Are you hearing this term, “Responsible Investing,” more and more today? So what is it exactly? In a nutshell, it is investing in stocks and/or bonds of companies that focus on protecting the environment and its people. These companies may focus on cleaner energy sources, sustainable food supply, reducing air pollution and/or recycling technologies and tend to steer away from major areas such as tobacco, alcohol, gambling, nuclear power, firearms, or military weapons. In some cases, there is a major push to review and evaluate corporate accountability and transparency by reviewing hiring and advancement practices and workforce diversification.
Sustainability is the wave of the future. At least, so I hope. This is an important aspect of investing that I feel should be highlighted. It is about becoming more aware and enlightened. My hope is that my daughter has an opportunity to enjoy the many “fruits” of earth as possible. This is why we recycle and I am conscious about the foods we buy. I am even planning to start my own vegetable garden. One of my goals is to teach her the importance of preserving our natural resources. Help her to understand that our environment is precious and that everything has a purpose. This is one way I can do my part.
Now, being a conscious investor doesn’t mean sacrificing returns. There are companies and families of mutual funds that are making a decision to focus on reducing their carbon footprint and able to compete with achieving investor satisfaction by producing a positive return on investment.
This is why I wanted to highlight one of them, Green Century Funds. I had an opportunity to talk with Leslie Samuelrich, Senior Vice President for Green Century. She shares the overall mission of the funds and their philosophy for investing in companies that reduce their environmental impact. I hope you will take time to listen in on our discussion.