Green investing is in this season, as evidenced by the "green" exchange traded funds (ETFs). As this trend grows, there are ways to invest soundly. This fad has been around before, after the 1970s oil scare, but there is no doubt that alternative energy will be in demand globally during the coming decades now that terms such as "carbon footprint" are bandied about freely. Michael Herbst for Morningstar points out several approaches to green investing.

• Best-in0breed approach – The main idea is to invest in companies with industry-leading environmental track records.
• Clean Companies – Those companies that have no negative environmental impact.
• Environmentally Proactive – Includes firms that are linked to green initiatives such as alternative energy, energy efficiency and emissions reduction etc. 

As oil is well into the $90 range per barrel, alternative energy is becoming a necessity. The larger companies are not connected as much to the future of energy resources. The smaller to mid-size companies are actually breaking new ground in cleaner exploration and greener choices, reports Gary Gordon of ETFExpert.

Clean energy ETFs include:

• PowerShares Cleantech (PZD) 
• Market Vectors Environmental Services ETF (EVX) 
• Claymore/LGA Green ETF (GRN)
• PowerShares WilderHill Progressive Energy (PUW)
• PowerShares Global Clean Energy (PBD)
• First Trust NASDAQ Clean Edge U.S. Liquid ETF (QCLN)
• PowerShares Wilderhill Clean Energy (PBW)
• Market Vectors Global Alternative Energy ETF (GEX)

Tags: Green ETFs