Real examples of sustainable investing: real-life company examples that actually matter

Let’s start where most articles don’t: with actual companies and actual capital flows. These examples of sustainable investing: real-life company examples span different sectors and asset classes, but they all share one feature—investors are using sustainability data to make decisions, not as a side note, but as part of the investment thesis.

Public equity: when shareholders push companies to change

Example of sustainable investing: Engine No. 1 vs. ExxonMobil

In 2021, a tiny activist fund called Engine No. 1 took on ExxonMobil. It owned just about 0.02% of the company, but it argued that Exxon’s weak climate strategy was a financial risk. Backed by large institutional investors, three of Engine No. 1’s board nominees were elected.

This was a textbook example of sustainable investing in public markets:

• The argument wasn’t “be greener because it’s nice.” It was: your lack of transition planning threatens long-term shareholder value.
• Large investors like BlackRock and State Street supported the campaign after years of warning oil majors about climate risk.
• The result was a board with more energy transition expertise and a clear signal to the whole sector: capital markets are watching.

You can see the broader context in the work of the U.S. Department of Energy on energy transition and climate risk in energy markets: https://www.energy.gov

Best examples of sustainable investing: Microsoft and net zero

Microsoft is often cited as one of the best examples of sustainable investing paying off at scale. In 2020, the company committed to be carbon negative by 2030 and to remove all its historical emissions by 2050. That’s not just PR:

• Microsoft started charging an internal carbon fee across its business units.
• It signed massive long-term renewable energy contracts.
• It launched a $1 billion Climate Innovation Fund to support carbon reduction technologies.

Investors who integrated sustainability saw:

• Faster growth in cloud and software services aligned with efficiency and digitalization trends.
• Lower transition risk relative to peers that were slower to manage carbon exposure.

This is one of those real examples of sustainable investing where investors didn’t sacrifice returns to “do good.” They recognized that a company aggressively managing climate risk and opportunity might be better positioned over a 10–20 year horizon.

Clean energy and infrastructure: examples include Tesla, Ørsted, and NextEra

From oil and gas to offshore wind: Ørsted’s pivot

Ørsted, once a Danish oil and gas company, is now one of the world’s largest offshore wind developers. Investors who backed Ørsted during its transition got a front-row seat to how sustainability can be an engine for growth.

• The company exited upstream oil and gas and reinvested in offshore wind.
• Its valuation and investor base shifted from traditional fossil fuel investors to ESG and climate-focused investors.

For many asset managers, Ørsted became a real-life company example used in client reports to show how sustainable investing can support a full business model pivot.

Tesla and the electric vehicle trade

Love it or hate it, Tesla is one of the most obvious examples of sustainable investing: real-life company examples in the last decade:

• Its core business model—electric vehicles and energy storage—directly targets transport and grid emissions.
• Early ESG and climate-focused funds overweighted Tesla based on its potential to disrupt internal combustion engines.

Was the stock volatile? Absolutely. But as an example of sustainable investing, it showed that:

• Sustainability themes (like EV adoption) can be a growth driver.
• Investors can express a view on climate transition through sector exposure, not just by avoiding oil.

U.S. utilities going green: NextEra Energy

NextEra Energy, a U.S. utility and renewables developer, is another favorite among climate-aware investors:

• It became the largest U.S. generator of wind and solar power.
• It shifted its portfolio away from coal and toward renewables and natural gas.

Investors using ESG screens and climate data often point to NextEra as one of the best examples of sustainable investing in a traditionally “boring” sector. It’s not a niche green startup; it’s a regulated utility that figured out how to align its capex with the energy transition.

For context on how renewables are reshaping the power sector, the U.S. Energy Information Administration (EIA) is a solid data source: https://www.eia.gov

Consumer and retail: real examples of sustainable investing in everyday brands

Unilever: linking purpose and profit

Unilever has been on ESG investors’ radar for over a decade. It integrated sustainability into its core brands—think Dove, Hellmann’s, and Ben & Jerry’s—and tracked environmental and social metrics alongside financials.

Why is Unilever constantly used as an example of sustainable investing in institutional presentations?

• It set science-based climate targets and pushed suppliers to cut emissions.
• It focused on packaging, waste, and sustainable sourcing in categories like palm oil and tea.
• It reported detailed ESG metrics, enabling investors to actually model risks and opportunities.

For long-term investors, Unilever became a case study in how brand equity, supply chain resilience, and sustainability can be intertwined.

Patagonia (private markets, but very real)

Patagonia isn’t publicly traded, but it’s a favorite real-life company example for sustainable private investing and impact funds:

• The company built its brand around environmental activism and repair/reuse.
• In 2022, the founder transferred ownership to a trust and a nonprofit structure designed to fund environmental work.

Impact investors and private equity funds use Patagonia-like companies as examples of sustainable investing in private markets—where governance structures, mission locks, and long-term ownership can be designed from day one.

Finance and fintech: when the product itself is sustainable investing

Green bonds: Apple and the rise of labeled debt

Green bonds are one of the fastest-growing examples of sustainable investing: real-life company examples in fixed income. Corporations and governments issue bonds where the proceeds are earmarked for climate or environmental projects.

Apple, for instance, has issued multiple green bonds to finance renewable energy, energy efficiency, and low-carbon manufacturing. For bond investors, this offers:

• Standard credit exposure to a large, profitable issuer.
• Use-of-proceeds transparency aligned with environmental goals.

Global green bond data and principles are tracked by organizations like the Climate Bonds Initiative: https://www.climatebonds.net

ESG index funds and ETFs

Sustainable investing isn’t just active stock picking. Large index providers and asset managers have launched ESG-screened or climate-aware funds that track indices excluding certain sectors or tilting toward better ESG performers.

