Environment
Investing in Fossil Fuel-Free Companies Just Got a Lot Easier
A new NRDC-backed fund lets casual investors buy stock in green firms.
Negotiators at the COP21 climate conference in Paris are hashing out a deal to rein in the burning of fossil fuels to avoid catastrophic temperature rise. To get there nations need to shift investment away from carbon-based fuels and towards clean-energy sources.
Casual investors can now participate directly in this process by purchasing shares of a new type of equity, the SPDR S&P 500 Fossil Fuel Free ETF (which goes by the ticker name SPYX). The exchange traded fund invests in S&P 500 companies that do not own any fossil fuel reserves—even fuels used to generate power for the company. Investment management firm State Street Global Advisors announced today that the fund has begun trading on the New York Stock Exchange.