Sustainable investing is the act of buying stock and supporting companies that are socially responsible or socially conscious. As millennials and Gen-Z enter the stock market, they are largely looking for companies that won’t ruin the planet or exploit their workers to invest in.
Investing in companies that are using their business and profits to help improve the planet will eventually cause a shift in power from companies that are exploitative and destructive to these newer, greener, initiatives. If you’re looking to get in on the action, here are a few choices of companies that you can invest in that will help you earn a profit while leaving you with a clean conscience.
Clean Energy Stocks & Companies
Falling costs and an uptick in the desire to be sustainable have made renewable energy companies a great place for sustainable investing. Wind and solar companies will eventually be the leaders in this industry, and many investors are looking to get in right now. Hydroelectric, geothermal, and biomass companies round out this category. Here are a few companies to invest in right now.
Brookfield Renewable Partners (BEP) – Focusing on renewable energy, Brookfield owns nearly 1000 power generating facilities worldwide, with their portfolio including hydroelectric dams, wind power, and solar power. They’re also well-known for a focus on community engagement, employee well-being, and social responsibility. Their stock is a slow-grower but overall profitable, with increases to come through the next few years as the company plans to continue to buy and create renewable energy facilities.
Vestas Wind Systems A/S (VWDRY) – This Denmark based company develops, manufactures, and installs wind turbine systems. They work with countries around the globe and are soaring in popularity.
First Solar Inc. (FSLR) – They design and manufacture photovoltaic solar power systems and solar modules around the world. As the popularity of solar energy increases, you can expect their stock to keep going up.
Sustainable Food: Beyond Meat (BYND)
Another industry that’s doing incredibly well is sustainable food. The company Beyond Meat (BYND) is popular and profitable to invest in as many eateries and fast food companies are now relying on this product for their increasingly health-conscious or vegetarian customers. A study recently showed that this alternative “meat” company generates less greenhouse gas emissions, uses less energy & resources, and less impact on water and land than traditional beef companies.
Pollution Control: Clean Harbors (CLH)
There are many different businesses that deal with pollution control you can choose to invest in, but Clean Harbors is a top choice as their stocks show growth over time and projections show that this pattern will continue. As other companies struggle with spills, cleanups, and making changes to their own brands, they rely on companies that already know how to do that. Clean Harbors is particularly known for helping to clean up after the Deepwater Horizon explosion and the 2010 Gulf of Mexico Oil Spill. They continue to provide emergency spill response and hazardous waste management services.
These are just a few of the hundreds of companies you can check out if you’re interested in sustainable investing. Pro tip: always research a company before you invest. Take a look at their CEO and management teams and check the news for any scandals or potential disasters that will lower their stock value in addition to looking at financial projections. Finally, consider when the best time to invest is. There are many companies that seek to do more good than harm – so you can invest and feel good about it.