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Green Century Funds

Filed: 6 Oct 21, 9:27am

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

FORM N-CSR

 

 

CERTIFIED SHAREHOLDER REPORT OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

Investment Company Act File Number 811-06351

 

 

Green Century Funds

 

 

114 State Street

Suite 200

Boston, MA 02109

(Address of principal executive offices)

 

 

Green Century Capital Management, Inc.

114 State Street

Suite 200

Boston, MA 02109

(Name and address of agent for service)

 

 

Registrant’s telephone number, including area code: (617) 482-0800

Date of fiscal year end: July 31

Date of reporting period: July 31, 2021

 

 

 


Item 1.

Reports to Stockholders

The following is a copy of the report transmitted to shareholders pursuant to Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1).


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ANNUAL REPORT

Green Century Balanced Fund

Green Century Equity Fund

Green Century MSCI International Index Fund

July 31, 2021

An investment for your future.® 114 State Street, Boston, Massachusetts 02109

For information on the Green Century Funds®, call 1-800-93-GREEN. For information on how to open an account and account services, call 1-800-221-5519 8:00 am to 6:00 pm Eastern Time, Monday through Friday. For share price and account information, visit www.greencentury.com.

Dear Green Century Funds Shareholder:

The Green Century Funds had a record-breaking year in 2021. Our assets under management (AUM) reached the $1B threshold by attracting new investors and additional assets from current investors.

This growth occurred in an increasingly congested field for sustainable, responsible and impact investing options. Despite this competition, Green Century° continues to be one of the leaders in responsible investing.

I attribute this growth to the strong performance of the Green Century Funds and our unique ability to help investors to make an environmental impact.

More funds are considering ESG (Environmental, Social and Governance) ratings. Using that data to determine which companies perform better on relevant issues than their peers can be part of creating a responsible investment strategy. But, using ESG does not prevent your money from supporting dangerous industries, such as coal, oil and gas. That is why Green Century is a strong supporter of exclusionary screens that keep your investments out of the most environmentally irresponsible industries such as fossil fuel, tobacco and genetically-modified organisms.

But even that is not enough. We also believe that investors who are interested in sustainable investing want to see a measurable impact from the funds they choose. Few firms can match our in-house, in-depth, and award-winning shareholder advocacy program, and Green Century’s ownership and mission is one of a kind. No other mutual fund company in the United States is wholly owned by environmental and public health nonprofit organizations.

Here are just a few examples of how the Fund’s investors made an environmental impact in 2021:

Sustainable companies—The Funds invest in many well-known and some lesser-known sustainable, solution-oriented companies, as well as green and sustainable bonds. They include:

 

  

WSP Global, Inc1 (a holding in the Green Century MSCI International Fund) is engineering solutions to make buildings and the construction process greener and cleaner. This area accounts for almost 40% of global energy and process-related carbon dioxide emissions. This means that how commercial and residential homes are constructed has a significant impact on the environment. WSP is at the forefront of reconfiguring this process. For example, its renovation of the Science Gallery London


 

building at King’s College saved 47 tons of carbon dioxide per year from being emitted into the atmosphere. WSP achieved these energy savings by adding new high-efficiency, motion-detecting lights. The company also added insulation made from recycled materials and replaced old inefficient heating system with a new one that captures heat energy that would otherwise be wasted.

  

Union Pacific1 (a holding in the Green Century Equity Fund) is the second-largest freight-hauling railroad company in the U.S. Founded by Abraham Lincoln, Union Pacific transports freight in the most efficient and least polluting way possible on its 32,000 miles of rail. On average, a Union Pacific train can move one ton of cargo nearly 500 miles on a single gallon of fuel. The company is also chugging along to meet its own science-based emissions targets in accordance with the Paris Agreement—in part by using more renewable energy.

  

When Starbucks1 issued its first corporate sustainability bond, we invested in it through the Green Century Balanced Fund. Starbucks improved the environmental impact of its coffee supply chain by using the bond’s proceeds to train farmers in sustainable crop growing and harvesting practices in Rwanda, Tanzania, Colombia, China, Costa Rica, Indonesia, Guatemala and Ethiopia.

Shareholder advocacy—Green Century’s shareholder advocacy program continues to convince companies to make significant strides in corporate sustainability, reducing risk for the companies in our portfolio and the environment.

Our team of shareholder advocates directly pressed more than 100 companies in the last year to preserve forests, source more renewable energy, reduce plastic pollution, protect the effectiveness of medically important antibiotics, and more. For example:

Preventing Plastic Pollution: The Coca-Cola Company1

One of our most noteworthy 2021 engagements was with The Coca-Cola Company (“Coca-Cola”), a Fortune 100 company. This high profile corporation had been named the most plastic-polluting company on the planet. In fall 2021, we filed a resolution with Coca-Cola, calling on the corporation to reduce its use of plastics.

As one of the largest users of plastic resin, this change would have a big impact. In 2019, Coca-Cola reported using about 3 million metric tons of plastic packaging per year, which is the equivalent of making 200,000 plastic bottles per minute. Coca-Cola policies around plastic use and reuse also lagged behind its competitors.

Our shareholder resolution urged Coke to reduce the amount of plastic it uses. This past winter, our team met with Coke executives to discuss our concerns. By the spring, Coke had announced a new goal to reduce its virgin plastic use, precipitating a withdrawal of Green Century’s shareholder resolution. The company’s new policy will lower its cumulative use of virgin plastic by 3 million metric tons by 2025.

Green Century will work with Coca-Cola executives to fulfill their commitment and make even more transformative measures to reduce the corporation’s outsized contribution to the world’s plastic pollution epidemic. We will press them to make absolute cuts to its plastic use and adopt and expand its refill and reuse models for product delivery.

 

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Nonprofit ownership—As the only mutual fund company in the U.S. wholly owned by environmental and public health nonprofit organizations, Green Century provides direct support to many of our nonprofit owners and partners’ campaigns. Notably, this includes efforts to achieve 100% Renewable Energy goals across the country.

That campaign celebrated a significant victory this year with the approval of the largest wind farm in the nation, Vineyard Wind. For more than a decade, Green Century’s non-profit owners and partners have worked to promote wind farms, and they helped secure the approval of Vineyard Wind, an offshore wind farm that will secure 800 megawatts of electricity that will produce enough power to run 400,000 Massachusetts homes and businesses. This hard-won decision gives the green light for what will be the first utility-scale offshore wind farm in the country.

For a more detailed look at what your investments helped us achieve last year, please take a moment to read through our updates.

I am proud of all of the Green Century team’s achievements in this unprecedented and challenging year, and I am eager to see what we are able to accomplish as we move forward. Our work to protect the environment, promote clean energy, preserve tropical forests, and more is far from finished—and none of it would be possible without investors like you.

Thank you for choosing Green Century to help save for your future.

Sincerely,

Leslie Samuelrich, President

Green Century Capital Management

° Green Century Capital Management, Inc. (Green Century) is the investments advisor to the Green Century Funds (The Funds).

 

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Green Century on the Web

E-News.    For more regular updates on the Green Century Funds and on our advocacy efforts, please consider signing up for our e-newsletter. Call 1-800-934-7336, visit www.greencentury.com, or email info@greencentury.com.

Online Access.    Information on your account is available on our website at www.greencentury.com.    From the home page, click on Access My Account. Shareholders may also perform online transactions on the site. While there, please consider registering for e-delivery of your statements and other Fund documents.

Twitter.    Green Century is on Twitter. Follow us at Twitter.com/Green_Century for a sustainable investor’s perspective on critical issues.

 

The Green Century Funds’ proxy voting guidelines and a record of the Funds’ proxy votes for the year ended June 30, 2021 are available without charge, upon request, (i) at www.greencentury.com, (ii) by calling 1-800-934-7336, (iii) by sending an e-mail to info@greencentury.com, and (iv) on the Securities and Exchange Commission’s website at www.sec.gov.

