Decarbonisation of the economy is the most important thematic of the next 30 years. The future ain't what it used to be! The impact will be profound, upending industries in the same way that digitisation disrupted markets over the last 30 years. Investors are recognising that the carbon footprints of their portfolios often dwarf their personal carbon footprints. Traditional approaches to eliminating portfolio carbon often fall short. Carbon offsets are costly and of dubious quality. Excluding high emission companies can drive risk up, return down, and stymy engagement. Investors can achieve net-zero portfolios, however, without compromising returns or increasing risk by using a targeted short overlay of the most egregious carbon emitters. Further, these "green shorts" are a highly effective way to drive corporate change. - Watch David Allen, Plato Investment Management on Portfolio Construction Forum and earn 0.50 CE/CPD hrs