Fossil Free Funds is a search platform that enables people to find out if their money, in the form of individual investments or an employer-provided 401(k), is being used to extract and consume fossil fuels.
Owning investments in coal companies, oil/gas producers, and fossil-fired utilities isn't just a moral question. Fossil fuel investments carry real financial risks. When emissions are constrained, fossil fuel companies will have their carbon assets stranded. The implication is that they’re massively overvalued, and markets are realizing that investing in fossil fuels is a risky bet.
Fossil Free Funds empowers investors to know exactly what they own, to see if their savings are invested in dirty energy sources, and to find investment options that support a cleaner, greener future.
For many of us, the majority of our investments are in 401(k) plans offered by our employers. These 401(k)s invest entirely mostly through mutual funds and exchange-traded funds (ETFs). But those funds can invest in a wide array of securities, and it’s not always easy for investors to investigate what’s inside the funds they own. You can spend hours poring over mutual fund prospectuses, and still not fully grasp everything your 401(k) is invested in. Your retirement money may be invested in economically and morally risky fossil fuel companies.
At As You Sow, we’ve been engaging energy companies on climate change issues for many years. When we decided to make sure our own 401(k) options were fossil free and socially responsible, we thought it would be simple. In fact, it took weeks of digging just to find out what was inside our plan. And what we found shocked us - oil companies, fossil-fired utilities, and other companies avoided by socially responsible investors. We decided it was time for people who aren’t mutual fund experts to know how much of their retirement money was invested in unsustainable fossil fuel operations.
Morningstar, Inc. is a leading provider of independent investment research in North America, Europe, Australia, and Asia. They offer an extensive line of products and services for individual investors, financial advisors, asset managers, and retirement plan providers and sponsors.Learn more
The Carbon Underground 200™, compiled and maintained by Fossil Free Indexes℠, identifies the top 100 public coal companies globally and the top 100 public oil and gas companies globally, ranked by the potential carbon emissions content of their reported reserves.
Divest Invest invites you to join them in pledging to invest fossil free.The Divest Invest Pledge
Coal is among the largest sources of global warming pollution in the world. Obtaining it destroys mountains, burning it releases hazardous emissions, and disposing of it results in hazardous toxic waste. Coal is scorching the planet and leaving a legacy of devastation in its wake. That’s why we partnered with Macroclimate® to screen mutual funds for the Macroclimate® 50 – an exclusion list of the 50 largest public-company owners of coal-fired power plants in Developed Markets plus China and India.