 

The Green Century Funds file their complete schedule of portfolio holdings with the SEC for the first and third quarters of the year on Form N-PORT, Part F. The Green Century Funds’ Forms N-PORT, Part F are available on the EDGAR database on the SEC’s website at www.sec.gov. Copies may be obtained upon payment of a duplicating fee, by writing the SEC’s Public Reference Section, Washington DC 20549-0102 or by electronic request at the following e-mail address: publicinfo@sec.gov. The information on Form N-PORT, Part F may also be obtained by calling us at 1-800-934-7336, or by e-mailing a request to info@greencentury.com.

 

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MANAGEMENT’S DISCUSSION OF FUND PERFORMANCE

GREEN CENTURY BALANCED FUND

Investment Objective    The Green Century Balanced Fund seeks capital growth and income from a diversified portfolio of stocks and bonds that meet Green Century’s standards for corporate environmental responsibility.

Portfolio Orientation    As of the fiscal year ended July 31, 2021 the Green Century Balanced Fund (the Balanced Fund or the Fund) was diversified in a number of ways. Equity holdings represented 66.0% and

bonds constituted 32.4% of the Fund’s net asset value. The Fund had 1.4% invested in cash, cash equivalents, and other assets, less liabilities. The portfolio managers view equities as the primary source of potential long-term growth, while emphasizing the importance of diversification in seeking to lower volatility. The Fund’s equity holdings were diversified across 72 equity holdings at fiscal year-end, none of which represented more than 3.8% of total net assets. Generally, larger, more established companies constitute larger positions in the Fund’s portfolio than smaller companies. The portfolio managers seek to mitigate risk by investing primarily in companies they believe have demonstrated records of profitability, above-average growth prospects, and reasonable valuations.

As of July 31, the stocks held by the Balanced Fund were also diversified by sector, with (as a percent of total net assets) Technology (19.8%), Consumer Discretionary (9.3%), Financials (7.9%), and Health Care (7.9%) as the largest sectors

In line with its environmental mandate, the Fund had exposure to what Green Century considers

 

GREEN CENTURY BALANCED FUND

INVESTMENT BY INDUSTRY (unaudited)

 

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environmental leaders in a number of industries including Healthy Living, Capital Goods, and Transportation. Green Century’s environmental screens prohibit traditional energy and utility companies from being owned, while the Fund has broad exposure to information technology, health care, financial, consumer, and industrial companies.

In addition to its equity exposure to environmental leaders, the Fund invests in designated Green Bonds and designated Social Impact Bonds. The issuers of Green Bonds have indicated that the proceeds from the bonds will be used for environmentally positive goals such as greenhouse gas reduction, climate adaptation, and climate change mitigation. Issuers of designated Social Impact Bonds have indicated that the proceeds from the bonds will be used for projects supporting such issues as poverty alleviation, low-income housing, fair trade, and community development. As of July 31st, 23.2% of the total portfolio and 71.7% of the market value of the bonds held in the Fund were designated Green / Sustainable or Social Impact Bonds.

Higher quality, intermediate maturity bonds can typically lower volatility and provide a stable source of income. At fiscal year end, the Balanced Fund held 56 bonds diversified across corporate and government agency issuers. In an effort to dampen volatility, the weighted average maturity (5.24 years) and modified duration (4.40 years) remain in the intermediate-range. The weighted average yield to maturity was 1.08%. All fixed income holdings were investment grade at time of purchase and remain investment grade at July 31, 2021.

Economic Environment    As the U.S. economy largely reopened, and investors began to experience reopening rather than just anticipating what that reopening would mean, climbing equity markets worldwide masked continuing market rotation, and mean-reversion dominated both equity and bond markets. The Coronavirus pandemic upended the world in multiple ways, reducing the relevance of the past. Policy frameworks governing fiscal and monetary policy shifted; households, companies, and schools all restructured how jobs were performed, responsibilities were fulfilled, and knowledge was shared. Compared with the great recession around 2008, bold and extraordinary fiscal and monetary policy measures cushioned the market effects of the pandemic. Broad-based and inclusive fiscal policy supported wealth and income at the bottom of the income distribution, rather than focusing on preserving financial institutions, as did policies in the previous recession. Fiscal policy worked: during the pandemic, income-targeted relief improved adult food security and improved consumer balance sheets. A concerted effort on vaccination seems to have reached most of those willing to be vaccinated, but the substantial as-yet-unvaccinated population remains vulnerable to new viral strains. The shockingly large job losses of early 2020 were largely reversed, although 2.5 million men and 3.7 million women were still unemployed as of June, 2021. Job recoveries are now at 75% of the initial job losses. Businesses report that employees are difficult to find and average hourly wages for lower-wage workers have increased; nonetheless, labor participation rates are rising slowly.

The Balanced Fund’s portfolio managers hope that this record of policy successes will encourage further use of active policies. The managers are not surprised that reopening and restarting a modern, complex, integrated worldwide economy with tightly controlled supply chains and high levels of specialization has been bumpy; they would have been surprised if it were not. Supply chains were massively disrupted, as some businesses closed temporarily, others permanently, and transportation delays and order backlogs mounted. Widespread supply disruptions fostered extreme price spikes in a variety of goods, including

 

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used cars, airline tickets, and commodities such as lumber. Not surprisingly, markets continued to work, as higher prices for commodities such as lumber induced increased supply and also curtailed demand. Supply chains and transportation networks take time to re-establish, but businesses have strong incentives to do so. While these supply-chain-disruption fueled price changes are disconcerting, they will not result in either a general rise in prices or a sustained process of inflation unless aggregate demand substantially exceeds aggregate supply.

Investors initiating reflation trades pushed interest rates up and bid up prices on small cap stocks and cyclical sectors, which should benefit from improving growth and price pressures. A run of higher-than-target monthly inflation readings fueled knee-jerk reactions that galloping inflation was imminent, and that the Fed’s newly launched Flexible Average Inflation Target policy guaranteed that the Fed would inevitably be too late to raise interest rates, requiring it to overcorrect and end the recovery. The Fed’s Rorshach Test of a June meeting seemed to reassure inflation-skittish investors that the Fed is indeed paying attention, and will not keep short-term rates near zero indefinitely, while providing plenty of room for more dovish investors to believe that the Fed does not yet intend to begin raising interest rates for some time.

The Fund’s portfolio managers are concerned by the rapidly spreading Delta variant, as well as by the clear urban/rural divide in vaccination rates and the slowing rates of new vaccinations in the U.S. The Biden Administration clearly wants to tackle the intersectional crises of climate change, structural racism, and wealth inequality. So far, legislative gridlock has blocked much progress on key policy objectives such as infrastructure, where we are finally beginning to see some agreement, or the American Jobs Plan. House and Senate leaders will require extraordinary political skill to get Biden’s priorities funded.

The Balanced Fund’s portfolio managers’ policy recommendation in this murky environment is to avoid positioning extremes and acknowledge that an environment of high uncertainty means an increased likelihood of rapid rotation, as market participants grasp at informational straws. They remain committed to the Fund’s long-term focus and investment in high-quality and sustainability-centered companies seeking to meet the challenges of this year of recovery and transition, and beyond. Their belief in the importance of ESG is unabated, as they are convinced more than ever of the importance of integrating beyond-financial environmental, social and governance concerns into investment decisions.

Investment Strategy and Performance.    Green Century believes that strong environmental, social, and governance practices may enhance corporate profitability and reduce certain types of risks. The Fund specifically avoid risks associated with exposure to fossil fuels. Companies with strong balance sheets, strategic leadership in their products and markets, and strong environmental, social, and governance policies will have the financial flexibility and leadership wisdom to navigate choppy and volatile economic conditions.

The Balanced Fund holds a number of stocks that the portfolio managers believe have attractive environmental, social, and financial characteristics. New holdings over the reporting period include Bright Horizons1 and Solar Edge.1 Bright Horizons provides on-site child care, educational assistance programs, and back-up care services primarily through corporate clients who provide this as benefits for employees. Solar Edge is a solar inverter company with a global footprint and leading technology positioned to benefit with the policy support for renewable energy transition.