Examples include:

• Broad ESG index funds that remove controversial weapons, thermal coal, or severe labor violators.
• Climate-transition ETFs that overweight companies with credible decarbonization plans.

For retail investors, these funds are often the most practical examples of sustainable investing: real-life company examples—they’re accessible through standard brokerage accounts and retirement plans.

Pension funds and large asset owners: examples include CalPERS and Norway’s fund

CalPERS and long-horizon stewardship

The California Public Employees’ Retirement System (CalPERS) manages hundreds of billions of dollars for public workers. With that scale and time horizon, climate and governance risks are not abstract—they’re portfolio-wide.

CalPERS has:

• Pressured portfolio companies on board independence, executive pay, and climate disclosure.
• Backed shareholder resolutions on climate risk reporting and emissions targets.

This is a real example of sustainable investing as stewardship, not just stock selection. The fund still owns broad market exposure, but it uses voting power and engagement to push for long-term risk management.

Norway’s sovereign wealth fund

Norway’s Government Pension Fund Global, one of the world’s largest investors, has explicit environmental and ethical guidelines. Over the years, it has:

• Excluded companies involved in severe environmental damage or coal-related activities.
• Published detailed expectations for companies on climate, human rights, and anti-corruption.

These policies are often cited as examples of sustainable investing: real-life company examples at the sovereign level—where an entire country’s future wealth is tied to how global markets manage long-term risks.

For an overview of how climate and financial stability intersect, the Federal Reserve and other central banks have begun publishing research on climate-related financial risk: https://www.federalreserve.gov

Does sustainable investing hurt returns? What the data says

Investors don’t just want nice examples of sustainable investing; they want to know whether integrating ESG or climate factors costs them money.

The research is mixed but leaning in one direction:

• Many meta-analyses of ESG performance find that, on average, there is no systematic performance penalty and often a modest benefit, especially on the risk side.
• Strong governance and risk management—core parts of ESG—tend to be associated with fewer blowups, scandals, and tail risks.

The nuance:

• Not every ESG-branded fund is created equal. Some simply repackage broad indices with light exclusions.
• Some examples of sustainable investing have outperformed dramatically (think early renewables), while others have lagged when markets rotated back to fossil fuels or high-emitting sectors.

The real takeaway from these real-life company examples is that sustainability factors are simply more data—about regulation, consumer behavior, technology shifts, and physical climate risks. Investors who ignore that data are effectively betting that the next 20 years will look like the last 20. That’s a bold bet.

How to use these examples of sustainable investing in your own portfolio

If you’re trying to move from theory to practice, these examples of sustainable investing: real-life company examples suggest a few practical steps:

• Start with your values and your risk tolerance. Are you more interested in climate, labor rights, or corporate governance? Or all of the above?
• Decide whether you want to tilt (own the market but lean greener) or strictly exclude certain sectors.
• Look under the hood of ESG funds. Check holdings, fees, and how they define “sustainable.”
• Pay attention to stewardship. A fund that votes thoughtfully and engages with companies can be a stronger example of sustainable investing than one that just screens.

If you’re concerned about greenwashing—companies or funds overstating their ESG credentials—regulators are starting to pay attention. The U.S. Securities and Exchange Commission (SEC) has published guidance and enforcement actions related to ESG disclosures and fund labeling: https://www.sec.gov

These trends mean that future examples of sustainable investing: real-life company examples are likely to be more transparent, more data-driven, and easier to compare.

FAQ: real examples and practical questions about sustainable investing

What are some real examples of sustainable investing I can recognize?

Real-world examples of sustainable investing include:

• Large tech companies like Microsoft using internal carbon fees and net-zero targets as part of their core strategy.
• Utilities like NextEra Energy shifting capital expenditure toward wind and solar.
• Investors buying green bonds from issuers like Apple to fund renewable energy and efficiency projects.
• Pension funds like CalPERS engaging with companies on climate risk and governance.

These are not fringe projects; they’re mainstream capital allocation decisions.

Can you give an example of sustainable investing that doesn’t sacrifice returns?

One widely cited example of sustainable investing is the long-term performance of investors who overweighted renewable energy leaders like Ørsted and NextEra while underweighting coal-heavy utilities. Over time, as policy, technology, and consumer preferences shifted, those positions often benefited from both growth and reduced regulatory risk. Of course, past performance is no guarantee of future results, but it shows that sustainability and returns are not inherently at odds.

Are ESG funds themselves good examples of sustainable investing?

Some are, some aren’t. The best examples of sustainable investing: real-life company examples in fund form typically show:

• Clear, transparent criteria for inclusion and exclusion.
• Active voting and engagement on climate, labor, and governance.
• Alignment between marketing claims and actual holdings.

Others simply mirror a broad index with minimal tweaks. That’s why it’s worth reading the prospectus and checking the top holdings before you assume a fund is truly sustainable.

How do I know if a company is a good example of sustainable investing?

Look for a few signals:

• Specific, time-bound climate and social targets (not just vague commitments).
• Third-party verification or alignment with frameworks like science-based targets.
• Capital expenditure and R&D that match the sustainability story.
• Transparent reporting on progress, not just glossy sustainability reports.

When those elements line up, you’re more likely looking at a real example of sustainable investing rather than a marketing exercise.

The bottom line: the best examples of sustainable investing: real-life company examples are not about perfection. They’re about investors using environmental, social, and governance information as part of how they price risk and opportunity. That’s not a fad—it’s just better-informed investing.