Do you have a 401K, Ira, mutual funds, investment account, pension? You probably are investing in big oil companies whether you know it or not. Here are ways to divest.
There are mutual funds and Exchange Traded Funds (ETFs that are kinda like mutual funds (own a basket of stocks) but trade like stocks) that do not have fossil fuel stocks.
Fossil Free Mutual Funds:
Socially responsible mutual funds – shows the criteria they use – the first columns are environmental screens:
These are not even complete lists – New Alternatives (NALFX), which I own, is not on either list. It’s small, but has been around a long time investing in clean energy, helping alternative energy companies get started.
New Alternatives Fund is a Socially Responsible Mutual Fund Emphasizing Alternative Energy and the Environment. We seek investments in listed companies that have a positive impact on the environment. We are different from funds that make their environmental contribution by only avoiding companies that harm the environment.
There are probably other funds that are not on these lists, but these lists give plenty to work with.
Here are 4 ETFs that invest for better climate.
ETHO – Climate leadership -US – Reviewed 5000 companies and created a Climate Leadership Index, not just excluding fossil fuel companies, but weighting the companies they invest in based on greenhouse gas emmisions, and some other criteria.
SPYX – SPDR S&P 500 FOSSIL FUEL FREE ETF- Invests in S&P 500 minus the fossil fuel companies.
SPXE – PROSHARES S&P 500 EX ENERGY ETF- Invests in S&P 500 minus the fossil fuel companies.
HECO – EcoLogical Strategy ETF – companies that have positioned their business to respond to increased environmental legislation, cultural shifts towards environmentally conscious consumption, and capital investments in environmentally oriented projects. Actively managed.
The other action that you can take regarding divesting from fossil fuel investments if you have a pension or your 401K doesn’t offer fossil fuel free choices – is write letters and tell them you want them to divest and/or offer fossil fuel free choices.