 

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At July 31, 2021, the Fund held over $95 million in Green / Sustainability or Social Impact Bonds and Notes. Some holdings include notes issued by Boston Properties,1 Starbucks,1 PNC Bank,1 Apple,1 Xylem,1 European Investment Bank,1 and Enterprise Community Loan Fund.1

For the year ending July 31, 2021, the Balanced Fund’s returns were 25.14% for the institutional share class and 24.86% for the individual share class, outperforming the 21.58% return for its Custom Balanced Index,2 an index comprised of the S&P 1500 Index3 (60% weighting) and of the BofA Merrill Lynch 1-10 Year US Corporate and Government Index4 (40% weighting).*

Within the Discretionary sector, the Fund’s exposure to Target1 for the twelve-month period, helped provide strong relative returns, as did Nike.1 In Financials, the Fund saw above market performance from East West Bankcorp1 and SVB Financial.1 The Fund’s Health Care exposure detracted from relative performance over the year, particularly Astrazeneca1 and Baxter.1

The Fund’s high quality fixed income exposure performed relatively in-line with the benchmark as designed, providing slight outperformance. The Fund’s portfolio managers do not anticipate any significant changes in investment strategy for the Fund, believing that the investment environment may be favorable to the Fund’s core holdings in what the portfolio managers consider high-quality, environmentally responsible companies with strong growth prospects and reasonable valuations.

 

Green Century Balanced Fund

Total expense ratio: 1.46% for Individual Share Class and 1.16% for
Institutional Share Class

 CUMULATIVE
RETURN*
  AVERAGE ANNUAL RETURN* 
 Latest
Quarter
  One Year  Five Years  Ten Years 
June 30, 2021 

Green Century Balanced Fund — Individual Share Class

  
6.44%
 
  
26.74%
 
  
12.08%
 
  
9.59%
 
 

Green Century Balanced Fund — Institutional Share Class **

  6.53%   26.99%   12.13%   9.61% 
  Custom Balanced Index  5.27%   24.06%   11.59%   10.03% 
July 31, 2021 

Green Century Balanced Fund — Individual Share Class

  
5.05%
 
  
24.86%
 
  
11.71%
 
  
10.08%
 
 Green Century Balanced Fund — Institutional Share Class **  5.14%   25.14%   11.76%   10.11% 
  Custom Balanced Index  3.47%   21.58%   11.41%   10.28% 

* The performance data quoted represents past performance and is not a guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance information quoted. To obtain Fund prices and performance information as of the most recent month-end, call 1-800-93-GREEN/1-800-934-7336. Performance includes the reinvestment of income dividends and capital gain distributions. Performance shown does not reflect the deduction of taxes that a shareholder might pay on Fund distributions or the redemption of Fund shares. A redemption fee of 2.00% may be imposed on redemptions or exchanges of shares you have owned for 60 days or less. Please see the prospectus for more information.

** Institutional Shares were offered as of November 28, 2020. The Institutional Share Class performance prior to November 28, 2020 reflects the performance of the Fund’s Individual Investor Class.

 

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The Balanced Fund consistently includes stocks and bonds of what Green Century believes to be environmentally responsible corporations of various sizes, including small, medium, and large companies. The value of the stocks held in the Balanced Fund will fluctuate in response to factors that may affect the single issuer, industry, or sector of the economy or may affect the market as a whole. Bonds are subject to a variety of risks including interest rate, credit, and inflation risk. The Funds’ environmental criteria limit the investments available to the Funds compared to mutual funds that do not use environmental criteria.

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The S&P 500® Index5 and the S&P Supercomposite 1500 Index (the S&P 1500 Index) are unmanaged indexes of 500 and 1500 stocks, respectively. The Custom Balanced Index is comprised of a 60% weighting in the S&P 1500 Index and a 40% weighting in the BofA Merrill Lynch 1-10 Year US Corporate & Government Index (the BofA Merrill Lynch Index). The BofA Merrill Lynch Index tracks the performance of U.S. dollar-denominated investment grade government and corporate public debt issued in the U.S. domestic bond market with at least 1 year and less than 10 years remaining maturity, including U.S. Treasury, U.S. Agency, foreign government, supranational and corporate securities. Similar to the Balanced Fund, the performance of the S&P 500® Index, the S&P 1500 Index, the Custom Balanced Index and the BofA Merrill Lynch Index reflect reinvestment of dividends and distributions. Unlike the Fund, however, the performance of the S&P 500® Index, the S&P 1500 Index, the Custom Balanced Index and the BofA Merrill Lynch Index does not include management and other operating expenses. It is not possible to invest directly in an index.

 

 

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MANAGEMENT’S DISCUSSION OF FUND PERFORMANCE

GREEN CENTURY EQUITY FUND

Investment Objective    The Green Century Equity Fund (the Equity Fund or the Fund) seeks to achieve long-term total return that matches the performance of an index comprised of the stocks of companies selected based on environmental, social and governance criteria.

Portfolio Orientation    The Fund seeks to achieve its objective by investing in the stocks which make up the MSCI KLD 400 Social ex Fossil Fuels Index6 (the KLD400 ex Fossil Fuels Index or the Index), a custom index calculated by MSCI, Inc. The KLD400 ex Fossil Fuels Index is comprised of the common stocks of the approximately 400 companies in the MSCI KLD 400 Social Index (the KLD400 Index), minus the stocks of the companies that explore for, extract, produce, manufacture, or refine coal, oil or gas that are included in the KLD400 Index. The Index also does not include companies that produce or transmit electricity derived from fossil fuels, transmit natural gas, or own carbon reserves.

The KLD400 Index, formerly named the Domini 400 Social Index, is the longest-running socially responsible index. Like other index funds, the Equity Fund is not actively managed in the traditional investment sense, but rather seeks to be nearly fully invested at all times in a broad and diverse portfolio of stocks which meet certain environmental, social and governance (ESG) criteria. The Equity Fund, like many other mutual funds invested primarily in stocks, carries the risk of investing in the stock market. The large companies in which the Equity Fund is invested may perform worse than the stock market as a whole. The Fund’s environmental criteria limit the investments available to the Fund compared to mutual funds that do not use environmental criteria.

The Fund invests in the stocks of companies selected for inclusion in the Index based on a thorough review of environmental, social, and governance factors and includes

 

GREEN CENTURY EQUITY FUND

INVESTMENT BY INDUSTRY (unaudited)

 

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those companies believed to have the best overall sustainability records. Green Century believes that certain industries impose unique and onerous risks and/or costs on society. Companies involved in these industries are evaluated based on their level of involvement as well as the impact of that involvement on society. Therefore, companies that derive significant revenues from the manufacture of tobacco products, alcoholic beverages, genetically modified organisms (GMOs), or the operation of gambling enterprises; or have a significant direct ownership share in, operate or design nuclear power plants are not eligible for the Index. Major military contractors and firearms manufacturers are also ineligible. The Index excludes all companies that explore for, extract, produce, manufacture, or refine coal, oil or gas. The Index also does not include companies that produce or transmit electricity derived from fossil fuels, transmit natural gas, or own carbon reserves.

Investment Strategy and Performance    Green Century believes that companies that minimize their negative social and environmental impact and follow governance standards could enjoy competitive advantages and be less likely to incur certain legal liabilities that may be assessed when a product or service is determined to be harmful. Green Century also believes that such investments may, over the long term, provide investors with a return that is competitive with enterprises that do not exhibit such social and environmental awareness.

