Green Century° provides individuals with a one-of-a-kind opportunity to make an environmental impact with their investments
- Leads an award-winning shareholder advocacy program.
- Supports environmental and public health nonprofit organizations: Green Century is the only mutual fund company in the U.S. wholly owned by environmental and public health nonprofit organizations, and 100% of the profits earned managing the Green Century Funds can be used to support their work.
- Invests in responsible companies: The Green Century Funds invest in green stocks by investing in environmental leaders and innovators and companies leading their industries in environmental, social and governance performance ratings.
The Green Century Funds invest in corporations with industry leading environmental, social, and governance performance (ESG) ratings, but even responsible companies usually have room for improvement.
Every year, Green Century presses dozens of companies to adopt stronger environmental practices and policies throughout their supply chains.
Green Century’s award-winning, in-house, and in-depth shareholder advocacy program goes well beyond voting proxies to include shareholder resolutions, dialogues, and stakeholder collaborations, providing a unique way for our investors to make an environmental impact.
Lever: a short film, directed by Stephen Lamb of Investment News, exploring the “powerful force” of shareholder advocacy, featuring Green Century President Leslie Samuelrich and Shareholder Advocate Jessye Waxman.
Issue engagement examples
Protecting tropical forests
To curb climate change, prevent loss of habitat for endangered species, and mitigate potential financial risks for investors, Green Century is working to reduce deforestation caused by the unsustainable production of palm oil, soy, cattle, timber, and rubber in Asia, Latin America, and Africa. In addition to other successes, our efforts helped secure a zero-deforestation commitment from Wilmar International,* the world’s largest palm oil trader, that will avoid 1.5 gigatons of carbon pollution between 2015 and 2020.
Expanding renewable energy
To avoid the most catastrophic effects of the climate crisis, Green Century presses companies to expand their sourcing of renewable energy. In 2019, Green Century withdrew a shareholder resolution with Verizon, after it committed to source the equivalent of 50% of its annual electricity usage from renewable sources by 2025. This commitment will prevent the annual release of approximately 2.3 million metric tons of carbon dioxide – the equivalent of taking nearly 500,000 cars off the road. Prior to this engagement, Verizon’s goal was to source 4% of its electricity from renewables.
Protecting the effectiveness of antibiotics
To combat the rise of antibiotic-resistant superbugs, Green Century pressures companies to address the overuse of antibiotics in their meat supply chains. Following a multi-year engagement with Green Century, Darden Restaurants agreed to phase out the use of medically important antibiotics in its chicken supply chain by 2023. In 2018, Green Century filed – for the third year in a row – an antibiotic-use shareholder proposal with the company, and it received a noteworthy 40.2% support of the votes cast at Darden’s annual meeting.
Impact through support of our environmental and public health nonprofit owners
Almost 30 years ago, a group of nonprofit environmental leaders founded Green Century Capital Management to help people save for their future without compromising their values. Today, 100% of the profits Green Century Capital Management earns from managing the Green Century Funds belong to those environmental and public nonprofit organizations.
Wildlife over Waste
Green Century supports the Wildlife over Waste campaign, which aims to ban take-out plastic foam cups and containers to spare birds, fish and other wildlife from the harm caused by needless plastic pollution, of our nonprofit owners and partners. To date, Maine, Maryland, Vermont, and Oregon have banned polystyrene.
The 100% Renewable Energy campaign has helped push six states to adopt 100% zero-carbon electricity legislation: Maine, New York, Washington State, New Mexico, California, and Hawaii. (Puerto Rico and Washington, D.C., have made similar commitments.) The campaign continues in Massachusetts, New Jersey, Pennsylvania, North Carolina, Florida, Michigan, Illinois, and Minnesota.
Impact through investment in sustainable companies – fossil fuel free
Instead of investing in the most environmentally-reckless corporations on the planet, Green Century invests in environmental leaders and innovators and companies leading their industries in environmental, social, and governance performance ratings.
