Transcript:
Most people are not wealthy investors. But tens of millions of Americans have 401(k) retirement accounts that together add up to trillions of dollars.
And Breene Murphy of the company Carbon Collective Investing says how that money is invested can make a big difference for the climate.
Murphy: “We need to dramatically increase investments in climate solutions.”
His group and some other firms offer 401(k) plans designed for climate-minded investors.
In many ways, these plans are similar to conventional 401(k)s. Most include a mix of stocks and bonds, and invest in big companies like Apple and Microsoft. But they exclude investments in the fossil fuel industry because of its role in driving climate change.
And the funds offered by Murphy’s firm go a step further by actively investing in climate solutions.
Murphy: “So solar, wind, electric vehicles, batteries, heat pumps.”
He says this is better for the climate, and it’s a sound investment strategy as the world transitions to more clean energy.
Murphy: “I came at this understanding that there’s got to be a better way to invest for the world that we’re going to be living in.”
So he says a climate-friendly 401(k) can be a way for people to help fund their future – and the future of the planet.
Reporting credit: Sarah Kennedy / ChavoBart Digital Media
