Q: We want to be “green” investors. How do we find earth-friendly investments?
Look for terms such as “socially responsible investing” (SRI), “ethical,” “environmental” and “sustainable” in the name of a mutual fund product. They indicate that the money manager has used a screening criteria that focuses on ethical and environmental stocks. Many of Canada’s big banks now offer SRI products, and more are coming on the market each year. Unless you’re using an adviser, it’s much more complicated to find an individual green stock because you have to do all the research yourself. As with any investment choice, you should do your due diligence—check out the System for Electronic Document Analysis and Retrieval (SEDAR) website, which is used for electronically filing most securities-related information with the Canadian securities regulatory authorities. Its database includes financial documents, such as annual reports, for public and mutual fund companies.

Q: We don’t have any bad debt, just a car and a house to pay off. Our mortgage is open, and we have another 3 1/2 years to go on our fixed monthly car payments. We are saving for retirement already, so that’s taken care of too. What should we focus on paying down first: the car, the mortgage or both?
Since your financial house seems to be in fine form, and I assume you’re paying off your car loan at a low interest rate, I would focus on your mortgage payments. You’ll get great satisfaction—and motivation—watching your mortage shrink while real estate appreciates over time. To pay it off faster, opt for weekly or biweekly payments and take advantage of lump sum payment options. Also, when your car loan is paid off, hold on to it—unless it’s a heavy gas guzzler and/or in need of costly repairs.

 Q: My fiancé wants to start trading online. Any tips for newbies on online investing?
If you’re not an experienced investor, don’t make impulse decisions that will cost you money—especially in today’s volatile markets. When it comes to investing, know thyself. Professional advice may be your best investment. Consider a combination of online investing and investing through an experienced adviser, as you will learn from both ways.


CHECK THESE OUT!

• investored.ca: A wealth of practical investing information.
• globeinvestor.com, globefund.com and morningstar.ca: Resources for stocks and mutual fund research.
• bigcharts.marketwatch.com: Free quotes, charts and analyses on stocks listed across North American exchanges.