To avoid the most catastrophic effects of climate change, the world must reduce greenhouse gas emissions by 45% by 2030 and reach net zero emissions by 2050, according to the United Nations Intergovernmental Panel on Climate Change. Instead of helping us realize this ambitious goal, fossil fuel companies have spent billions and billions of dollars blocking efforts to address climate change and disingenuously sowing doubt about the science behind it. Divesting from the fossil fuel industry is one of the most immediate and important steps you can take to undermine the social license of the industry and speed the transition to a clean economy.
The Green Century Funds are entirely fossil fuel free and that screen is explicitly stipulated in our prospectus. The Green Century Funds are prohibited from investing in companies that: explore for, extract, process, refine, and transmit coal, oil, and gas; burn fossil fuels to make electricity; or possess carbon reserves.
The Funds also do not invest in the producers of GMOs (genetically modified organisms), guns and other civilian weapons, military weapons, nuclear energy, or tobacco. These screens are included in our prospectus.
A sustainable investment strategy which incorporates environmental, social and governance criteria may result in lower or higher returns than an investment strategy that does not include such criteria.
Vestas Wind Systems, headquartered in Denmark, is the only global energy company dedicated exclusively to wind energy. With installations in 80 countries, Vestas turbines account for 17% of global wind energy production. Since 2013, every wind turbine that Vestas has manufactured has been built using 100% renewable energy.
Tesla builds all-electric vehicles and scalable clean energy generation and storage products to fulfill its mission to “accelerate the world’s transition to sustainable energy.” Tesla estimates that its fleet of all-electric vehicles have saved more than 4 million metric tons of CO2, and that its solar products have generated more than 13 Terawatt hours (TWhs) of 100% clean energy across the globe, the equivalent of the annual residential electricity consumption of the entire state of Connecticut.
Green and sustainable bonds, which finance climate mitigation projects around the world, currently constitute nearly half of the fixed-income holdings in the Balanced Fund.1 One such bond, issued by USIDFC, is helping finance the ownership and operation of the second largest wind farm in Kenya. Once operational, the Kipeto wind farm will supply 100 megawatts (MW) of clean energy to Kenya’s national grid. It also will help Kenya’s government achieve its goal of providing access to electricity to 100% of its citizens by 2022.
°Green Century Capital Management, Inc. (Green Century) is the investment advisor to the Green Century Funds (the Funds).
1As of December 31, 2020, green and sustainable bonds comprised 53.50% of the total bonds held in the Green Century Balanced Fund.
*As of December 31, 2020, Verizon Communications, Inc. comprised 1.77%, 1.42%, and 0.00%; Darden Restaurants, Inc. comprised 0.00%, 0.09%, and 0.00%; Vestas Wind Systems A/S comprised 0.00%, 0.00%, and 1.01%; Tesla Motors, Inc. comprised 0.00%, 3.08%, and 0.00%; and United States International Development Finance Corporation comprised 1.76%, 0.00%, and 0.00% of the Green Century Balanced Fund, the Green Century Equity Fund and the Green Century International Index Fund. References to specific securities, which will change due to ongoing management of the Funds, should not be construed as a recommendation by the Funds, their administrator, or their distributor.
You should carefully consider the Funds' investment objectives, risks, charges and expenses before investing. To obtain a Prospectus that contains this and other information about the Funds, please click here for more information, email email@example.com or call 1-800-934-7336. Please read the Prospectus carefully before investing.
Stocks will fluctuate in response to factors that may affect a single company, industry, sector, country, region or the market as a whole and may perform worse than the market. Foreign securities are subject to additional risks such as currency fluctuations, regional economic and political conditions, differences in accounting methods, and other unique risks compared to investing in securities of U.S. issuers. Bonds are subject to risks including interest rate, credit, and inflation. A sustainable investment strategy which incorporates environmental, social and governance criteria may result in lower or higher returns than an investment strategy that does not include such criteria.
The Green Century Funds are distributed by UMB Distribution Services, LLC., 235 W Galena Street, Milwaukee, WI 53212.