3 big headwinds for oil

Livewire Exclusive

Livewire Markets

Brandon Geisler, Portfolio Manager at Marsico Capital Management says there are three key reasons not to own oil long-term. 1. Demographics: “We think demographics play a large role. As that ageing baby boomer comes over the crest and they change their lifestyle they are consuming less energy.” 2. Electric cars “If you look ahead ten years there will be enough cumulative electrical vehicles on the road to  displace the same amount of volume (of oversupply) that we’re seeing in the market today. 3. Other technologies such as wind and solar. “There is a pathway to displacing greater that 6-8 million barrels by the next decade. We think over the long term the power of demographics and new technologies will actually dent global demand for oil. You’ll start to see that coming through in the middle part of next decade.” However, he acknowledges that oil could still rebound in the short-term, despite the current oversupply issues.


Livewire Exclusive brings you exclusive content from a wide range of leading fund managers and investment professionals.

I would like to

Only to be used for sending genuine email enquiries to the Contributor. Livewire Markets Pty Ltd reserves its right to take any legal or other appropriate action in relation to misuse of this service.

Personal Information Collection Statement
Your personal information will be passed to the Contributor and/or its authorised service provider to assist the Contributor to contact you about your investment enquiry. They are required not to use your information for any other purpose. Our privacy policy explains how we store personal information and how you may access, correct or complain about the handling of personal information.