Green Investing or Eco-investing is a term applied to investing in companies that support or provide environmentally friendly products and practices. This includes but not limited to investments in Renewable Energy such as solar, wind, tidal current, wave and conventional hydro technology. The term has led to development of Exchange Traded Funds and Mutual Funds in many markets of the world that deal specially with the portfolio of such companies.
- Countries with strong and clear national polices, mandated energy quotas, a carbon market, and loans for green energy projects are leaders in the Green Investing.
One such example is China which has a strong national industrial policy, and has set aggressive carbon reduction targets, it also produces 700 000 engineering graduates a year, giving it an intellectual boost. The USA on the other hand has a disparate attitude towards green energy in every one of 50 states, and is still arguing over carbon legislation.