What is green investment?
Green Investing is the practice of investing in companies that produce "green" technologies that are good for the environment or recycling and using other activities responsible for ecologically. A person who is interested in socially responsible investment has the opportunity to support companies that practice the energy efficiency that builds green buildings, produce less waste and use recycled materials in their production or transport processes. Companies that use practices such as green purchases, which means buying products that have a limited environmental impact, and green chemistry, which means that it does not use any chemicals that have an adverse environmental impact and attractive to green investments. Favorite green technologies include solar, wind and bionaft.
There are different vehicles for green investment. Green investor can buy shares in individual companies or can buy green mutual funds, funds tradedOn the stock exchange or bonds. Each of these investment vehicles has advantages and disadvantages, and it is recommended that a potential investor is looking for a professional financial advisor to see which investment or combination of investment will create the most profitable green portfolio.
Fund is a group of investments that can include stocks, bonds and other assets under the supervision of a manager whose aim is to make the most money for investors. The traded stock fund can be diversified as a mutual fund, but is traded as shares. The advantage of mutual funds and funds traded on the stock exchange is the diversification offered by the investor. It is possible for the investor to buy only one share in the funds traded, which can also be purchased for a margin.
Green bonds provide capital of companies that develop environmentally friendly technologies or use green procedures. TiesPreserve EIR and pay the guaranteed interest rate. Any interest obtained from government bonds is without tax.
A person who is worried about the environment and wants to invest only in companies that share the same concerns, have a number of options and are not limited to solar and wind energy. Organic foods, electric vehicles, geothermal energy, clean water and biofuels are just a few of the many green investment opportunities. In addition, there are a number of environmental procedures that the company can use to become a good choice for green investment. Recycling water, metals, paper and glass; removal of hazardous waste from the production process; And other environmental activities are sustainable procedures that can eventually lead to a cleaner environment.