Back in July I wrote about uber-hedge fund manager Jeremy Grantham, a self-described “die hard contrarian,” telling it like it is in his blunt 2Q 2010 letter (see “Grantham: Everything You Need to Know About Global Warming in 5 Minutes“).
He wrote back then, “Global warming will be the most important investment issue for the foreseeable future.” He went through the basics of climate science and then wrote:
Do we believe the whole elite of science is in a conspiracy? At some point in the development of a scientiï¬c truth, contrarians risk becoming ï¬‚at earthers.
He noted that “the obfuscators of global warming actually use the same “experts” as the tobacco industry did” and wondered, “Have they no grandchildren?”
Grantham has earned his contrarian cred the legit way. He is former Chairman and now Chief Investment Strategist of Grantham Mayo Van Otterloo (GMO), which has “more than US $107 billion in assets under management as of December 2009. Grantham is regarded as a highly knowledgeable investor in various stock, bond, and commodity markets, and is particularly noted for his prediction of various bubbles.”
In his January 2011 newsletter, “Pavlov’s Bulls,” he has a discussion of climate and commodity prices (emphasis in original):