The Equity Fund’s total return for the latest quarter ended July 31, 2021 was 6.21% for the individual share class and 6.30% for the institutional share class, outperforming the S&P 500® Index that returned 5.50% for the same period. Additional results for various time periods are below:*

 

Green Century Equity Fund

Total expense ratio: 1.25% for Individual Share Class and 0.95% for
Institutional Share Class

 CUMULATIVE
RETURN*
  AVERAGE ANNUAL RETURN* 
 Latest
Quarter
  One Year  Five Years  Ten Years 
June 30, 2021 

Green Century Equity Index Fund — Individual Share Class

  
8.55%
 
  
40.25%
 
  
18.15%
 
  
14.44%
 
 Green Century Equity Fund — Institutional Share Class  8.64%   40.66%   18.38%   14.54% 
  S&P 500® Index  8.55%   40.79%   17.65%   14.84% 
July 31, 2021 

Green Century Equity Index Fund — Individual Share Class

  
6.21%
 
  
37.90%
 
  
17.82%
 
  
15.04%
 
 Green Century Equity Fund — Institutional Share Class  6.30%   38.33%   18.05%   15.15% 
  S&P 500® Index  5.50%   36.45%   17.35%   15.35% 

* The performance data quoted represents past performance and is not a guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance information quoted. To obtain Fund prices and performance information as of the most recent month-end, call 1-800-93-GREEN/1-800-934-7336. Performance includes the reinvestment of income dividends and capital gains distributions. Performance shown does not reflect the deduction of taxes that a shareholder might pay on Fund distributions or the redemption of Fund shares. A redemption fee of 2.00% may be imposed on redemptions or exchanges of shares you have owned for 60 days or less. Please see the prospectus for more information. As of April 1, 2014, the Equity Fund invests in the common stocks which make up the MSCI KLD 400 Social ex Fossil Fuels Index; prior to April 1, 2014, the Fund invested in the common stocks which made up the MSCI KLD 400 Social Index. Institutional shares were offered as of April 30, 2018. The Institutional Share Class performance for periods prior to April 30, 2018 reflects the performance of the Fund’s Individual Investor Class.

For the year ended July 31, 2021, the Equity Fund Institutional and Investor share classes returned 38.33% and 37.90%, respectively, outperforming the S&P 500 Index which returned 36.45%. As the MSCI KLD 400

 

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Social ex Fossil Fuels Index does not include all of the stocks in the S&P 500® Index and includes some stocks not included in the S&P 500® Index, the performance of the Fund can be expected to differ from the performance of the broader benchmark.

The strongest performing sectors in the Equity Fund were Consumer Discretionary, Financials, and Communication Services which returned 62.82%, 48.94% and 48.03%, respectively. The worst performing sectors were Utilities and Consumer Staples, which returned 15.34% and 15.79%, respectively, for the

year. Within the S&P 500 Index, Financials, Industrials, and Energy were the strongest performing sectors, gaining 55.23%, 46.25%, and 44.41%, respectively. The worst performing sectors were Utilities and Consumer Staples, which returned 11.99% and 18.22%, respectively, for the year.

After a challenging beginning to 2020 due to the pandemic , the equity markets had a strong rebound. US domestic equities continued to outperform Non-US developed markets international equities as measured by the S&P 500 and MSCI World Ex-USA indices with 1 year returns of 36.45% and 31.00% respectively. A strong global recovery has taken place over the past year as both US and Non-US economies reopen and fiscal spending kicked in, benefitting equity securities. Many economic indicators, including employment, consumer spending, manufacturing, and housing data continued to recover steadily over the year. Continued fiscal and monetary support along with declining rates of COVID-19 infection bolstered investor confidence.

 

 

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The S&P 500® Index is an unmanaged index of 500 stocks. Similar to the Equity Fund, the S&P 500® Index’s performance reflects reinvestment of dividends and distributions. Unlike the Fund, however, the S&P 500® Index’s performance does not include management and other operating expenses. It is not possible to invest directly in an index.

 

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MANAGEMENT’S DISCUSSION OF FUND PERFORMANCE

GREEN CENTURY MSCI INTERNATIONAL INDEX FUND

Investment Objective    The Green Century MSCI International Index Fund (the International Fund or the Fund) seeks to achieve long-term total return that matches the performance of an index comprised of the stocks of foreign companies selected based on environmental, social and governance criteria.

Portfolio Orientation    The Fund seeks to achieve its objective by investing in the stocks included in the MSCI World ex USA SRI ex Fossil Fuels Index7 (the Index), a custom index calculated by MSCI, Inc. The Index is comprised of the common stocks of the approximately 240 companies in the MSCI World ex USA SRI Index,8 minus the stocks of the companies that explore for, extract, process, refine or distribute coal, oil or gas. The Index also does not include companies that produce or transmit electricity derived from fossil fuels, transmit natural gas, or own carbon reserves.

The International Fund is the only responsible, diversified fossil fuel free international index fund available in the U.S. The Fund is also broadly diversified and responsibly screened. Like other index funds, the International Fund is not actively managed in the traditional investment sense, but rather seeks to be nearly fully invested at all times in a broad and diverse portfolio of stocks which meet certain environmental, social and governance (ESG) criteria.

The Fund invests in the stocks of companies selected for inclusion in the Index based on a thorough review of environmental, social, and governance factors and includes those companies believed to have the best overall sustainability records. Green Century believes that certain industries impose unique and onerous risks and/or costs on society. Companies involved in these industries are evaluated based on their level of involvement as well as the impact of that involvement on

 

GREEN CENTURY MSCI INTERNATIONAL INDEX FUND

INVESTMENT BY COUNTRY (unaudited)

 

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society. Therefore, companies that derive significant revenues from the manufacture of tobacco products, alcoholic beverages, genetically modified organisms (GMOs), or the operation of gambling enterprises; or have a significant direct ownership share in, operate or design nuclear power plants are not eligible for the Index. Major military contractors and firearms manufacturers are also ineligible. The Index excludes all companies that explore for, extract, produce, manufacture, or refine coal, oil or gas. The Index also does not include companies that produce or transmit electricity derived from fossil fuels, transmit natural gas, or own carbon reserves.

Investment Strategy and Performance    Green Century believes that companies that minimize their negative social and environmental impact and follow governance standards could enjoy competitive advantages and be less likely to incur certain legal liabilities that may be assessed when a product or service is determined to be harmful. Green Century also believes that such investments may, over the long term, provide investors with a return that is competitive with enterprises that do not exhibit such social and environmental awareness.

International markets have continued to perform well recently; both share classes of the International Fund outperformed its benchmark for the latest quarter ended July 31, 2021. The Fund’s total return was 5.24% for the individual share class and 5.22% for the institutional share class for this period, while the MSCI World ex USA Index8 returned 3.10% for the same period. Additional results for various time periods are below:*

 

Green Century MSCI International Fund

Total expense ratio: 1.28% for Individual Share Class and 0.98% for
Institutional Share Class

 CUMULATIVE
RETURN*
  AVERAGE ANNUAL RETURN* 
 

Inception Date:

September 30, 2016

 
 Latest
Quarter
  One Year  Three Years  Since
Inception
 
June 30, 2021 

Green Century MSCI International Index Fund — Individual Share Class

  6.24%   30.25%   10.62%   9.82% 
 Green Century MSCI International Index Fund — Institutional Share Class  6.37%   30.67%   10.97%   10.13% 
 MSCI World ex USA Index  5.65%   33.60%   8.57%   9.52% 
July 31, 2021 

Green Century MSCI International Index Fund — Individual Share Class

  5.24%   28.76%   10.34%   10.07% 
 Green Century MSCI International Index Fund — Institutional Share Class  5.22%   29.09%   10.66%   10.36% 
 MSCI World ex USA Index  3.10%   31.00%   7.94%   9.50% 

* The performance data quoted represents past performance and is not a guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance information quoted. To obtain Fund prices and performance information as of the most recent month-end, call 1-800-93-GREEN/1-800-934-7336. Performance includes the reinvestment of income dividends and capital gains distributions. Performance shown does not reflect the deduction of taxes that a shareholder might pay on Fund distributions or the redemption of Fund shares. A redemption fee of 2.00% may be imposed on redemptions or exchanges of shares you have owned for 60 days or less. Please see the prospectus for more information.

 

14


The institutional and individual investor share classes of the Green Century MSCI International Index Fund, which closely tracks the MSCI World ex USA SRI ex Fossil Fuels Index, returned 29.09% and 28.76%, respectively, for the one-year period ended July 31, 2021, while the MSCI World ex USA Index (Index), returned 31.00% during the same period.

The difference in performance of the International Fund relative to the Index was largely due to differences in sector allocation and stock selection criteria between the International Fund and the Index.

