Nov. 3 (Bloomberg) -- Allianz SE, Europe’s biggest insurer, said “enormous investments must be mobilized” to fight global warming and that financial markets may be able to fund those efforts.

“To reach the ambitious reduction targets for CO2 emissions, the rebuilding of the energy sector alone would require” $1 trillion in additional investments annually in low- emission technologies by 2050, Joachim Faber, the management board member in charge of Allianz’s asset-management business, said today in an e-mailed statement.

Investors and financial markets would be able to finance most of those investments “if we have stable political conditions in which CO2 is given its due,” Faber said. The United Nations is working to approve a treaty to stem global warming by setting targets to reduce greenhouse-gas emissions next month at a climate summit in Copenhagen.

Forty percent of insurers’ losses are due to climate effects related to global warming “and this number is rising,” Allianz said in the statement. The Munich-based insurer has seen a 15-fold increase in weather-related insurance losses over the last 30 years, it said in July.

Delegates from about 180 nations began meeting yesterday in Barcelona for the last week of preparatory talks before the Dec. 7 Copenhagen climate summit.

“There is no other market that needs and will experience such a sudden and sustainable growth in investments in the next 10 years as the market for climate protection and the decarbonization of the economic processes,” Faber said.

To contact the reporter on this story: Oliver Suess in Munich at osuess@bloomberg.net

Last Updated: November 3, 2009 06:24 EST