The list of green energy mutual funds below is by no means comprehensive. It’s a good start and I hope to continue to add to it and improve it. If you feel that I’ve left any green funds out, please let me know.
In my research, I’ve found that some companies are trying to jump on the green bandwagon, calling their funds “green” when in fact they are not investing in what I would call green companies at all. An example would be the funds put out by Green Century Funds which the company advertises as environmentally responsible mutual funds. Perhaps the companies in the funds are doing the right thing, but just look at the top holdings of its Balanced Fund – IBM, General Mils, 3M, HP and J&J. C’mon! This is a big blue chip fund and far from a green fund!
I’ve included the New Alternatives Fund in the list, but it’s a bit borderline itself. You see a few water companies in the top holdings which I consider green only if they’re involved in desalination or purification (Aqua has wastewater services). If I’m looking for a good green fund though, I really don’t want to see South Jersey (nat gas) or Schneider Industries in the top holdings. This fund is real borderline, but I’ll leave it in there for now.
Always know what exactly you’re investing in by reading the prospects or at the very least taking a look at Morningstar. One thing is for certain – there is definitely room for high quality, truly green mutual funds.
Each fund ticker below is linked to the Morningstar information page for further research.
(updated 4.6.10)
| Fund Provider | Fund | Ticker | Type | Expenses | Morningstar Rating | 1 Yr Perf | 3 Yr Perf (ann.) |
Top Holdings |
| Guinness Atkinson | Alternative Energy |
GAAEX | Mid Growth | 1.85% | * | 25% | -21% | SMA Solar Tech, Clipper Wind, Theolia, Phoenix Solar, Energy Development Corp |
| New Alternatives | NALFX | Mid Growth | 1.02% (4.75 load) |
** | 37% | -6%* | Schneider Electric, South Jersey Industries, American Water Works, Aqua America, Abengoa | |
| Winslow | Green Growth | WGGFX | Small Growth | 1.45% | * | 67% | -9% | Telvent, American Superconductor, Horsehead Holdings, Nalco, Waterfurnace Renewable Energy |
| Green Solutions | WGSLX | Mid Growth | 1.25% | Not Rated | 40% | N/A | Telvent, Novozymes, ProLogis Trust, American Superconductor, Nalco | |
| Calvert | Global Alt Energy | CGAEX | Mid Growth | 1.85% (4.75 load) |
Not Rated | 17% | N/A | Vestas Wind, Iberdola Energias, FPL Group, MEMC Electronics, Scottish & Southern Energy |
| Gabelli | SRI Green | SRIAX | Mid Growth | 2.01% (load 5.75%) |
Not Rated | 63% | N/A | Telvent, Amtech Systems, Cree, Trina Solar, Aixtron |