Generally, when investors tend to think about green investments, renewable energy sources like solar and wind are the first thing that pop into their minds. As such, these “sexy” growth opportunities often command the lion share of investment dollars. That’s evident by the surge in assets under management in popular ETFs like the iShares Global Clean Energy (NASDAQ: ICLN).
Yet, there’s more than one way to skin a cat.
And in terms of green investing, the boring concepts of energy efficiency and pollution remediation could actual make portfolios more money over the longer haul than sexier solar and wind power. For investors, there’s a wide world of cleantech ripe for the picking.
The Buz on Cleantech
Focusing On The Low Hanging Fruit
As the world’s population continues to increase at a rapid pace, so does the pressure being placed on our planet. With these growing demands for energy and commodities consumption, many investors are looking towards technology as a way to mitigate these challenges.
Enter cleantech in all its glory.
While renewable energy does fit under the cleantech umbrella, the concept is much more than just solar panels and biofuels. As a widely diverse segment of technology, cleantech is used to describe products and services that improve productivity or efficiency while reducing costs, inputs, energy consumption, waste, or pollution. This wide net includes everything from energy efficiency and recycling efforts to pollution controls.