Overheard: Wall Street Sees Profit in 'Flood'

Sept. 22, 2014 8:42 p.m. ET
"Stop Capitalism. End the Climate Crisis."

There's an irony in the official slogan of Flood Wall Street, the demonstration 
that brought protesters to Manhattan's Financial District Monday. Apparently 
unbeknown to them, the putative capitalists on Wall Street are on their side.

All of the major financial firms style themselves as environmental stewards. 
Morgan Stanley MS -1.62% says it is "the leading clean-technology 
investment-banking franchise." Goldman Sachs GS -0.49% touts its "commitment to 
developing effective market-based solution to address climate change" and other 
environmental issues.

This isn't just rhetorical "green-washing." It is all about money.

The International Energy Agency estimates that the world needs $10.5 trillion 
of incremental investment globally in low-carbon technology by 2030. That 
figure—bigger than China's gross domestic product—warms the hearts of 
investment bankers aiming to gather and deploy those funds. And because 
anything that can be priced can be traded, Wall Street also loves the idea of 
putting a price on carbon emissions.

To paraphrase an old financier, bankers see potential profits from this flood 
on the street.
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