Clean energy and socially conscious investing have been on a tear lately, even allowing for equity market volatility. Last year Wal-Mart became the largest seller of organic milk, the world’s leading buyer of organic cotton, and its CEO says he wants the company’s Sam’s Club gas stations prepared to sell E85, the 85 percent ethanol/15 percent gasoline fuel that can reduce automobile carbon emissions. U.K.-based Tesco, the world’s third largest retailer, is spending more than $200 million on environmental technologies designed to reduce its overall energy use by 50 percent—and it’s paying customers not to use new plastic bags.

With all the corporate heft behind clean energy and environmentally friendly business practices, is it finally time for the serious, socially responsible investor to take the plunge? The question arises because the past is littered with false starts, and the intriguing “green” landscape contains an abundance of small, financially untested firms.

Nevertheless, investing in something many believe in—clean, renewable energy—has gained favor. In June the NEX Index, a truly global index that tracks 87 innovative technology and service companies on 24 stock exchanges in 21 countries, was up 78 percent since its debut in December 2005. If nothing else, this reflects the fact that as the European Union and countries around the world have seriously begun to pursue clean energy alternatives, firms involved in wind, solar, biofuels and similar projects have done well.

Analysts tend to agree on the positive potential of green investing, but remind investors that investing in alternative energy stocks involves risk, and profits or losses may occur. Going “green” is not a game. The focus is still on choosing solid investments that make sense.

If you have a query about green investing, or a specific question about a company or fund, please do not hesitate to contact your financial advisor.