September 20, 2016
“Don’t keep all your eggs in one basket.”
We’ve all heard it before, but what does it have to do with investing and why should you care?
One of the basic principles of investing is diversification. Bottom line, diversification means spreading your investments across a variety of opportunities – to attempt to avoid the potential risks of keeping all of your eggs in one basket.
Think of it this way: perhaps you really like chocolate, and so you decide to put all of your investments into chocolate companies. This is great if consumers are excited about chocolate, but if instead, chocolate is discovered to be linked to some terrible disease, you could find yourself in a bad place. But if you’re also invested in health care and companies in other industries, you might be a bit better off.
There are lots of different ways to diversify investments. Some of the most common include diversifying across asset classes (stocks as well as bonds), regionally (domestic as well as international), and by size of company.
Mutual funds, like the Green Century Funds, offer a way for investors to diversify without having to take the time to individually research, select, and purchase investments. Both of the Green Century Funds are broadly diversified, responsible, and fossil fuel free. Let us do the hard work for you.
Read more about diversification on our website, or give us a call a 1-800-93-GREEN.
Green Century Capital Management
Investment strategies such as diversification do not ensure a profit and cannot protect against losses in a falling market.
You should carefully consider the Funds’ investment objectives, risks, charges and expenses before investing. To obtain a Prospectus that contains this and other information about the Funds, please click here for more information, email email@example.com or call 1-800-93-GREEN. Please read the Prospectus carefully before investing.
Stocks will fluctuate in response to factors that may affect a single company, industry, sector, or the market as a whole and may perform worse than the market. Bonds are subject to risks including interest rate, credit, and inflation. The Funds’ environmental criteria limit the investments available to the Funds compared to mutual funds that do not use environmental criteria.
This information has been prepared from sources believed to be reliable. The views expressed are as of the date of this writing and are those of the Advisor to the Funds.
The Green Century Funds are distributed by UMB Distribution Services, LLC. 235 W Galena Street, Milwaukee, WI 53212. 8/16
Call us: 1-800-934-7336