SRI http://www.wisebread.com/taxonomy/term/7957/all en-US 5 Stocks to Buy If You Love the Earth http://www.wisebread.com/5-stocks-to-buy-if-you-love-the-earth <div class="field field-type-filefield field-field-blog-image"> <div class="field-items"> <div class="field-item odd"> <a href="/5-stocks-to-buy-if-you-love-the-earth" class="imagecache imagecache-250w imagecache-linked imagecache-250w_linked"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/imagecache/250w/blog-images/iStock-470145114.jpg" alt="buy these stocks if you love the earth and money" title="" class="imagecache imagecache-250w" width="250" height="142" /></a> </div> </div> </div> <p>Socially responsible investing (SRI) isn't a new concept, but it's an increasingly popular one in a world focused more on sustainability. The &quot;green&quot; subsection of SRI is environmentally-conscious investing, geared towards investment in companies that promote environmental stewardship. Think clean energy, sustainable resources, infrastructure, waste management, even consulting services.</p> <p>Rolling in green doesn't have to mean a choice between fields or bills. You now can do both, all at once if you prefer. We picked five funds that successfully blend environmentally-conscious investments with performance.</p> <p>(A note on tracking the performance of your &quot;green&quot; investments: Different sectors often use specialized indices to benchmark performance within their niche. Keep that in mind when choosing how to allocate your portfolio.)</p> <h2>1. Pax World Global Environmental Markets Fund [MUTF: PGRNX]</h2> <p>Beloved by the environmental community and investors alike, the Pax World Global Environmental Markets Fund focuses on long-term growth in sustainable investing. The fund evaluates financials along with environmental, social, and governance (ESG) analysis on its holdings, carefully balancing a stringent set of criteria to evaluate investments. And it's paid off. The fund has outperformed global market benchmarks, has an average five-year return of <a href="http://paxworld.com/funds/pax-world-mutual-funds/global-environmental-markets-fund" target="_blank">10.77 percent</a>, and Morningstar gives it a <a href="http://www.morningstar.com/funds/XNAS/PGRNX/quote.html" target="_blank">three-star rating</a>. Plus, it's fossil-fuel free.</p> <h2>2. Guggenheim Solar ETF [NYSEARCA: TAN]</h2> <p>Guggenheim Investments' Guggenheim Solar ETF (with a very easy to remember ticker symbol) is an <a href="http://www.wisebread.com/exchange-traded-funds-the-low-fee-investment-option-you-dont-know-about?ref=internal" target="_blank">exchange-traded fund</a> perfect for the investor who loves solar energy. The fund invests in solar energy-related segments across the industry, from supplies and lighting to raw materials and installers.</p> <h2>3. Pattern Energy Group Inc Class A [NASDAQ: PEGI]</h2> <p>Pattern Energy Group focuses on independent energy producers, with a specialization in wind and solar renewable energy. Pattern's newest wind farm is an impressive 150 acres, and it's not just the size that's impressive. The wind farm will generate 100 percent of the electricity for Amazon Web Services. PEGI outperformed its peers over a three year period. A lackluster 2014 for the independent energy sector overall hurt performance stats against the S&amp;P 500, but the gains since then are impressive, and PEGI's potential for future earnings looks bright.</p> <h2>4. Etho Climate Leadership U.S. ETF [NYSEARCA: ETHO]</h2> <p>Here's an ETF that focuses on industry leaders with small carbon footprints. ETHO is &quot;the first diversified index ETF that <a href="http://www.ethoetf.com/fund/" target="_blank">avoids fossil fuel companies</a> and the first public investment product to select equities based primarily on an assessment of an equity's carbon footprint.&quot; Etho Capital, the fund manager, also provides the Etho Climate Leadership Index [ECLI], a performance benchmark for companies with the smallest carbon footprints in their industries.</p> <h2>5. Ameresco [NYSE: AMRC]</h2> <p>Ameresco focuses on asset sustainability and renewable energy resources, providing performance contracting and consulting. Helping government entities reduce energy bills helps in part to pay for the work, and they're growing rapidly. Ameresco surged past earnings predictions for 2016, and the company plans to build on that in 2017. A growing demand for services should help them on their path.