Wednesday 27 November 2013

Are Green Stocks Still Hot Or Not

Are Green Stocks Still Hot Or Not
Green stocks help to increase personal wealth while avoiding environmental harm. Socially responsible investing can help make the world a greener place, and you can find myriads of information about green investing on the internet. Research green companies before you invest in their green stocks and keep in mind you are choosing an investment vehicle as well as being socially responsible. Since this is an investment medium make sure the company you choose does make money; you are not doing yourself or the company any good by purchasing stocks that are worthless.

Choose green investing sectors that include renewable energy, organic and natural foods and pollution controls. Also include alternative energy investing. Do be aware that environmentalists and green investors would like to assume that all green stocks are good investments, but remember that there is always a risk when investing in new technology or startup companies. Diversification is the key to successful investment strategies. Protect your investments with multiple environmental sectors, commodity trading and mutual funds.

Create a "screen" for green stocks. You may want to screen out commodity stocks like tobacco and military products but keep nuclear power and clean coal technology. Ask questions and look into how your potential company stock deals with environmental problems, how they relate with the community and what their green policies are. Read the Dow Jones Sustainability Indexes to find if a company's financial performance is within normal limits and if they do have an environmental performance package. Consult with an investment broker who specializes in green and socially responsible stock options. Green energy stock investing professionals can steer you toward the right companies with the highest paying stocks.

The hottest green stocks trading on the stock market today include companies whose business is research into using biological matter to develop energy. These biomass energy stocks include development using human waste, municipal waste, sewage sludge and industrial wastes. A good stock to place on your watch list is Renmatix which is exploring multiple waste streams to develop the sugars necessary for production of renewable fuels. Revenues are expected to be high and come in fast.

Biotechnology stocks are trending higher as companies are expanding research into using living systems and organisms to develop useful products. Look for biotechnology stocks are specifically green and include agriculture, food production and medicines using natural systems.

To determine if green stocks are a good investment there are financial numbers on the net that speak for themselves. Over 25 trillion is currently invested in socially responsible funding and stocks that include alternative fuels, biomass, and biotechnology. There are socially screened mutual funds in the United States with a value of 201.8 billion and are the fastest growing options of socially responsible investing. Over the last five years green stocks have grown by 50 percent in the fields of residential solar, wind installations and solar food production. Green stocks are definitely still hot and will get hotter as the search for green living options in foods, energy and medicines move forward.

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Reference: cleanpowerlife.blogspot.com