I never had a retirement account before.
Whenever I was offerred a 401k in the past, I was never impressed with the mutual funds that they offered, both from the SRI perspective (i.e., socially responsible investment / value investing) and performance perspective.
I finally have a Roth IRA, with just $200 to begin with.
I just created one at sharebuilder.com, and I could pick my own ecologically and socially "responsible" stocks. Continental Airlines offered 2000 miles to create an accout at sharebuilder.com, so I thought I'd give it a shot.
I put $100 in SOEN (
Solar EnerTech) and $100 in EBOF (
Earth BioFuels).
I'm impressed.
ShareBuilder has these advantages:
1) No need to have minimum amount to invest
2) Automatic trades for $4 (schedule in advance to occur on any Tuesday - not ideal for immediate daytrade type of transactions, but useful for longterm investments. They also have real-time investing, and monthly-fee based automatic investments, but for now, I opted for the free account. I don't have a large up-front capital, and $4 ought to be totally recoverable over the 5 years when I plan to take the money out.)
3) Dollar based investing (no need to have $450+ to invest in Google, just invest whatever amount you want for any stock)
So my plan now is to begin buying at least $200 worth of SRI stocks every month, with a goal to produce at least 25% gain over 5 years.
Over the years, I've been looking into SRI's and kept track of some of the stocks I'd like to invest in when I get the money to do so.
The stocks that I'm planning to invest in include:
Organic Agriculture and Products
-- DF (Dean Foods, which bought White Wave - Silk Soymilk, and Horizon Dairy)
-- WMFI (Whole Foods)
-- GAIA (Gaiam and Real Goods)
-- GMCR (Green Mountain Coffee Roasters)
-- HAIN (Hain Celestial Grouup)
-- OATS (Wild Oats)
-- UNFI (United Natural Foods)
Alternative Fuel and Power (Solar, Wind, fuel-cell, bio-diesel)
-- DESC (Distributed Energy Sys)
-- EBOF (Earth BioFuels)
-- ENER (Energy Conversion Devices)
-- EPG (Environmental Power Corp)
-- ESLR (Evergreen Solar)
-- FCEL (Fuelcell Energy)
-- GPRE (Green Plains Renewable Energy)
-- QTWW (Quantum Fuel Sys Tech Worldwide)
-- SOEN (Solar EnerTech)
-- SPWR (Sun Power Corp)
-- STP (Suntech Pwer Holdings)
Unfortunaely, Sharebuilder does not give users access to some of the more "Eco-Aware" markets like Germany and Scandinavia. They also do not have SRI Exchange Traded Funds or Mutual Funds such as Calvert, Domini, and Ariel.
Yes, yes, I hear the experts and the skeptics say that we could all get "slaughtered like pigs" in the market, but my investment philosophy is that no matter what, we must invest AWAY from OIL, AWAY from the military-industrial complex, and AWAY from toxic pesticide based farming, or else, we will get slaughtered by wars and environmental disasters.
So it's not really the bottom line or the profits that I'm investing in.
I'm investing in the future survival of the planet, really. Little at a time.
I'm counting on getting bigger returns not just in money, but in having saved the planet.
Fanatic?
Maybe.
Visionary?
I think so.
Since I'm new at this, any information on SRI is welcome.
If you have any recommendations or strong advisories (like something is going to tank), please feel free to comment.