The Future For: Green Investments

The Future is Green

Global Green Economy

The global green economy was valued at over $8 billion in 2009. It has dramatically changed the way that companies conduct their business today. The sector which creates power from solar and wind energy is continuing to grow and the equity market shows high performance in these sectors. In the wind energy market alone, there were returns of over 300% in 2007.

Green Investments and the future

The green economy is based around traditional environmental activities. Driving the trend for green investments is the very real need to limit the effects of global warming. Ever increasing environmental concerns have prompted action. Investing in the green economy has also become more popular in recent years with institutional investment practice.

The reasons that people choose to make green investments are three fold. Recent economic studies show that there are three types of forces at work which influence investors. These are: environmental, social and governance related motivations. Social responsibility and ethics are a strong motivation for investors.

Fear of Climate Change

Both global consumerism and the related over use of fossil fuels have played a huge part in contributing to climate change. Today, consumers are much more environmentally aware than they were in the past. Therefore, environmentally friendly products are now big business. The future of the planet is a serious issue and people worry about the effect that their actions are having. The reputation of a company must therefore be viable.

A Greener Future

Companies seek more clean and efficient alternatives to old industrial methods. Adopting this strategy is often in line with governmental regulations and constraints. Companies with changing attitudes and those who embrace new production technologies are going to have more favorable outcomes in future.

Those who fail to clean up their production methods by reducing carbon dioxide emissions need to offset them. A company is allocated a yearly limit for the production of carbon dioxide or the equivalent in greenhouse gases. Offsetting occurs when the company is forced to buy carbon credits for the amount of greenhouse gas they have produced over this threshold.

Comments 6 comments

clairemy profile image

clairemy 4 years ago

I have read and learned some more about investing in a greener life. Thankyou.

DAWNEMARS profile image

DAWNEMARS 4 years ago from The Edge of a Forest in Europe Author

Thanks for the comment. Here's to a greener life and a bit more cash too!

Eiddwen profile image

Eiddwen 4 years ago from Wales

A really interesting hub ; well presented and informed.

I now look forward to reading many more by you.

Take care.


DAWNEMARS profile image

DAWNEMARS 4 years ago from The Edge of a Forest in Europe Author

Thanks for visiting me here. Glad you liked it.

Olde Cashmere profile image

Olde Cashmere 4 years ago from Michigan, United States

I believe this is the true direction to go in for our future. Clean and Green energy, I learned some interesting information reading your article. Thank you for shining a light on this important issue. Voted up, useful, interesting, beautiful, and awesome (:

DAWNEMARS profile image

DAWNEMARS 4 years ago from The Edge of a Forest in Europe Author

As always Olde Cashmere, your comments are most welcome. Thanks for the encouragement and for voting so kindly.

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