Green Technology Investor

Helping You Profit from the World's Best Green-Tech Stocks

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Green Mutual Funds - Choosing Sectors
The world of clean tech is vast, with numerous sub-sectors. How do green mutual funds choose which areas to invest in?

Some take a general approach, such as Green Century Funds, which simply says that its looks for companies involved in:

* Alternative energy
* Eco-friendly products
* Green technology
* Organic / natural food supply
* Water solutions
* Sustainable development
* Community investment

However, others are quite specific. For example, Lombard Odier Darier Hentsch, which manages the Clean Technology Fund, breaks down the sector into many sub-sectors:

Alternative energy
Alternative fuels
Carbon sequestration
Clean coal
Enzymes
Fuel cells
Geothermal
Green utilities
Hydrogen production
New energy finance
Solar
Wave power
Wind power

Energy solutions
Building materials
Energy efficiency
Storage
Transportation

Waste
Environmental services
Waste
Waste to energy

Water
Water treatment
Desalination

This is an intriguing list. When I started this website I was also obliged to work out my own list of sub-sectors. I used two websites for guidance, InvestorIdeas.com and SustainableBusiness.com.

I have, so far, decided against writing about clean coal, which is not a renewable energy source, and I don't break down Energy solutions, Waste and Water into as many sub-categories as does the Clean Technology Fund.

However, I have added a specific section on energy-efficient (mainly LED) lighting, which I believe to be quite an important trend in clean tech.

June 20th, 2008

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