There's a huge transformation taking place around us and green is the new black. Someone somewhere always makes money out of new trends and the green revolution can be cashed in on.
I'm not talking about being a goody-two-shoes. Companies exploiting our green revolution in society are sometimes hugely innovative and forward thinking.
Green is also cool and consumers are willing to pay for it. That last bit is the important point. That means there is money to be made my friend.
Accessing such investments from little old New Zealand isn't always easy.
Raboplus has two "responsible" investment funds on its platform from Asteron and AMP.
Socially Responsible Investing (SRI) funds can either screen out non complying investments or go in search of specific attributes.
Whatever your opinion on socially responsible investing the scoop is that the "do-gooder" funds do well. The FTSE KLD 400 social index has outperformed the Standard & Poor's 500 Index.
SRI funds are good. But cashing in on the green revolution may involve going one step further.
With green investment the idea is that companies are doing it to make money first, then saving the company. Where the real money is to be made is in new technologies. Types of technologies that will benefit from a carbon neutral sustainable world include:
Green investing may have been a fad 10 years ago. But the reality is that some of these technologies are coming to market and we're buying them. Green or eco investing isn't just for hippies, greenies and socially responsible organisations such as church funds.
That's not to say that every green entrepreneur will invent product or service we actually want to buy en-masse, and has the ability to sell it.
The other downside is that with anything new speculative bubbles are likely to build – just like they did when your taxi driver first clicked onto the money to be made in dotcom stocks. We all know where that went. It's also a matter of betting on the right technology. Will wind farms or wave power be the next Betamax video bomb?
What's more, many of the innovations are still in the laboratory. I can't help but get excited about wave and tidal power projects but most are years or even decades away from becoming economically viable technologies. Ditto for hydrogen power.
But from an investment point of view all of this is pretty speculative. Choose the right technology and back the right company you could do very well indeed. It's a long shot, however – and not easily accessible yet to the average investor.
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