After all, ETFs don’t emit anything, so you don’t even have to feel guilty about being a polluter.
While the sector has taken a hit along with the rest of the market in recent months, many experts encourage investors to take a long view when it comes to these funds. The United States is still in the early stages of solar energy development, and an interest in alternative fuels could increase if the cost of oil and gas keep up the way they have been.
Some experts accuse many companies of "greenwashing"; that is, making claims the make consumers think they’re more environmentally responsible than they actually are. Luckily, consumers are catching on, CNBC reports. In Britain and Australia, there are already hefty fines that come along with false claims.
The Federal Trade Commission (FTC) is currently reviewing its own environmental marketing standards. Terra Choice lists the six greenwashing sins.
There are a number of green ETFs to choose from, so take your pick. And remember to turn out the lights.
A few of them:
- PowerShares WilderHill Clean Energy (PBW), down 20.7% year-to-date
- PowerShares Global Clean Energy (PBD), down 12.2% year-to-date
- Market Vectors Global Alternative Energy (GEX), down 10.5% year-to-date
- First Trust NASDAQ Clean Edge US Liquid (QCLN), down 21.5% year-to-date
- PowerShares Cleantech Portfolio (PZD), down 5.8% year-to-date
- Claymore Global Solar Energy (TAN), up 4.4% since April 15 inception
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Mr. Lydon serves as an independent trustee of certain mutual funds and ETFs that are managed by Guggenheim Investments; however, any opinions or forecasts expressed herein are solely those of Mr. Lydon and not those of Guggenheim Funds, Guggenheim Investments, Guggenheim Specialized Products, LLC or any of their affiliates. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.