The strongest performing sectors in the International Fund were Information Technology, Consumer Discretionary, and Financials which returned 43.47%, 42.30% and 37.64%, respectively. The worst performing sectors were Consumer Staples and Health Care, which returned 14.02% and 20.12%, respectively, for the year. Within the MSCI World ex USA Index, Consumer Discretionary, Financials, and Industrials were the strongest performing sectors, gaining 48.45%, 42.99%, and 40.68%, respectively. The worst performing sectors were Utilities and Health Care which returned 9.73% and 12.58%, respectively, for the year.

After a challenging beginning to 2020 due to the pandemic, the equity markets had a strong rebound. US domestic equities continued to outperform Non-US developed markets international equities as measured by the S&P 500 and MSCI World Ex US indices with 1 year returns of 36.45% and 31.00% respectively. A strong

 

LOGO

 

LOGO

The MSCI World ex USA Index is a custom index calculated by MSCI Inc. The MSCI World ex USA Index includes large and mid-cap stocks across 22 of 23 Developed Markets (DM) countries and excludes the United States. With 1,023 constituents, the index covers approximately 85% of the free float-adjusted market capitalization in each country. The MSCI World ex USA Index is a free float-adjusted market capitalization index. Unlike the Fund, the MSCI World ex USA Index’s performance does not include management and other operating expenses. It is not possible to invest directly in an index.

 

15


global recovery has taken place over the past year as both US and Non-US economies reopen and fiscal spending kicked in, benefitting equity securities. Many economic indicators, including employment, consumer spending, manufacturing, and housing data continued to recover steadily over the year. Continued fiscal and monetary support along with declining rates of COVID-19 infection bolstered investor confidence.

The International Fund, like many other mutual funds invested primarily in stocks, carries the risk of investing in the stock market. The large companies in which the International Fund is invested may perform worse than the stock market as a whole. The developed market ex-U.S. equities in which the International Fund is invested may also perform worse than the stock market as a whole. Foreign securities are subject to additional risks such as currency fluctuations, regional economic and political conditions, differences in accounting methods, and other unique risks compared to investing in securities of U.S. issuers. The International Fund will not shift concentration from one industry to another or from stocks to bonds or cash, in order to defend against a falling stock market. The Fund’s environmental criteria limit the investments available to the Fund compared to mutual funds that do not use environmental criteria.

 

 

1 As of July 31, 2021, the following companies comprised the listed percentages of each of the Green Century Funds:

 

Portfolio Holdings GREEN
CENTURY
BALANCED
FUND
  GREEN
CENTURY
EQUITY
FUND
  GREEN
CENTURY
INTERNATIONAL
INDEX FUND
 

WSP Global, Inc

  0.00  0.00  0.26

Union Pacific

  0.00  0.74  0.00

Starbucks

  1.90  0.72  0.00

The Coca-Cola Company

  0.00  1.18  0.39

Bright Horizons

  0.64  0.00  0.00

Solar Edge

  0.68  0.00  0.00

Boston Properties

  1.30  0.09  0.00

PNC Bank

  2.22  0.39  0.00

Apple

  5.14  0.00  0.00

Xylem

  1.77  0.12  0.00
Portfolio Holdings GREEN
CENTURY
BALANCED
FUND
  GREEN
CENTURY
EQUITY
FUND
  GREEN
CENTURY
INTERNATIONAL
INDEX FUND
 

European Investment Bank

  0.65  0.00  0.00

Enterprise Community Loan Fund

  0.77  0.00  0.00

Target

  1.25  0.66  0.00

Nike

  1.39  1.08  0.00

East West Bancorp

  0.75  0.00  0.00

SVB Financial

  0.95  0.16  0.00

Astrazeneca

  0.97  0.00  0.00

Baxter

  0.55  0.00  0.00
 

 

Portfolio composition will change due to ongoing management of the Funds. Please refer to the Green Century Funds website for current information regarding the Funds’ portfolio holdings. Note that some of the holdings discussed above may not have been held by any Fund during the fiscal year ended July 31, 2021, or may have been held by a Fund for a portion of the fiscal year, or may have been held by a Fund for the entire fiscal year. These holdings are subject to risk as described in the Funds’ prospectus. References to specific investments should not be construed as a recommendation of the securities by the Funds, their administrator, or their distributor.

2 The Custom Balanced Index is comprised of a 60% weighting in the S&P 1500 Index and a 40% weighting in the BofA Merrill Lynch 1-10 Year US Corporate & Government Index (the BofA Merrill Lynch Index). It is not possible to invest directly in the Custom Balanced Index.

3 The S&P Supercomposite 1500 Index is an unmanaged broad-based capitalization-weighted index comprising 1500 stocks of large-cap, mid-cap, and small-cap U.S. companies. It is not possible to invest directly in the S&P Supercomposite 1500 Index.

4 The BofA Merrill Lynch Index tracks the performance of U.S. dollar-denominated investment grade government and corporate public debt issued in the U.S. domestic bond market with at least 1 year and less than 10 years remaining maturity, including U.S. treasury, U.S. agency, foreign government, supranational and corporate securities. It is not possible to invest directly in the BofA Merrill Lynch Index.

5 The S&P 500® Index is an unmanaged index of 500 selected common stocks, most of which are listed on the New York Stock Exchange. The S&P 500® Index is heavily weighted toward stocks with large market capitalization and represents approximately two-thirds of the total market value of all domestic stocks. It is not possible to invest directly in the S&P 500® Index.

 

16


6 The MSCI KLD 400 Social ex Fossil Fuels Index (the KLD400 ex Fossil Fuels Index) is a custom index calculated by MSCI Inc. The KLD400 ex Fossil Fuels Index is comprised of the common stocks of the approximately 400 companies in the MSCI KLD 400 Social Index (the KLD400 Index), minus the stocks of the companies that explore for, extract, produce, manufacture, or refine coal, oil or gas or produce or transmit electricity derived from fossil fuels or transmit natural gas or have carbon reserves that are included in the KLD400 Index. The KLD400 Index is a free float-adjusted market capitalization index designed to provide exposure to U.S. companies that have positive ESG characteristics and consists of approximately 400 companies selected from the MSCI USA Investable Market Index. It is not possible to invest directly in an index.

7 The World ex USA SRI ex Fossil Fuels Index is a custom index calculated by MSCI Inc. The World ex USA SRI ex Fossil Fuels Index is comprised of the common stocks of the companies in the MSCI World ex USA SRI Index (the World ex USA SRI Index), minus the stocks of the companies that explore for, extract, produce, manufacture or refine coal, oil or gas or produce or transmit electricity derived from fossil fuels or transmit natural gas or have carbon reserves that are included in the World ex USA SRI (Socially Responsible Investment) Index. The World ex USA SRI Index includes large and mid-cap stocks from approximately 22 Developed Markets countries (excluding the U.S.). The World ex USA SRI Index is a capitalization weighted index that provides exposure to companies with what MSCI calculates to have outstanding ESG ratings and excludes companies whose products have negative social or environmental impacts. It is not possible to invest directly in an index.

8 The MSCI World ex USA Index is a custom index calculated by MSCI Inc. The MSCI World ex USA Index includes large and mid-cap stocks across 22 of 23 Developed Markets countries and excludes the United States. With 1,023 constituents, the index covers approximately 85% of the free float-adjusted market capitalization in each country. The MSCI World ex USA Index is a free float-adjusted market capitalization index. It is not possible to invest directly in the MSCI World ex USA Index.

Stocks will fluctuate in response to factors that may affect a single company, industry, sector, country, region or the market as a whole and may perform worse than the market. Foreign securities are subject to additional risks such as currency fluctuations, regional economic and political conditions, differences in accounting methods, and other unique risks compared to investing in securities of U.S. issuers. Bonds are subject to a variety of risks including interest rate, credit, and inflation risk. A sustainable investment strategy which incorporates environmental, social and governance criteria may result in lower or higher returns than an investment strategy that does not include such criteria.

