Some of our contributors to The Coffee House already invest in ‘green’ investments. There are a number of ways of doing this; direct purchase of shares or indirectly via a fund are two examples.
Jupiter launched its Green Investment Trust a year ago which invests in six key areas – water management, clean energy, green transport, waste management, sustainable living and environmental services. For details click here (you will need to sign to ‘accept’ their conditions before you proceed). The fund’s manager, Charlie Thomas is said to have a long history of green fund mangement at Jupiter. The fund has achieved 23.5 percent uplift in net asset value (NAV) for the year to 28 May from 97.07p to 127.7p.
The fund is now increasing in size to reflect increased interest in ‘green’ funds, particularly as climate change has not been out of the news over the past year. Jupiter claims;
‘Charlie Thomas estimates that some 95% of the companies in the 65 stock portfolio are in profit. Demand for green products and services looks set to continue growing which, along with a growing raft of government incentives, tax breaks and subsidies, should help environmental companies to generate superior profit growth over the long term.’
Thomas cites three drivers of investment in this area; increasing regulation, which is forcing companies to embrace environmental issues; public pressure, which is encouraging consumer companies such as Tesco and M&S to invest in green technologies; and an increase in investor interest in companies that can benefit from these trends.
Investing for positive change.
NB. Jupiter is just one of a number of companies providing ‘green’ investment funds.