If you are lucky enough to own a waterfront property or two (or even just thinking about it) have you ever thought what would happen if the water rose an inch or three? Is the idea still appealing and how would you sell it on? It’s not impossible with the melting icecaps and rising seas.
Climate change should be a real consideration when deciding your portfolio, as the fuel guzzling and carbon emitting companies may not have as bright a future as they or you think on first glance, especially with political support growing for the regulation of carbon emissions.
Global warming is not just something that might happen one day anymore, it is now a real threat with the impacts already rife in our lives. Hotter summers and milder winters, freak weather, hurricanes and tsunamis to name a few.
Climate change is nudging aside tech and biotech companies as investments for the future. And why not – the more people who choose to invest in ‘green’ companies, the more chance we have of saving our planet from burning up!
Some research commissioned by the Association of Investment Companies (AIC) earlier this year found that out of 1000 investors asked 62% said that as the reality of climate change hits; this would be a consideration in their future investment decisions.
There is already a name and approach to this kind of investing called socially responsible investing that makes up about an estimated 10% of the $24 trillion investment marketplace in the U.S.
You could look into companies that offer alternative energy sources like ethanol, solar power products or turbines like Monsanto, Evergreen Solar or General Electric. These are companies looking into the future – our future.
If you are new to investing, you might want to be a socially responsible investor and help save the world! Perhaps this will also result in higher returns in the future, when these companies start reaping the benefits of being one step ahead of others in using environmentally friendly alternative energy sources.