The socially conscious investor will find a wide range of  Eco-friendly stocks and mutual funds to choose from, both small and large.  Due to the influence of world-wide concern over global pollution and carbon dioxide, the investor will find many large corporations are snapping up green companies to add to their list of products. 

A recent acquisition by Royal Philips Electronics (headquartered in the Netherlands) of Color Kinetics, trading on the NASDAQ as CLRK is a great example.  Color Kinetics was a ten-year-old company that produced environmentally friendly lighting through its enhancement of the LED (light-emitting-diode) technology to create a new type of illumination.

Color Kinetics utilized digitalized technology to create a new source of controllable illumination.  The merger between the giant Philips and Color Kinetics will enhance its Philips Lighting Solutions market in the LED technology.  Color Kinetic has existing installations world wide and a huge customer list, with relationships in China and the UK. Philips, in turn will, provide its 60-country-presence to the Eco-friendly technology of Color Kinetics. Investors should not rule large conglomerates in their search for Eco-friendly stock.

Small Cap Companies:

For investors that enjoy investing directly in small cap companies there are numerous opportunities for investors in AMEX.  These stocks are very reasonable in price and may provide future gains as going green becomes an integral part of business and not just a slogan.  I have watched some Eco-friendly companies grow over the past several years and the following is a highlight of some interesting stocks.

Environmental Power Corp. trades under the ticker EPG on the AMEX exchange.  This stock currently sells in the $5 range.  The company and its subsidiaries engage in the ownership, development and operation of renewable energy facilities in the United States.  EPG owns 83 leasehold of land. It has plants that utilize animal and food industry waste to produce bio-mass and other forms of alternative fuel that utilize their renewable energy biogas.  A good reason to give this company a good look is that it filed a notice with the SEC that it has a firm commitment from an underwriter to make and offering of over four million shares of his stock. If the offering goes forward the company could realize a gain in the price as well as an infusion of over 22 million dollars.

There is another stock that has great promise in the fuel cell area.  This area has room to grow.  I particularly like Fuel Cell Energy. It trades under the stock ticker FCEL.  The company has a market cap of approximately 650 million.  The company is in the development, manufacturing and sale of fuel cells power plants for use in electrical power plants.  Its pipeline products are geared for use in health care facilities, hotels, hospitals, universities, governmental offices and water treatment centers.  The company is located in Connecticut with office in Korea, Japan, Canada and Europe. This $9 stock has no where to go but up in the long term.  Another reason to think twice about this company is the major holders of stock in the company.  Wells Fargo Bank, Barclays, Deutsche Bank and other prominent funds are invested in FCEL.

A stock that is a good value, but lacks appreciation is Calgon Carbon Corp. in Pennsylvania.  The company trades under the ticker CCC. The company is in the business of providing means to clean the air and water.  The company has been around for a good period of time and it appears that 2007 may be its year to take a solid place in Eco-friendly stocks. It currently sells in the $13 range and deserves a good review.

There are numerous ways to get into the green, Eco-friendly stocks.  There are mutual funds and indexes available. In addition there are segments in wind, health foods and solar energy that have opportunities for investment.          

It is possible to have a portfolio which profitably (that’s the key word, is it not?) invests in alternative energy funds. “Green” energy production is expected to be a multi-billion (in today’s dollars) industry by 2013.

The most recently developed wind-turbine technologies have brought us wind-produced energy which is more cost efficient as well as more widespread. More state-of-the-art wind energy technologies are typically more market competitive with conventional energy technologies. The newer wind-power technologies don’t even kill birds like in days of old! Wind energy production is a growing technology, and companies engaged in it would make up an excellent part of a growth or aggressive growth portfolio.

Next to consider are solar cell, or photovoltaic cell, technologies. These are to be found implemented in pocket calculators, private property lights, US Coast Guard buoys, and other areas. More and more they find their way onto the roofs of housing and commercial buildings and building complexes. Cost is falling. Their energy efficiency (the ratio of the amount of work needed to cause their energy production versus the actual energy production) is steadily on the rise. As an example, the conversion efficiency of silicon cells has increased from a mere four percent in 1982 to over 20% for the latest technologies. Photovoltaic cells create absolute zero pollution as they are generating electrical power. However, photovoltaic cellls are not presently as cost effective as “utility produced” electricity. “PV” cells are not [capable at present for producing industrial-production amounts of electricity due to their present constraints on space. However, areas where photovoltaic cell arrays could be implemented are increasingly available. In sum, costs are going down while efficiency is rising for this alternative fuel technology.

Many alternative energy investment portfolio advisors are confident that alternative energies derived from currents, tidal movement, and temperature differentials are poised to become a new and predominant form of clean energy. The French are actually fairly advanced at hydro power generation, and numerous studies are being made in Scotland and the US along these sames lines. Some concerns  center around the problems with the deterioration of metals in salt water, marine growth such as barnacles, and violent storms which have all been disruptions to energy production in the past. However, these problems for the most part seem to be cured through the use of different, better materials. Ocean-produced energy has a huge advantage because the timing of ocean currents and waves are well understood and reliable.

Investments in hydro-electric technology have grown in the last two decades. Hydro-electric power is clean; however, it’s also limited by geography. While already prominent as power generation, the large, older dams have had problems with disturbing marine life. Improvements have been made on those dams in order to protect marine life, but these improvements have been expensive. Consequently, more attention is now being paid to low-impact “run-of-the-river” hydro-power plants, which do not have these ecological problems.

The reality is, the energy future is green, and investors would do well to put their money out wisely, with that advice in their minds.