for early July.

“Increasing urbanisation looks set to continue, with more than two-thirds of the global population likely to be city dwellers by the early 2040s. Currently cities emit 50% to 60% of greenhouse gases and will therefore have to invest in retrofitting to mitigate environmental impacts.

“Healthcare is a huge part of a more sustainable future, as people need to be around to enjoy a better world. Looking beyond the pandemic, our view is that we will see significant advances across areas such as gene editing and DNA sequencing, and these will revolutionise how we think about treatment.

“By 2041, our hope is that the electricity we consume will primarily come from renewable sources and be delivered through a hugely upgraded and more intelligent grid that includes demand-side management. Many things that currently consume fossil fuels will have switched, such as electric vehicles and heat pumps to heat and cool buildings.

“Electric cars should be 2041’s dominant form of passenger vehicles, and the combustion engine is likely to be an antique as quiet, clean cities become the norm. Cars will be charged from solar panels connected to houses and battery technology so developed that refuelling is a thing of the past. We anticipate autonomous vehicles as the norm for deliveries of food and parcels; while driving your own car is unlikely to be fully autonomous, safety systems should take control of braking and manoeuvring.

“The digital economy is increasingly central to a properly functioning global economy and this will continue. We predict ongoing shifts in the future of networking, systems, applications and services. While the internet will continue to play a vital role in how we communicate, artificial intelligence could personalise our experiences within platforms and quantum technologies and computing make networks faster and more available.”

Learn more about ESGT 

Key Risks

Past performance is not a guide to future performance. Do remember that the value of an investment and the income generated from them can fall as well as rise and is not guaranteed, therefore, you may not get back the amount originally invested and potentially risk total loss of capital.

Disclaimer

The information and opinions provided should not be construed as advice for investment in any product or security mentioned, an offer to buy or sell units/shares of Funds mentioned, or a solicitation to purchase securities in any company or investment product.

Recommended

The unintended consequences of ESG investing
ESG investing

The unintended consequences of ESG investing

Many people are refusing to invest in energy companies, citing "ESG" concerns. But we still need fossil fuels, says Merryn Somerset Webb, and will for…
3 Jun 2022
Will the rise of ESG investing cause stagflation?
ESG investing

Will the rise of ESG investing cause stagflation?

ESG investing is booming. But it may be contributing to today’s stagflation – slower growth and higher inflation – says Tom Traill.
27 May 2022
A fund that should give good returns from investing in good deeds
Share tips

A fund that should give good returns from investing in good deeds

Schroders BSC Social Impact Trust has made a solid start and looks more attractive than it did at launch, says Max King.
26 May 2022
ESG investing could end up being a classic mistake
ESG investing

ESG investing could end up being a classic mistake

ESG investing has been embraced with enormous speed and zeal. But think long and hard before buying in, says Merryn Somerset Webb.
3 May 2022

Most Popular

How to find the best dividend stocks
Income investing

How to find the best dividend stocks

Stocks that pay dividends tend to outperform the market over the long run - as well as providing an income. Here, Rupert Hargreaves explains the best …
28 Jun 2022
Gold has been incredibly boring to own – but that’s no bad thing right now
Gold

Gold has been incredibly boring to own – but that’s no bad thing right now

Stocks, bonds and cryptocurrencies have all seen big falls this year. But gold remains at its one-year average. It may be dull, but it’s doing what it…
29 Jun 2022
What the end of the 1970s bear market can teach today’s investors
Stockmarkets

What the end of the 1970s bear market can teach today’s investors

The 1970s saw the worst bear market Britain has ever seen, with stocks tumbling 70%. Things have changed a lot since then, says Max King. But there ar…
28 Jun 2022