</p> <br /><div id="custom_wisebread_footer"><div id="rss_tagline">This article is from <a href="http://www.wisebread.com/erin-c-oneil">Erin C. O&#039;Neil</a> of <a href="http://www.wisebread.com/5-stocks-to-buy-if-you-love-the-earth">Wise Bread</a>, an award-winning personal finance and <a href="http://www.wisebread.com/credit-cards">credit card comparison</a> website. Read more great articles from Wise Bread:</div><div class="view view-similarterms view-id-similarterms view-display-id-block_2 view-dom-id-2"> <div class="view-content"> <div class="item-list"> <ul> <li class="views-row views-row-1 views-row-odd views-row-first"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/socially-responsible-investing-goes-green">Socially Responsible Investing Goes Green</a></span> </div> </li> <li class="views-row views-row-2 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-easy-ways-to-start-green-investing">5 Easy Ways to Start Green Investing</a></span> </div> </li> <li class="views-row views-row-3 views-row-odd"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/a-simple-guide-to-socially-responsible-investing">A Simple Guide to Socially Responsible Investing</a></span> </div> </li> <li class="views-row views-row-4 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/save-the-planet-work-at-home">Save the Planet: Work at Home</a></span> </div> </li> <li class="views-row views-row-5 views-row-odd views-row-last"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/8-things-we-keep-buying-that-are-killing-the-planet">8 Things We Keep Buying That Are Killing the Planet</a></span> </div> </li> </ul> </div> </div> </div> </div><br/></br> Green Living Investment clean energy Earth day eco-friendly stocks environment renewable energy socially responsible investing solar SRI Wed, 19 Apr 2017 08:00:08 +0000 Erin C. O'Neil 1928276 at http://www.wisebread.com A Simple Guide to Socially Responsible Investing http://www.wisebread.com/a-simple-guide-to-socially-responsible-investing <div class="field field-type-filefield field-field-blog-image"> <div class="field-items"> <div class="field-item odd"> <a href="/a-simple-guide-to-socially-responsible-investing" class="imagecache imagecache-250w imagecache-linked imagecache-250w_linked"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/imagecache/250w/blog-images/piggy_bank_terrarium_000085064581.jpg" alt="Learning the simple guide to socially responsible investing" title="" class="imagecache imagecache-250w" width="250" height="140" /></a> </div> </div> </div> <p>You may have heard that Stanford, Harvard, and other universities have divested certain stocks from their endowments, such as coal and oil companies. The idea is to make an anti-climate-change statement and deprive such industries of capital.</p> <p>Increasingly, individuals are also realizing that their investments aren't just a way to <a href="http://www.wisebread.com/one-smart-thing-you-can-do-for-your-retirement-today" target="_blank">save for retirement</a> &mdash; but a way to boost companies we like, and withhold support from companies we don't.</p> <p>But can you afford to think about the social impact of your investments? Before you decide whether socially responsible investing is for you, learn what it's about.</p> <h2>It's Not New</h2> <p>Socially responsible investing, also referred to as &quot;green investing,&quot; &quot;sustainable, responsible, and impact investing,&quot; or just plain &quot;sustainable investing,&quot; was around long before we had these names for it. As far back as 1700s, some American churches urged their parishioners not to invest in <a href="http://sustainability.thomsonreuters.com/2013/08/09/history-of-socially-responsible-investing-in-the-u-s/">slavery, alcohol, or war</a>. During the Vietnam War, thousands divested from Dow Chemical after seeing a <a href="http://www.theguardian.com/us-news/2015/oct/26/vietnam-wars-napalm-girl-kim-phuc-has-laser-treatment-to-heal-wounds">horrifying image</a> of a Vietnamese child being burned by napalm. In the 1980s, investor pressure was a major force in ending South African apartheid.