By Victoria Shouldis

Yes, we know the economy is still faltering, and yes, we're aware that the holidays are fast approaching. But let's just say you're lucky enough to have a small stash of greenbacks you'd like to invest in something that's friendly to both the environment and your profit margin.

What to do? Everything in the world seems to have "green" in its title these days. But there are absolutely legitimate funds and programs out there that offer investment with a true social conscience. It's a matter of finding access to those programs and not allowing yourself to be fooled by deceivers - some out-and-out scammers, some simply manipulators of words - who grab onto to the latest buzzword while conducting themselves with no special amount of environmental sensitivity.

As it happens, this is an exciting - and potentially profitable - time to dig into the world of green investing. Business Week said in August that "ethical investing may have posted tepid returns in the past, but the push into alternative energy . . . is already paying off."
Government policy makers have been directing a lot of serious cash into environmental causes - reduction of greenhouse gases and support for some alternative, cleaner energies. Of the $787 billion spent through President Obama's stimulus plan, $80 million was earmarked specifically for renewable energy and clean technology incentives. As of 2007, there were 260 mutual funds that were screened as meeting criteria for being focused on social/environmental issues.

So what, exactly, does this mean for you as you look for ways to invest your funds?
First of all, don't dump your cash in just any stock or fund with "green" in the title. Look into the actual mission and business of the company or the fund. There are some well-regarded ones out there that may be of interest to green investors. Business Week noted that two green mutual funds - Winslow Green Growth Fund and the Calvert Global Alternative Energy Fund - have actually been outperforming the Standard & Poor's 500 Index by a factor of 3 to 1. You might also want to try fledgling companies deemed undervalued at the moment, such as companies that manufacture solar panels or wind turbines.

One tool for determining which companies are both authentically green and potentially profitable is the Social Investment Forum at socialinvest.org, a nonprofit clearinghouse that promotes socially conscious investing but does not promote specific plans or funds. The SIF boasts a 500-member board, with members drawn from all sides of the investment and green spectrum.

The group's website offers an objective analysis of several socially responsible mutual funds and their long- and short-term performances and assets. It also offers general guidance into the world of investing and links to member investment firms and loan funds committed to social investing: The two in New Hampshire on the list are the New Hampshire Community Loan Fund and Pax World Funds, out of Portsmouth.

In addition to the more traditional green opportunities, SIF offers information for those who want to invest in building strong communities. For instance, you can help provide loans for people snagged in the sub-prime mortgage mess. The idea is that if you save your neighbor, you save your neighborhood, and little step by little step, you may just save the planet.