The Green Century Capital Management Balanced Fund
(CGBLX) has released a novel metric for its portfolio. The fund recently revealed its own carbon footprint analysis, which measured the tons of carbon emissions per million dollars of revenue of the companies held by the fund. The carbon footprint of the fund is reported to be 126 tons of carbon per million dollars of revenue of each of the fund's holdings.The same footprint analysis was performed for the constituents of the S&P 500 index, and Green Century notes that their Balanced Fund's carbon footprint is 66% smaller than that of the S&P 500.
The fund achieves a comparatively low footprint by avoiding or underweighting companies in the utilities, oil and gas and basic resource sectors. Green Century diversified portfolios are screened to include companies with strong environmental performance records as well as those with a demonstrated past of working to solve environmental problems. The fund has no predetermined stock or bond allocation, and also screens against investments in tobacco and nuclear-producing countries. Total assets for the fund were listed at $39.6 million as of end-March, and the fund carries an expense ratio of 1.38 percent.
Kristina Curtis noted that the release of the footprint will result in increased carbon emissions accountability among investable companies.
"This information will better inform investment decisions and will strategically enhance our efforts to encourage companies to further measure, report, and reduce their carbon emissions," Curtis said.
The full carbon emissions report is available
on Green Century's website.
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