At Redwood Grove, we bring together seasoned public equity investors, with a disciplined, science-informed process. Our strategy is built to consistently uncover companies positioned to outperform as the climate reshapes the economy.
Read moreOur investment process is designed to uncover market inefficiencies by analyzing the material financial impacts of climate change on publicly traded companies. We integrate traditional fundamental research with rigorous, company-specific climate analysis to evaluate both risks and opportunities.
This approach allows Redwood Grove to capitalize on the economic shift toward sustainability while actively supporting the global transition to a low-carbon future.
Redwood Grove’s portfolio is built through a two-part investment process. We combine bottom-up fundamental research with climate trend analysis to identify undervalued companies well-positioned to benefit from underappreciated climate-related shifts.
The four main trends:
Technological
Innovations
Regulatory
Change
Physical
Changes
Consumer
Behavior
Find out more about our two part investment process
Investing
2026 Climate Impact Report
Builds on last year’s finding of a market-wide retreat from Net Zero commitments, showing RGC’s portfolio held its ground even as voluntary reporting slipped. Only 3% of the portfolio is Not Aligned with net zero goals — the lowest of any benchmark tracked — while 48% is Aligned or Aligning (62% once non-reporting clean tech holdings are included), and the portfolio remains the most carbon-efficient among its peers at 65 tons of CO₂ per $1 million of sales versus 105 for the Russell 1000 Value. Also asks whether AI is becoming the next high-emissions sector, as data center growth is now outpacing Big Tech’s own decarbonization targets.
Fires, Air Quality and Climate
Redwood Grove Capital’s Q2 letter examines how a warming climate is lengthening wildfire seasons and worsening air quality from the American West to New York and Europe. These disruptions illustrate a broader theme: climate adaptation—not just mitigation—is becoming a durable, multi-year investment opportunity.
Water Under Pressure: Climate Risk and the Economics of Scarcity
Climate-driven disruptions to the water cycle are creating mounting economic pressures—from municipal credit risk to infrastructure demand—highlighting a critical and often overlooked investment theme.