This material must be preceded or accompanied by a current prospectus.

Distributor: UMB Distribution Services, LLC 9/21

Neither the Green Century Equity Fund nor the Green Century MSCI International Index Fund (each a “Fund” and together the “Funds”) is sponsored, endorsed, or promoted by MSCI, its affiliates, information providers or any other third party involved in, or related to, compiling, computing or creating the MSCI indices (the “MSCI Parties”), and the MSCI Parties bear no liability with respect to a Fund or any index on which a Fund is based. The MSCI Parties are not sponsors of either of the Funds and are not affiliated with the Funds in any way. The Statement of Additional Information contains a more detailed description of the limited relationship the MSCI Parties have with Green Century Capital Management and the Funds.

 

17


GREEN CENTURY FUNDS EXPENSE EXAMPLE

For the six months ended July 31, 2021 (unaudited)

As a shareholder of the Green Century Funds (the “Funds”), you incur two types of costs: (1) transaction costs, including redemption fees on certain redemptions; and (2) ongoing costs, including management fees and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds.

The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period from February 1, 2021 to July 31, 2021 (the “period”).

Actual Expenses    The first line of the table below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 equals 8.6), then multiply the result by the number in the first line under the heading entitled “Expenses Paid During the Period” to estimate the expenses you paid on your account during the period.

Hypothetical Example for Comparison Purposes    The second line of the table below provides information about hypothetical account values and hypothetical expenses based on the Funds’ actual expense ratios and an assumed rate of return of 5% per year before expenses, which is not the actual return of either of the Funds. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Funds and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as redemption fees on shares held for 60 days or less. Therefore, the second line of the table is useful in comparing the ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs could have been higher.

 

  BEGINNING
ACCOUNT VALUE
FEBRUARY 1, 2021
  ENDING
ACCOUNT VALUE
JULY 31, 2021
  EXPENSES
PAID DURING
THE  PERIOD1
 

Balanced Fund

   

Actual Expenses — Individual Investor Class

 $1,000.00  $1,123.80  $7.69 

Actual Expenses — Institutional Class

  1,000.00   1,125.40   6.13 

Hypothetical Example, assuming a 5% return before expenses —Individual Investor Class

  1,000.00   1,017.75   7.31 

Hypothetical Example, assuming a 5% return before expenses —Institutional Class

  1,000.00   1,019.23   5.83 

 

18


  BEGINNING
ACCOUNT VALUE
FEBRUARY 1, 2021
  ENDING
ACCOUNT VALUE
JULY 31, 2021
   EXPENSES
PAID DURING
THE PERIOD1
 

Equity Fund

    

Actual Expenses — Individual Investor Class

 $1,000.00  $1,200.00   $6.82 

Actual Expenses — Institutional Class

  1,000.00   1,201.80    5.19 

Hypothetical Example, assuming a 5% return before expenses —Individual Investor Class

  1,000.00   1,018.80    6.26 

Hypothetical Example, assuming a 5% return before expenses —Institutional Class

  1,000.00   1,020.29    4.76 
  BEGINNING
ACCOUNT VALUE
FEBRUARY 1, 2021
  ENDING
ACCOUNT VALUE
JULY 31, 2021
   EXPENSES
PAID DURING
THE PERIOD1
 

MSCI International Index Fund

    

Actual Expenses — Individual Investor Class

 $1,000.00  $1,119.80   $6.73 

Actual Expenses — Institutional Class

  1,000.00   1,120.50    5.15 

Hypothetical Example, assuming a 5% return before expenses — Individual Investor Class

  1,000.00   1,018.65    6.41 

Hypothetical Example, assuming a 5% return before expenses — Institutional Class

  1,000.00   1,020.14    4.91 

1 Expenses are equal to the Funds’ annualized expense ratios (1.46% for the Balanced Fund Individual Investor Class, 1.16% for the Balanced Fund Institutional Class, 1.25% for the Equity Fund Individual Investor Class, 0.95% for the Equity Fund Institutional Class, 1.28% for the MSCI International Index Fund Individual Investor Class and 0.98% for the MSCI International Index Fund Institutional Class), multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).

 

19


GREEN CENTURY BALANCED FUND PORTFOLIO OF INVESTMENTS

July 31, 2021

 

 

COMMON STOCKS — 66.0%

 

   SHARES   VALUE 

Software & Services — 9.9%

    

Adobe, Inc. (a)

   8,785   $5,461,020 

Autodesk, Inc. (a)

   11,965    3,842,320 

Mastercard, Inc., Class A

   20,267    7,821,846 

Microsoft Corporation

   53,091    15,126,157 

PayPal Holdings, Inc. (a)

   21,075    5,806,795 

salesforce.com, Inc. (a)

   10,856    2,626,392 
    

 

 

 
     40,684,530 
    

 

 

 

Capital Goods — 6.6%

    

A.O. Smith Corporation

   36,108    2,539,476 

Deere & Company

   8,712    3,150,172 

Eaton Corporation PLC

   30,012    4,743,397 

Illinois Tool Works, Inc

   11,220    2,543,237 

Rockwell Automation, Inc

   8,926    2,744,031 

Trane Technologies PLC

   27,913    5,683,366 

Westinghouse Air Brake Technologies Corporation

   33,630    2,854,178 

Xylem, Inc

   21,084    2,653,421 
    

 

 

 
     26,911,278 
    

 

 

 

Banks — 4.8%

    

East West Bancorp, Inc

   43,189    3,072,898 

First Republic Bank

   26,159    5,101,528 

KeyCorp

   161,925    3,183,446 

PNC Financial Services Group, Inc. (The)

   24,069    4,390,426 

SVB Financial Group (a)

   7,117    3,914,065 
    

 

 

 
     19,662,363 
    

 

 

 

Technology Hardware & Equipment — 4.7%

 

Apple, Inc

   108,052    15,760,465 

Palo Alto Networks, Inc. (a)

   9,192    3,668,067 
    

 

 

 
     19,428,532 
    

 

 

 

Semiconductors — 3.8%

    

Analog Devices, Inc

   19,593    3,280,260 

ASML Holding NV (b)

   5,655    4,335,915 

Cree, Inc. (a)

   14,806    1,373,405 

NVIDIA Corporation

   23,176    4,519,088 

Xilinx, Inc

   13,861    2,076,932 
    

 

 

 
     15,585,600 
    

 

 

 
   SHARES   VALUE 

Media & Entertainment — 4.3%

    

Alphabet, Inc., Class A (a)

   5,297   $14,272,925 

Walt Disney Company (The) (a)

   19,650    3,458,793 
    

 

 

 
     17,731,718 
    

 

 

 

Pharmaceuticals & Biotechnology — 4.3%

 

  

AstraZeneca PLC ADR (b)

   69,516    3,979,096 

Illumina, Inc. (a)

   6,510    3,227,333 

IQVIA Holdings, Inc. (a)

   15,895    3,937,191 

Merck & Company, Inc

   27,300    2,098,551 

Roche Holding AG ADR (b)

   33,882    1,635,145 

Thermo Fisher Scientific, Inc

   4,789    2,586,108 
    

 

 

 
     17,463,424 
    

 

 

 

Retailing — 4.1%

    

Home Depot, Inc. (The)

   13,443    4,411,858 

Target Corporation

   19,709    5,145,034 

TJX Companies, Inc. (The)

   69,602    4,789,314 

Tractor Supply Company

   14,712    2,661,842 
    

 

 

 
     17,008,048 
    

 

 

 

Healthcare Equipment & Services — 3.7%

 

Anthem, Inc

   9,997    3,838,948 

Baxter International, Inc

   28,987    2,242,144 

CVS Health Corp

   31,621    2,604,306 

Medtronic PLC

   22,868    3,002,797 

Stryker Corporation

   12,760    3,457,194 
    

 

 

 
     15,145,389 
    

 

 

 

Consumer Durables & Apparel — 3.0%

 

Lululemon Athletica, Inc. (a)

   7,754    3,102,918 

NIKE, Inc., Class B

   34,009    5,696,848 

VF Corporation

   44,341    3,556,148 
    

 