</p> <h2>It's Growing</h2> <p>Since the 1980s, socially responsible investing has become a greater part of mainstream investing, with mutual funds, index funds, and other vehicles available to the average investor. From 2012 to 2014, the number of assets managed using these strategies <a href="http://www.ussif.org/Files/Publications/SIF_Trends_14.F.ES.pdf">increased by 75% to $6.57 trillion</a>, according to The Forum for Sustainable and Responsible Investment. That's about a buck out of every $6 invested in the United States.</p> <h2>It Screens Out Companies Based on Set Principles</h2> <p>An SRI fund manager doesn't simply decide what constitutes a &quot;good&quot; company based on their personal values. Based on a few main categories &mdash; such as environmental impact, social behavior, corporate governance, and the type of product or service offered &mdash; managers screen out companies that don't measure up to predetermined standards.</p> <p>For instance, the <a href="https://www.tiaa.org/public/pdf/ffs/87244W300.pdf">TIAA-CREF Social Choice Equity Fund</a> favors &quot;companies that are strong stewards of the environment; devoted to serving local communities; committed to higher labor standards; dedicated to producing high-quality and safe products; and those managed in an exemplary or ethical manner.&quot; The <a href="http://trilliummutualfunds.com/mutual-funds/portfolio21-global-equity-fund/">Portfolio 21 Global Equity Fund</a> &quot;excludes companies directly engaged in fossil fuel exploration and production, weapons manufacturing, egregious labor practices,&quot; and other behaviors.</p> <h2>SRI Doesn't Mean Sacrificing Returns</h2> <p>&quot;You do not have to assume you are making a financial sacrifice if you use mutual funds that do socially responsible investing screening,&quot; said J. Patrick Costello, founder of Green River Financial Services.</p> <p>Socially responsible funds apply similar strategies to those of mainstream funds, with the same goal of maximizing returns. The only difference is that the SRI funds are picking their winners out of a pre-screened pool of companies they consider to be more responsible than the rest.</p> <p>&quot;Sustainable investing does not attempt to select just a few obscure companies that get a perfect record. We just try to narrow the group of companies, exclude the companies with the worst behaviors, and emphasize the companies with the better behaviors, within realistic bounds,&quot; Costello said.</p> <p>In fact, there is evidence that some socially responsible moves, such as including more women in the corporate ranks, make for better returns, Costello said.</p> <h2>You Probably Don't Need to Change Investment Providers to Try It</h2> <p>If your retirement fund is with Vanguard, TIAA-CREF, or another large investment firm, they probably have one or more socially responsible funds to choose from.</p> <h2>It May Not Be for You</h2> <p>Despite the win-win appeal of doing good without giving up financial returns, not every investor buys into the promise of socially responsible investing. One problem with such funds is that the definition of socially responsible can vary, and any fund available may well include some companies that you personally find objectionable. For example, some funds <a href="http://time.com/money/3951822/socially-responsible-investing-mutual-funds-problem/">include McDonald's</a>, a company whose labor practices and history of pushing high-calorie, low-nutrient foods on children turn many socially conscious folks off.</p> <p>If you choose to pursue socially responsible investing, you still have to do the standard due diligence that you would do before investing in any fund. Ultimately, the decision of how and where to invest remains yours alone.</p> <p><em>Are you a socially responsible investor? How do you choose your investments?</em></p> <br /><div id="custom_wisebread_footer"><div id="rss_tagline">This article is from <a href="http://www.wisebread.com/carrie-kirby">Carrie Kirby</a> of <a href="http://www.wisebread.com/a-simple-guide-to-socially-responsible-investing">Wise Bread</a>, an award-winning personal finance and <a href="http://www.wisebread.com/credit-cards">credit card comparison</a> website. Read more great articles from Wise Bread:</div><div class="view view-similarterms view-id-similarterms view-display-id-block_2 view-dom-id-1"> <div class="view-content"> <div class="item-list"> <ul> <li class="views-row views-row-1 views-row-odd