California’s largest utility filed for Chapter 11 bankruptcy in 2019 after massive wildfires across the state created insurmountable liabilities following an extended period of drought. The Wall Street Journal called it the “first climate change bankruptcy,” and it could be a sign of what’s to come as temperatures rise and extreme weather events become more frequent.
Let’s take a look at how climate change could affect municipal bonds and why investors should consider climate change risks when building their portfolios.
municipalbonds.com
by Justin Kuepper
Feb 03, 2021