Dow Today – Why Private Equity Won’t Be the Savior of Fossil Fuels

In theory, a firm could just hold an asset beyond the usual horizon and allow it to keep throwing off cash indefinitely. It’s not implausible that the decline of fossil fuels might see the commodities often fetch higher, rather than lower prices, as we’re seeing right now. Even setting aside the need for continued funds for reinvestment, however, that’s another place where private equity is not as different from the rest of the finance industry.