views-row-first"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-stocks-to-buy-if-you-love-the-earth">5 Stocks to Buy If You Love the Earth</a></span> </div> </li> <li class="views-row views-row-2 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/socially-responsible-investing-goes-green">Socially Responsible Investing Goes Green</a></span> </div> </li> <li class="views-row views-row-3 views-row-odd"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/15-investing-tips-from-a-1-wall-street-stock-picker">15 Investing Tips From A #1 Wall Street Stock Picker</a></span> </div> </li> <li class="views-row views-row-4 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/investing-with-your-values">Investing With Your Values</a></span> </div> </li> <li class="views-row views-row-5 views-row-odd views-row-last"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/8-industries-that-could-benefit-from-climate-change">8 Industries That Could Benefit From Climate Change</a></span> </div> </li> </ul> </div> </div> </div> </div><br/></br> Investment climate change environmental impact personal values social impact socially responsible investing SRI Wed, 25 May 2016 09:30:26 +0000 Carrie Kirby 1717159 at http://www.wisebread.com Socially Responsible Investing Goes Green http://www.wisebread.com/socially-responsible-investing-goes-green <div class="field field-type-filefield field-field-blog-image"> <div class="field-items"> <div class="field-item odd"> <a href="/socially-responsible-investing-goes-green" class="imagecache imagecache-250w imagecache-linked imagecache-250w_linked"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/imagecache/250w/blog-images/Madagascar landscape.jpg" alt="Madagascar landscape" title="Madagascar landscape" class="imagecache imagecache-250w" width="250" height="175" /></a> </div> </div> </div> <p>You drive and drink responsibly, spend your money responsibly, and act responsibly, don’t you? But do you <strong><em>invest </em></strong>responsibly? Can you invest responsibly? Is there such a thing as investing in socially responsible companies and, more specifically, investing in companies that are environmentally responsible (aka green) and socially responsible? If so, what does being <strong>green</strong> mean and for that matter, what does being <strong>socially responsible</strong> mean? </p> <p>When I think of <strong>green investing</strong>, I think of buying shares of companies or mutual funds that invest in companies that fulfill 2 or more of the following criteria:</p> <ul> <li>design, market, sell, manufacture, and/or distribute products or services that harness or deliver renewable sources of energy;</li> <li>design, market, sell, manufacture, and/or distribute products or services that deliver energy savings;</li> <li>have passed some sort or environmentally-based selection process or “screen” in the lingo of mutual fund managers;</li> <li>have embraced sustainability as a primary business concern;</li> <li>are socially responsible.</li> </ul> <p><strong>Socially responsible</strong> <strong>investing (SRI)</strong> conjures up images of buying shares in companies with well-treated employees of diverse backgrounds who are paid a fair wage, and are paid and promoted based on merit and contribution. Depending on the SRI criteria, these companies may also <em><strong>not</strong></em> design, market, sell, manufacture and/or distribute products or services that include tobacco, weapons, and gambling. </p> <p>So, how do you find an SRI mutual fund or green fund? And once found, how do you evaluate its social responsibility and greenness? I&#39;ve done some research and found 3 funds with varying interpretations of green. I found Winslow Green Growth through an <a href="http://www.kiplinger.com/columns/value/archive/2007/va1002.htm" target="_blank" title="http://www.kiplinger.com/columns/value/archive/2007/va1002.htm">article on Kiplinger.com</a> and came upon Portfolio 21 and New Alternatives via mentions on a user forum of <a href="http://www.wesabe.com/" target="_blank" title="http://www.wesabe.com/">Wesabe</a>, a community of people who share information about money. </p> <p>Information presented below has been gathered from fund and company websites in October 2007:</p> <p><strong><a href="http://www.winslowgreen.com/fund/default.aspx" target="_blank" title="http://www.winslowgreen.com/fund/default.aspx">Winslow