The European Union (EU) has redefined the energy sphere in Europe over the last three decades. Transnational policies targeting liberalization and integration, energy efficiency, renewables, carbon pricing, and energy security have led to major steps forward in terms of a more secure,...

We present a modelling approach for sector asset pricing studies that incorporates sector-level risk factors, subgroup portfolios, and structural breakpoint tests that are better at isolating the time-varying nature and the firm-specific component of returns. Our results show considerable...

There is a lot of forward looking work attempting to envisage the decarbonised energy system of the future as reflected with current interest in "smart grids". A central tenet behind most visions of the "smart grids" of the future are the price signals that financial and commodity markets will...

This general review paper explores the role of institutional investment in EU ETS. We do so by addressing seven questions sequentially, namely: (1) How does the EU ETS work? (2) What drives the value of carbon? (3) What potential diversification benefits arise from investing in carbon? (4) How...

We examine the impact of liberalization, energy efficiency, renewable energy, and security of supply legislations on the risk-return profiles of European energy utilities over the period 1996 to 2013. Results show that, after controlling for equity market and commodity risk factors, the EU...

The European Union (EU) has redefined the energy sphere in Europe over the last 3 decades. Transnational policies targeting liberalization and integration, energy efficiency, renewables, carbon pricing, and energy security have led to major steps forward in terms of a more secure, integrated,...

We present a modelling approach for sector asset pricing studies that incorporates sector-level risk factors, subgroup portfolios, and structural breakpoint tests that are better at isolating the time-varying nature and the firm-specific component of returns. Our results show considerable...