Divesting Money from Oil Companies

I’m a hypocrite. And likely you are too. Every time the temperature of the earth goes up, I’m responsible (a little). Because I profit from climate change.

Today I learned that I invest in fossil fuel companies. Yes, for the past 10 years I’ve been investing my 401k in the stock market (S&P500) which means I fund Exxon Mobile. And I fund Halliburton. When big oil makes money, I make money.

The practice of being more socially responsible with investment money is known as Impact Investing. It’s basically for anyone who wants to make a return on an investment, while not also turning the planet into fuck.

For example, one might choose to divest responsibly (e.g. removing tobacco, animal testing companies from your portfolio), or to invest thematically (e.g. putting your money into investments around green energy companies).

Questions I’m left pondering:

• Is it morally responsible for me to drop my investments in fossil fuel?
• Should responsible organizations (e.g. academic universities, or your company) voluntarily remove investment in fossil fuels?

I’m leaning towards a “yes” on both questions. Here’s why:

• The Earth is shared resource divided among all the people on this planet (aka. “The Commons”). And we all have an equal responsibility for the upkeep and maintenance of this shared resource. It’s important to exercise what little vote of responsibility I do have in the matter.
• Impact Investing raise awareness of tough issues. And the power of your investment, has the power to spread an idea like wildfire. This goes for you whether you are voting with your dollar (not shopping at Walmart), or by removing fossil fuel companies from your 401k.

I have a vote for how Climate Change plays out. I get to vote with my dollar. And so knowing that, how can I complain that it’s wrong to wreck the planet, while also benefiting from it? I believe that this is the greatest paradox our generation faces.