Portfolio Analysis: Reducing Carbon Footprint

Recently, I have reviewed the investments in my portfolio and realized that the carbon footprint connected to my investments is relatively large. However, my oil company stock also pays for the family holidays each year. In addition, the company’s website says that it uses a high proportion of its profits to invest in green and renewable fuels of the future. So, I have faced the dilemma: to keep the stock or sell it. In order to make a proper decision, I will weigh the pros and cons. First of all, I will take counsel with the board of directors and do the necessary scientific research myself. On the one hand, I belong to the so called “green” movement, which seeks the improvement of the environment and fights against the anthropogenic pernicious influence on our planet. Thus, causing a relatively large carbon footprint I contribute to the problem of greenhouse effect, global warmth, and climate change. Moreover, I think that my investment in the company is rather small comparing with total investments, which means my money has little impact on the overall situations. However, selling the stock, I may reduce the baneful influence of the carbon footprint at least for a jot. Therefore, it may be logical to sell the stock in order not to contradict my life principles and ethical convictions. On the other hand, I understand that the money I have invested in the company impacts my material welfare. Furthermore, being one of the investors, I have a chance to persuade the company’s managers to use alternative methods of production in order to reduce the carbon footprint to the least possible level.It is obvious that my reputation depends on the company’s reputation, as I am one of its investors. Although, my company’s website says that it contributes much to invest green and renewable fuels of the future, one can check whether it is true or not. Of course, an ordinary consumer cannot check the company’s documents relating to its receipts and expenditures, but one can take the following steps: apply to the Better Business Bureau (which requires businesses to maintain strict standards in the way they make profits); inquire about a company from its former clients, vendors, and industry peers; and research consumer rating sites (Woodfield, 2004).Thus, I will not sell the stock and try to persuade other investors to change their policy in accordance with current environmental situation in the world.ReferencesWoodfield, Martin. (2004). How to Check Business Credibility. Retrieved from: …