 

 
     12,355,914 
    

 

 

 

Real Estate — 2.3%

    

American Tower Corporation REIT

   10,311    2,915,951 

AvalonBay Communities, Inc. REIT

   10,785    2,457,146 

Jones Lang LaSalle, Inc. (a)

   9,787    2,178,292 

Prologis, Inc. REIT

   14,215    1,820,089 
    

 

 

 
     9,371,478 
    

 

 

 

Renewable Energy & Energy Efficiency — 2.5%

 

First Solar, Inc. (a)

   34,146    2,937,922 

Hannon Armstrong Sustainable Infrastructure Capital, Inc. REIT

   56,516    3,210,109 
 

 

20


GREEN CENTURY BALANCED FUND PORTFOLIO OF INVESTMENTS

July 31, 2021

 continued

 

   SHARES   VALUE 

Renewable Energy & Energy Efficiency — (continued)

 

Ormat Technologies, Inc

   19,664   $1,371,367 

SolarEdge Technologies, Inc. (a)

   10,752    2,789,929 
    

 

 

 
     10,309,327 
    

 

 

 

Insurance — 1.7%

    

Aflac, Inc

   56,782    3,123,010 

Travelers Companies, Inc. (The)

   25,349    3,774,973 
    

 

 

 
     6,897,983 
    

 

 

 

Food & Staples Retailing — 1.7%

    

Costco Wholesale Corporation

   10,528    4,524,092 

Sysco Corporation

   30,845    2,288,699 
    

 

 

 
     6,812,791 
    

 

 

 

Materials — 1.5%

    

Ball Corporation

   28,637    2,316,161 

Ingevity Corporation (a)

   30,562    2,595,936 

International Flavors & Fragrances, Inc

   9,475    1,427,314 
    

 

 

 
     6,339,411 
    

 

 

 

Household & Personal Products — 1.4%

 

  

Procter & Gamble Company (The)

   17,374    2,471,104 

Unilever PLC ADR (b)

   56,418    3,245,728 
    

 

 

 
     5,716,832 
    

 

 

 

Consumer Services — 1.4%

    

Bright Horizons Family Solutions, Inc. (a)

   17,543    2,622,678 

Starbucks Corporation

   24,811    3,012,800 
    

 

 

 
     5,635,478 
    

 

 

 

Transportation — 1.0%

    

J.B. Hunt Transport Services, Inc

   9,336    1,572,649 

United Parcel Service, Inc., Class B

   14,085    2,695,306 
    

 

 

 
     4,267,955 
    

 

 

 

Utilities — 0.8%

    

American Water Works Company, Inc

   19,572    3,329,393 
    

 

 

 

Automobiles & Components — 0.8%

 

  

Aptiv PLC (a)

   18,441    3,076,881 
    

 

 

 

Diversified Financials — 0.6%

    

LPL Financial Holdings, Inc

   18,194    2,566,082 
    

 

 

 

Food & Beverage — 0.6%

    

McCormick & Company, Inc

   29,982    2,523,585 
    

 

 

 
   SHARES   VALUE 

Telecommunication Services — 0.5%

 

  

Verizon Communications, Inc

   36,932   $2,060,067 
    

 

 

 

Total Common Stocks
(Cost $133,778,486)

     270,884,059 
    

 

 

 
   PRINCIPAL
AMOUNT
     

BONDS & NOTES — 32.4%

 

Green and Sustainability Bonds — 20.3%

 

Apple, Inc.
2.85%, due 2/23/23 (c)

  $3,000,000    3,109,695 

Apple, Inc.
3.00%, due 6/20/27 (c)

   2,000,000    2,209,246 

Asian Development Bank
2.125%, due 3/19/25 (b)

   1,000,000    1,058,338 

Asian Development Bank
3.125%, due 9/26/28 (b)

   4,000,000    4,577,272 

Bank of Nova Scotia (The)
2.375%, due 1/18/23

   1,845,000    1,902,066 

BlueHub Loan Fund, Inc.
2.89%, due 1/1/27

   2,000,000    2,081,256 

Boston Properties LP
4.50%, due 12/1/28 (c)

   4,500,000    5,316,295 

Bridge Housing Corporation
3.25%, due 7/15/30 (c)

   4,500,000    4,813,155 

Century Housing Corporation
0.60%, due 2/15/24

   2,500,000    2,493,275 

Citigroup, Inc.
1.678% (SOFR Rate+166.7 basis points), due 5/15/24 (c)

   3,000,000    3,062,889 

City & County of San Francisco CA Community Facilities District No. 2014-1
2.75%, due 9/1/23

   650,000    672,923 

City of San Francisco CA Public Utilities Commission Water Revenue
2.806%, due 11/1/23

   2,000,000    2,105,224 

European Investment Bank
2.50%, due 10/15/24 (b)

   2,000,000    2,131,710 

European Investment Bank
2.125%, due 4/13/26 (b)

   500,000    534,427 

International Bank for Reconstruction & Development
2.125%, due 3/3/25 (b)

   2,000,000    2,113,448 
 

 

21


GREEN CENTURY BALANCED FUND PORTFOLIO OF INVESTMENTS

July 31, 2021

 continued

 

   PRINCIPAL
AMOUNT
   VALUE 

Green and Sustainability Bonds — (continued)

 

International Finance Corporation
2.125%, due 4/7/26 (b)

  $500,000   $533,748 

Korea Development Bank (The)
0.863% (3-Month USD Libor+72.5 basis points), due 7/6/22 (b)(d)

   1,250,000    1,256,558 

Kreditanstalt fuer Wiederaufbau
2.00%, due 11/30/21 (b)

   1,000,000    1,006,435 

National Australia Bank Ltd.
3.625%, due 6/20/23 (b)

   
2,000,000
 
   2,127,032 

Nederlandse Waterschapsbank NV
2.375%, due 3/24/26 (b)(e)

   1,000,000    1,076,352 

New Jersey Infrastructure Bank
3.00%, due 9/1/31

   2,500,000    2,776,358 

Nordic Investment Bank
2.25%, due 9/30/21 (b)

   1,500,000    1,505,313 

PNC Financial Services Group, Inc. (The)
2.20%, due 11/1/24 (c)

   4,500,000    4,725,859 

Prologis LP
1.25%, due 10/15/30 (c)

   4,500,000    4,315,149 

Regency Centers LP
3.75%, due 6/15/24 (c)

   2,000,000    2,143,526 

San Francisco Bay Area Rapid Transit District
2.622%, due 8/1/29

   2,000,000    2,191,362 

Starbucks Corporation
2.45%, due 6/15/26 (c)

   4,500,000    4,783,275 

United States International Development Finance Corporation
3.28%, due 9/15/29

   662,050    728,283 

United States International Development Finance Corporation
3.33%, due 5/15/33

   215,459    240,661 

United States International Development Finance Corporation
3.43%, due 6/1/33

   208,537    237,525 

United States International Development Finance Corporation
3.05%, due 6/15/35

   1,347,450    1,507,821 
   PRINCIPAL
AMOUNT
   VALUE 

Green and Sustainability Bonds — (continued)

 

United States International Development Finance Corporation
2.58%, due 7/15/38

  $3,000,000   $3,249,687 

Verizon Communications, Inc.
3.875%, due 2/8/29 (c)

   
3,500,000
 
   4,016,736 

Visa, Inc.
0.75%, due 8/15/27 (c)

   2,000,000    1,974,460 

Xylem, Inc.
2.25%, due 1/30/31 (c)

   4,500,000    4,614,952 
    

 

 

 
     83,192,311 
    

 

 

 

U.S. Government Agencies — 4.0%

 

  

Federal Farm Credit Banks Funding Corporation
1.625%, due 9/17/21

   3,000,000    3,005,928 

Federal Farm Credit Banks Funding Corporation
2.26%, due 11/13/24

   500,000    529,960 

Federal Farm Credit Banks Funding Corporation
1.82%, due 12/18/25

   3,000,000    3,156,693 

Federal Farm Credit Banks Funding Corporation
2.80%, due 11/12/27

   3,000,000    3,327,699 

Federal Home Loan Banks
0.25%, due 6/3/22

   3,500,000    3,504,868 

Federal Home Loan Banks
1.875%, due 12/9/22

   3,000,000    3,071,265 
    

 

