Here's a good snapshot of things to keep in mind when investing in green mutual funds (it's a pdf file). Along with an overview, it offers some questions to ask:
* Do you absolutely want to stay clear of certain industries like fossil fuels? Or can you handle being in a fund that invests in some natural gas or even mining companies if they are known to manage themselves well environmentally?
* Are you also concerned about social issues as well as environmental, or is your focus really on the environmental side?
* Do you have the risk tolerance to be in a fund that invests in the most proactive companies and is therefore likely to be volatile?
It also takes a quick look at the 6 funds in the US that call themselves "green."
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