Green Investing, ecological investments –

Due to increasingly accentuated climate change, everyone must nurture their ecological conscience, to contribute to the planet. This concept is no longer a particular need of individuals but is beginning to gain ground in all areas. More and more companies are concerned about having a socially and ecologically responsible activity.

In this sense, the future is thought around sustainability, respecting the environment. Companies dedicated to all types of activity seek to improve their sustainability indices, in order to attract responsible investors, towards what has been called Green Investing or green investments. Fortunately, anyone can now invest by buying stocks in AvaTrade.

Typical examples of this type of investment are companies dedicated to the production of renewable energy, nature conservation, water maintenance and any activity that preserves natural resources.

This new trend has also entered the financial world. In a desire for responsible investment, ecological bonds are becoming a fundamental pillar for the financing of projects that prove to be eco-responsible. According to statistical data, the issuance of this type of bonds has grown exponentially in recent years.

Investing in this type of “green” business has many advantages, ranging from the positive impact on the environment, which ultimately benefits everyone, to obtaining sometimes very profitable economic spinoffs.

There are also companies whose main activity is not to contribute to the preservation of the environment, but which carry out their activity in the most sustainable way possible. An example is Apple, which although not a company dedicated to ecological products, takes these factors into account and has opened stores whose energy consumption comes from 100% renewable energies.


Type of responsible investments in the financial world

Responsible investing can basically be done in three ways:

-Buy stocks of companies that appear to hold the prospect of sustainable growth in mind.

– Invest in the stock market in companies that show good financial results while adopting sustainable practices, the best known being the Dow Jones Sustainability World Index (DJSI World) and the FTSE4Good Global 100 Index.

– Invest in mutual funds. In this type of tool, the savings of many people are put in a common pool, to be managed by professionals who try to obtain the best performance.

In the world, there are many investment alternatives in this regard. Operating in the United States, there are Exchange Traded Funds (ETFs) which are like listed investment funds.

A few examples of sustainable ETFs that can be mentioned are the First Trust Global Wind Energy (FAN) ETF which specifically invests in companies in the wind energy sector. Similarly, Invesco Solar ETF (TAN) invests in companies in the solar energy sector. The iShares Global Clean Energy (ICLN) ETF also invests in 30 companies that produce renewable energy, whether solar, wind, hydro or biomass.

Another type of investment: eco-friendly cryptocurrencies

Crypto-currencies are criticized for the impact that their mining generates on the environment, since all the operations that are carried out to ensure their operation require high energy consumption.

However, this world of cryptocurrencies is full of novelties and among them we can see a new type of digital currency that promises to revolutionize investments thanks to green or ecological cryptocurrencies, as is the case of GreenBond Meter, known under the name of GBM coin, which aims to improve the environment.

With GBM coin, each user who acquires a token will be able to collaborate in the preservation of one m2 of indigenous biosphere, out of a total of one million hectares in ten countries around the world.

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