THE STRATEGY
Investors with high conviction in climate investing and a higher tolerance for risks and returns that deviate from broad benchmarks may want to consider thematic and impact investments. Some thematic and impact funds provide exposure to particular climaterelated themes, such as clean energy. They may also invest in green bonds, which are used to fund specific environmental projects, like water treatment plants or wind farms.
With these ETFs, investors can support companies that are delivering positive environmental impacts. The iShares Global Clean Energy ETF, for instance, focuses on global companies in the renewable energy sector that are involved in the production or the distribution of solar, wind and other forms of renewable energy.