Quarterly Outlook
Q4 Outlook for Investors: Diversify like it’s 2025 – don’t fall for déjà vu
Jacob Falkencrone
Global Head of Investment Strategy
Head of Commercial ESG and Education
Summary: The 30th edition of the Conference of the Parties (COP) will take place in Belem, Brazil, from 10 to 21 November 2025. As world leaders, negotiators, and activists gather once again to address the climate crisis, questions persist about the effectiveness of these annual summits.
In this piece, we'll look at COP's history, its impact, and the expectations for COP30.
COP is an annual climate summit convened by the United Nations. Its mission is to prevent dangerous interference with the climate system. Each year, the global climate community gathers to assess progress, set new goals, and agree on coordinated actions to reduce global emissions. Essentially, it is where international climate policy is shaped, debated, and ideally advanced. Compounding the crisis is a backdrop of mounting geopolitical tensions and a shifting global landscape for climate cooperation. From wars to trade disputes, international collaboration is under strain. The United States' withdrawal from the Paris Agreement sends a clear signal of retreat from binding climate commitments, at a time when the climate crisis demands unity and ambition. What is COP and what has it accomplished over the years
Critics of COP argue that after three decades, the summits have failed to deliver the scale and speed of action needed to limit global warming. They question whether COP can meet the urgency of the global climate emergency and point out that the events generate significant carbon emissions every year with tens of thousands of participants flying in, some of them by private jets.
While progress has often felt slow, it would be unfair to say that COP has achieved nothing. Over the years, these summits have laid the groundwork for international cooperation, binding commitments, and a shared understanding of the urgency we face. Though the pace of change hasn’t always matched the scale of the challenge and much work remains, COP has played a pivotal role in shaping the global climate agenda from the Kyoto Protocol in 1997 to the Paris Agreement in 2015.The climate situation is still in the danger zone
While COP’s milestones are significant, many climate experts warn that the climate situation remains critical, and in some cases, even catastrophic. Scientific evidence from WMO report, NASA, and the IPCC shows that the situation has deteriorated significantly over the past 30 years.
COP 30 is held in Belem, a city that serves as a gateway to the Amazon rainforest, one of the world’s most vital ecosystems. There’s a poignant irony in convening a global climate summit in a region that is a frontline of environmental degradation. As with previous COPs, this year’s edition will bring intense discussions, agreements, high-fives, and plenty of photo opportunities. Whether it leaves an indelible mark or fades into the rhythm of past summits remains to be seen. But one thing is clear: solutions to the climate crisis won’t come solely from conference halls; they must come from collective action. And those who truly want change must be part of it. To borrow and reimagine the words of President John F. Kennedy: “Ask not what COP30 can do for climate change, ask what you can do for climate change.” One way to help is by investing responsibly, channelling capital into companies and sectors that actively advance solutions for climate mitigation and adaptation. A variety of investment products are available, including individual stocks and ETFs that align with climate benchmarks such as the Paris Agreement or climate transition benchmarks. Explore Saxo’s Climate Change theme for a list of stocks and funds that seek to tackle climate-related challenges in a variety of ways.What can we expect from COP30?
The agenda for this year's summit is broad and ambitious and key topics include:How to invest in climate change