Green Growth</a></strong> (WGGFX) </p> <ul> <li><strong>Environmental Screen</strong>: positive or neutral impact on the environment;</li> <li><strong>Definition of Green</strong>: provide environmental solutions and/or pioneer green business practices often in the areas of renewable energy, healthy living, energy-efficiency, and green solutions;</li> <li><strong>Investment Focus</strong>: small cap, growth, domestic;</li> <li><strong>Social Responsibility Screen</strong>: none that I could find;</li> <li><strong>Holdings include:</strong><br />1. <a href="http://www.surmodics.com/home.aspx" target="_blank" title="http://www.surmodics.com/home.aspx">SurModics Inc</a>., provider of surface modification and drug delivery solutions for medical device and biomedical applications; <br />2. <a href="http://www.greenmountaincoffee.com/" target="_blank" title="http://www.greenmountaincoffee.com/">Green Mountain Coffee Roasters Inc.</a>, company engaged in the sourcing, roasting, and sale of estate, certified organic, Fair Trade Certified™ signature blends, and flavored coffee through wholesale, direct mail, and e-commerce distribution channels;<br />3. <a href="http://www.ftek.com/" target="_blank" title="http://www.ftek.com/ ">Fuel-Tech Inc.</a>, provider of solutions to meet the pollution control, efficiency improvement, and operational optimization needs of energy-related facilities;<br />4. <a href="http://www.orbcomm.com/" target="_blank" title="http://www.orbcomm.com/ ">Orbcomm</a>, global satellite data communications company with machine-to-machine (M2M) communications;<br />5. <a href="http://www.wfiglobal.com/default.asp" target="_blank" title="http://www.wfiglobal.com/default.asp">WFI Industries</a>, provider of geothermal heating and cooling systems for residential, institutional, and commercial applications.</li> </ul> <p><a href="http://www.portfolio21.com/" target="_blank" title="http://www.portfolio21.com/"><strong>Portfolio 21</strong></a> (PORTX)</p> <ul> <li><strong>Environmental Screen</strong>: complex <a href="http://www.portfolio21.com/in_depth_sust_crit.php" target="_blank" title="http://www.portfolio21.com/in_depth_sust_crit.php">Company Evaluation Criteria</a>; companies that &quot;understand ecological risks and opportunities” and are “taking positive action to integrate sustainability strategies in their business models”;</li> <li><strong>Definition of Green</strong>: companies that create ecologically superior products, use renewable energy, develop efficient production methods, and/or recognize environmental sustainability as a challenge and opportunity.  </li> <li><strong>Investment Focus</strong>: primarily large cap, international;</li> <li><strong>Social Responsibility Screen</strong>: excludes companies with negative performance in employee relations, human rights, community involvement, or product safety; and those with significant business activities relating to nuclear energy, tobacco, gambling, or weapons;</li> <li><strong>Holdings include:</strong><br />1. <a href="http://www.nokia.com/" target="_blank" title="http://www.nokia.com/ ">Nokia</a>, telecommunications company; <br />2. <a href="http://www.novonordisk.com/" target="_blank" title="http://www.novonordisk.com/">Novo Nordisk</a>, healthcare company with core business of pharmaceutical drug development;<br />3. <a href="http://www.ibm.com/us/" target="_blank" title="http://www.ibm.com/us/ ">IBM</a>, technology company focusing on business services; <br />4. <a href="http://www.hsbc.com/1/2/home" target="_blank" title="http://www.hsbc.com/1/2/home ">HSBC Holdings</a>, financial services company providing personal, business &amp; commercial, corporate &amp; institutional, and private banking services;<br />5. <a href="http://www.novartis.com/" target="_blank" title="http://www.novartis.com/ ">Novartis</a>, pharmaceuticals and nutritional products company.</li> </ul> <p><a href="http://www.newalternativesfund.com/index.html" target="_blank" title="http://www.newalternativesfund.com/index.html "><strong>New Alternatives Fund</strong></a> (NALFX)  </p> <ul> <li><strong>Environmental Screen:</strong> emphasis on alternative energy sources but includes companies with products and services associated with recycling, natural foods, clean water, clean air, and natural gas;</li> <li><strong>Definition of Green:</strong> positive impact on the environment;</li> <li><strong>Investment Focus:</strong> subjective but includes evaluation of price and risk;</li> <li><strong>Social Responsibility Screen:</strong> does not invest in oil, nuclear power, weapons, or tobacco or  companies with business practices that allow discriminatory hiring, unfair labor, detrimental environmental, or animal testing activities.