Wind and Solar Energy for the Many!
Despite the growing interest in sustainable investment, until now it hasn’t been easy for an individual to invest directly in green energy production. That’s all about to change, thanks to The Many. The investment platform will soon make it possible to invest in solar and wind energy.
Investment platform The Many will soon add two new branches to their investment tree: Sun and Wind. With these, users of the platform will be able to invest directly in green energy production from solar and wind farms—effectively earning money as the sun shines and the wind blows.
The Many predicts that interested investors will be able to make an investment of as little as 5,000 DKK . There are several reasons for the relatively low amount.
We don’t want the minimum amount to be a barrier to people who are just getting started with investing. Everyone should be able to invest, for whatever amount suits them, whether they’re a student or a seasoned investor. What’s more, we’re relatively new on the scene and we want our investors to feel secure and comfortable when investing via our platform,
David Svante Hansen, CEO and co-founder of The Many.
It seems as if The Many has democratised something that was previously not easy to access for the average Dane: investing in solar and wind energy.
It hasn’t always been so simple to invest, especially when it comes to sustainable energy production.
Until recently, an investment would have to be a minimum of 750,000 DKK and placed via an investment company, or the individual investor would have to research and contact local solar and wind energy companies directly. Neither of these strategies is ideal.
When you invest via an investment company for 750,000 DKK or more, you give away your rights as an individual investor, which means you aren’t guaranteed the same protection and you don’t have the same right to be informed of the potential risks involved.
On the other hand, reaching out directly to each of your local green energy providers is a laborious task, and if you even manage to get a meeting, there is no guarantee that they have shares for sale.
Risks and benefits
As always, an investment of whatever size involves risks. With green energy it is difficult to predict how much the wind will blow or the sun will shine over a longer time period. What’s more, wind turbines and solar panels can break, and the price of electricity can vary.
But there are also benefits and, as an investor, it’s generally good to have a varied portfolio. The ups and downs of the stock market aren’t going to affect the sun and the wind and you can also invest in companies like Vestas, who produce, install and service wind turbines and are not directly affected by turbines breaking or the fluctuating price of electricity.
“If Vestas sell more turbines, their share value is likely to increase. And the more people who come together to finance wind turbine projects, the more the demand for wind turbines and wind energy will increase. Which will be good for Vestas, wind turbine projects and the planet,” Svante Hansen explains.
The Many mainly focuses on projects that are already in operation. They are currently reluctant to invest in projects in the construction stage, as it will take longer for such projects to begin to generate a profit that can be reflected in investors’ portfolios.