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Looking to invest your funds in a way that doesn’t harm the planet? That’s where fossil fuel–free investing with Green Century° comes in, allowing you to align your money to your values.
There are countless ways to make your everyday choices matter for the future of our planet. Perhaps you use wool dryer balls over dryer sheets, or you’ve swapped your paper towels for reusable ones. Maybe you ride your bike to work or drive an electric car. At Bluedot Living, we believe in the power of collective action and that these small choices really do add up, and investing responsibly is one of the most powerful ways to create lasting, meaningful impact.
Here, we’ll break down what sustainable investing is, explore the financial and environmental benefits it can offer, provide advice for going fossil fuel–free, and explain how investing with a partner like Green Century allows you to turn your dollars into real-world change.
Understanding Sustainable Investing
Sustainable investing refers to a type of investment approach that seeks to generate competitive financial returns while also creating a positive environmental and social impact. Practically, it means avoiding environmentally harmful types of companies, such as those based in fossil fuels, tobacco, or factory farming.
This concept is not new — individuals have been avoiding fossil fuel companies in their investments for decades. The international movement started 12 years ago when environmental organizations campaigned to convince institutions and individuals to stop making any new investments in fossil fuel stocks.
Based on the successful divestment campaign that helped overthrow South Africa’s apartheid system, this movement’s main goal was to take away the “social license” of coal, oil, and gas companies and to reduce their influence on public policy.
Why to Consider Sustainable Investing
Under the current U.S. Congress and Administration, it’s more important than ever for individuals to send a message about the role fossil fuel companies play in driving climate change. The fossil fuel industry currently receives far more support from the U.S. government than the renewable energy sector.
But individuals can take climate action in their everyday lives while sending a powerful market signal — without compromising their financial future.
There are two powerful reasons to consider sustainable investing: aligning your money with your values and positioning your portfolio for long-term financial resilience.
Moral alignment
Fossil fuel companies have been some of the most vocal about climate denial, making their impact on the planet even more far-reaching than the carbon pollution tied to their products. Thousands of investors have made the decision to divest from companies like these that are responsible for significant environmental damage.
Financial reasons
While no investment strategy can guarantee returns, research and market data suggest that portfolios excluding fossil fuels have often performed as well as — and at times better than — those that include them, while also reducing exposure to climate-related risks, stranded assets, and energy sector volatility.
Individuals can take climate action in their everyday lives while sending a powerful market signal — without compromising their financial future.
By avoiding industries facing regulatory, market, and physical climate pressures, investors can instead allocate capital toward companies positioned for long-term growth in a transitioning global economy.
Tips for Going Fossil Fuel–Free
If you want your money to support a cleaner, more sustainable future, these tips can help you start investing without fossil fuels.
- Know what you own. Start by reviewing your current investments — including mutual funds, ETFs, stocks, and bonds — to identify any holdings in fossil fuel companies. Use tools like FossilFreeFunds.org and Morningstar to determine if they’re already fossil fuel–free.
- Determine how you’d like to invest. Want to avoid companies that explore for, extract, process, refine, or transmit coal, oil, and gas? Companies with proven carbon reserves? Utilities that burn fossil fuels to produce electricity?
- Find fossil free investments. Search for mutual funds or ETFs that exclude fossil fuels. Use resources like Green America to do your research and find investments that exclude fossil fuels.
- Seek out an investment adviser. If you’re not comfortable going it alone, consider contacting an investment adviser for help on your sustainable investing journey.
Choosing the Right Partner
Selecting the right investment fund is key to making sure your sustainable investing goals align with your financial strategy and values. Green Century°, a pioneer in the sustainable investing space founded 35 years ago by environmental and public health nonprofits, can help without compromising your values.
Through a three-part approach, Green Century turns your investments into a force for positive environmental change.
Sustainable investing
Green Century offers three sustainable mutual funds to help investors align their portfolios with their values. The Equity Fund focuses on U.S. companies using a long-running sustainability index, the MSCI International Index Fund invests in fossil fuel–free companies across developed markets outside the U.S., and the Balanced Fund combines U.S. stocks and bonds.
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.
Past performance is not a guarantee of future results and the performance quoted does not represent the performance for any Green Century fund.
Research and market data suggest that portfolios excluding fossil fuels have often performed as well as — and at times better than — those that include them, while also reducing exposure to climate-related risks, stranded assets, and energy sector volatility.
Nonprofit-owned
Green Century is 100% nonprofit owned, with every dollar of profit supporting environmental and public health organizations that drive meaningful change. Founded 35 years ago by nonprofit environmental advocates, Green Century is the only U.S. mutual fund company entirely owned by nonprofits, helping investors care for the planet while saving for their future.
Shareholder advocacy work
Green Century’s award-winning Shareholder Advocacy team uses meetings, proxy voting, and shareholder resolutions to push global corporations toward stronger environmental policies. In the last five years they have secured 93 corporate policy changes from major corporations including Costco, Starbucks, and Bloomin’ Brands.
Sustainable investing lets you put your money where your values are, supporting companies and initiatives that protect the environment while still pursuing long-term financial growth. By choosing fossil fuel–free strategies and partnering with a pioneer like Green Century, you can make a tangible impact on the planet without compromising your investment goals.
Ready to take action? Download Green Century’s Sustainable Investing Guide for practical steps to start building a fossil fuel–free portfolio today.
°Green Century Capital Management, Inc. (Green Century) is the investment advisor to the Green Century Funds (the Funds).
The Green Century Funds are a family of fossil fuel–free, environmentally responsible mutual funds. Green Century Capital Management hosts an award-winning and in-house shareholder advocacy program and is the only mutual fund company in the U.S. wholly owned by environmental and public health nonprofit organizations.
*As of December 31st, 2025, Bloomin’ Brands comprised 0.00%, 0.00%, and 0.00%; Costco comprised 1.46%, 0.00% and 0.00% and Starbucks comprised 0.25%, 0.34% and 0.00% of Green Century Balanced Fund, the Green Century Equity Fund, and the Green Century International Index Fund respectively. As of the same date, other securities mentioned were not held in the portfolios of any of the Green Century Funds. 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 Fund’s investment objectives, risks, charges, and expenses before investing. To obtain a Prospectus that contains this and other information about the Funds please visit www.greencentury.com, email info@greencentury.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 a variety of risks including interest rate, credit, and inflation risk. 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.
This information has been prepared from sources believed reliable. The views expressed are as the date of this writing and are those of the Advisor to the Funds.
The Green Century Funds are distributed by Distribution Services, LLC. 3/2026. Distribution Services and Green Century are not affiliated. Distribution Services, LLC is not affiliated with any of the entities mentioned in this article.