</li> <li><strong>Holdings include: <br /></strong>1. <a href="http://www.recgroup.com/" target="_blank" title="http://www.recgroup.com/">Renewable Energy Corp. AS</a>, producer of silicon for solar cells;<br />2.<strong> </strong><a href="http://www.acciona.es/" target="_blank" title="http://www.acciona.es/">Acciona SA</a>, construction and infrastructure company with activities that include renewable energy including wind, small hydro, biomass, biodiesel and solar sources; <br />3. <a href="http://www.abengoa.es/" target="_blank" title="http://www.abengoa.es/">Abengoa SA</a>, engaged in biomass (ethanol cellosic project), solar projects, and aluminum recycling;<br />4. <a href="http://www.vestas.com/vestas/global/en/" target="_blank" title="http://www.vestas.com/vestas/global/en/ ">Vestas Wind Systems Abengoa SA</a>, wind turbine manufacturer;<br />5. <a href="http://www.schneider-electric.com/sites/corporate/en/home.page" target="_blank" title="http://www.schneider-electric.com/sites/corporate/en/home.page">Schneider Electric SA</a>, distributor of efficient electrical devices.</li> </ul> <p>I enjoyed visiting Portfolio 21&#39;s website for a few reasons: 1) its perspective on what &quot;green&quot; is with a recognition that though companies strive for sustainability, nearly all create some (negative) impact on the environment; 2) profiles on all companies selected for investment with explanations of why these were chosen; and 3) some information on companies that have not passed its sustainability evaluations.  </p> <p>Oh, you might want to know about the financial performance of these funds; here are 5-year returns (as of October 8, 2007):</p> <ul> <li>Winslow Green Growth: 29.28%</li> <li>Portfolio 21: 21.63%</li> <li>New Alternatives: 24.59%</li> </ul> <p>If you want to align your investing values with personal values, you can check out socially responsible funds and/or green funds such as these. For more on SRI, visit <a href="http://www.socialfunds.com/" target="_blank" title="http://www.socialfunds.com/">Social Funds</a>. </p> <p><em>Disclosure: I do not own shares in Winslow Green Growth, Portfolio 21, or New Alternatives funds.  </em></p> <br /><div id="custom_wisebread_footer"><div id="rss_tagline">This article is from <a href="http://www.wisebread.com/julie-rains">Julie Rains</a> of <a href="http://www.wisebread.com/socially-responsible-investing-goes-green">Wise Bread</a>, an award-winning personal finance and <a href="http://www.wisebread.com/credit-cards">credit card comparison</a> website. Read more great articles from Wise Bread:</div><div class="view view-similarterms view-id-similarterms view-display-id-block_2 view-dom-id-1"> <div class="view-content"> <div class="item-list"> <ul> <li class="views-row views-row-1 views-row-odd views-row-first"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-stocks-to-buy-if-you-love-the-earth">5 Stocks to Buy If You Love the Earth</a></span> </div> </li> <li class="views-row views-row-2 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-easy-ways-to-start-green-investing">5 Easy Ways to Start Green Investing</a></span> </div> </li> <li class="views-row views-row-3 views-row-odd"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/a-simple-guide-to-socially-responsible-investing">A Simple Guide to Socially Responsible Investing</a></span> </div> </li> <li class="views-row views-row-4 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/investing-with-your-values">Investing With Your Values</a></span> </div> </li> <li class="views-row views-row-5 views-row-odd views-row-last"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/why-warren-buffett-says-you-should-invest-in-index-funds">Why Warren Buffett Says You Should Invest in Index Funds</a></span> </div> </li> </ul> </div> </div> </div> </div><br/></br> Green Living Investment green investing green mutual funds mutual funds socially responsible investing SRI Mon, 08 Oct 2007 17:20:31 +0000 Julie Rains 1265 at http://www.wisebread.com