 

 
     16,596,413 
    

 

 

 

Community Development Financial Institutions — 3.0%

 

Capital Impact Partners
2.60%, due 12/15/22

   2,000,000    2,016,434 

Capital Impact Partners
1.00%, due 9/15/25 (c)

   1,500,000    1,475,281 

Enterprise Community Loan Fund, Inc.
4.152%, due 11/1/28 (c)

   3,000,000    3,160,545 

Local Initiatives Support Corporation
1.00%, due 11/15/25

   2,000,000    1,971,932 

Local Initiatives Support Corporation
3.782%, due 3/1/27 (c)

   2,000,000    2,177,596 
 

 

22


GREEN CENTURY BALANCED FUND PORTFOLIO OF INVESTMENTS

July 31, 2021

 concluded

 

   PRINCIPAL
AMOUNT
   VALUE 

Community Development Financial
Institutions — (continued)

 

Reinvestment Fund, Inc. (The)
3.78%, due 2/15/26

  $1,400,000   $1,443,014 
    

 

 

 
     12,244,802 
    

 

 

 

Software & Services — 1.8%

    

Adobe, Inc.
3.25%, due 2/1/25 (c)

   3,500,000    3,792,593 

salesforce.com, Inc.
3.70%, due 4/11/28 (c)

   3,000,000    3,433,329 
    

 

 

 
     7,225,922 
    

 

 

 

Media & Entertainment — 1.1%

 

Alphabet, Inc.
1.998%, due 8/15/26 (c)

   3,500,000    3,688,353 

Oracle Corporation
2.50%, due 5/15/22 (c)

   1,000,000    1,013,626 
    

 

 

 
     4,701,979 
    

 

 

 

Capital Goods — 1.0%

    

Trane Technologies Luxembourg Finance SA
3.80%, due 3/21/29 (b)(c)

   3,500,000    4,000,794 
    

 

 

 

Diversified Financials — 0.8%

    

Bank of New York Mellon Corporation (The)
3.55%, due 9/23/21 (c)

   1,000,000    1,001,805 

State Street Corporation
3.10%, due 5/15/23

   2,000,000    2,099,220 
    

 

 

 
     3,101,025 
    

 

 

 

Insurance — 0.3%

    

Travelers Property Casualty Corporation
7.75%, due 4/15/26

   1,000,000    1,298,640 
    

 

 

 

Healthy Living — 0.1%

    

Whole Foods Market, Inc.
5.20%, due 12/3/25 (c)(e)

   500,000    587,991 
    

 

 

 

Total Bonds & Notes
(Cost $127,761,377)

     132,949,877 
    

 

 

 

SHORT-TERM INVESTMENTS — 1.4%

 

          VALUE 

UMB Money Market Fiduciary Account, 0.01% (f)
(Cost $5,757,388)

    $5,757,388 
    

 

 

 

Total Short-term Investments
(Cost $5,757,388)

     5,757,388 
    

 

 

 

TOTAL INVESTMENTS (g) — 99.8%

 

(Cost $267,297,251)

     409,591,324 

Other Assets Less Liabilities — 0.2%

     746,874 
    

 

 

 

NET ASSETS — 100.0%

    $410,338,198 
    

 

 

 

 

PLC – Public Limited Company

ADR – American Depository Receipt

REIT – Real Estate Investment Trusts

LP – Limited Partnership

(a)

Non-income producing security.

(b)

Securities whose value are determined or significantly influenced by trading in markets other than the United States or Canada.

(c)

Callable

(d)

Floating rate bond. Rate shown is currently in effect at July 31, 2021.

(e)

Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration to qualified institutional buyers. The total value of these securities is $1,664,343.

(f)

The rate quoted is the annualized seven-day yield of the fund at the period end.

(g)

The cost of investments for federal income tax purposes is $267,038,113 resulting in gross unrealized appreciation and depreciation of $143,162,851 and $609,640 respectively, or net unrealized appreciation of $142,553,211.

 

 

See Notes to Financial Statements

 

23


GREEN CENTURY EQUITY FUND PORTFOLIO OF INVESTMENTS

July 31, 2021

 

 

COMMON STOCKS — 99.7%

    
   SHARES   VALUE 

Software & Services — 24.7%

    

Accenture PLC, Class A (a)

   16,554   $5,258,875 

Adobe, Inc. (b)

   12,517    7,780,943 

ANSYS, Inc. (b)

   2,267    835,299 

Autodesk, Inc. (b)

   5,728    1,839,433 

Automatic Data Processing, Inc .

   11,157    2,338,842 

Cadence Design Systems, Inc. (b)

   7,251    1,070,610 

Citrix Systems, Inc

   3,224    324,818 

Cognizant Technology Solutions Corporation, Class A

   13,910    1,022,802 

Fortinet, Inc. (b)

   3,633    989,048 

International Business Machines Corporation

   23,315    3,286,482 

Intuit, Inc

   7,159    3,794,055 

Mastercard, Inc., Class A

   23,153    8,935,669 

Microsoft Corporation

   187,231    53,343,984 

NortonLifeLock, Inc

   15,245    378,381 

Okta, Inc., Class A (b)

   3,176    786,981 

Oracle Corporation

   50,000    4,357,000 

Paycom Software, Inc. (b)

   1,342    536,800 

PayPal Holdings, Inc. (b)

   29,053    8,004,973 

salesforce.com, Inc. (b)

   25,379    6,139,941 

ServiceNow, Inc. (b)

   5,128    3,014,700 

Splunk, Inc. (b)

   4,230    600,575 

Teradata Corporation (b)

   2,797    138,899 

Visa, Inc., Class A

   44,296    10,914,091 

VMware, Inc., Class A (b)

   2,221    341,457 

Western Union Company (The)

   10,846    251,736 

Workday, Inc., Class A (b)

   4,682    1,097,461 
    

 

 

 
     127,383,855 
    

 

 

 

Media & Entertainment — 10.2%

    

Alphabet, Inc., Class A (b)

   7,856    21,168,228 

Alphabet, Inc., Class C (b)

   7,703    20,832,147 

Discovery, Inc., Class A (b)

   4,085    118,506 

Discovery, Inc., Class C (b)

   7,959    215,769 

Electronic Arts, Inc

   7,538    1,085,171 

John Wiley & Sons, Inc., Class A .

   1,100    64,658 

Liberty Global PLC, Series A (a)(b)

   4,226    113,468 

Liberty Global PLC, Series C (a)(b)

   9,642    258,984 

New York Times Company (The), Class A

   3,953    173,062 

Omnicom Group, Inc

   5,654    411,724 

Scholastic Corporation

   689    23,157 
   SHARES   VALUE 

Media & Entertainment — (continued)

 

Walt Disney Company (The) (b)

   47,402   $8,343,700 
    

 

 

 
     52,808,574 
    

 

 

 

Semiconductors — 6.9%

    

Advanced Micro Devices, Inc. (b)

   31,709    3,367,178 

Analog Devices, Inc

   9,609    1,608,739 

Applied Materials, Inc

   23,941    3,350,064 

Intel Corporation

   106,075    5,698,349 

Lam Research Corporation

   3,739    2,383,276 

Microchip Technology, Inc

   7,056    1,009,855 

NVIDIA Corporation

   64,688    12,613,513 

ON Semiconductor Corporation (b)

   10,868    424,504 

Skyworks Solutions, Inc

   4,323    797,637 

Texas Instruments, Inc

   24,018    4,578,311 
    

 

 

 
     35,831,426 
    

 

 

 

Pharmaceuticals & Biotechnology — 6.3%

 

  

AbbVie, Inc

   46,097    5,361,081 

Agilent Technologies, Inc

   7,997    1,225,380 

Amgen, Inc

   15,070    3,640,008 

Biogen, Inc. (b)

   3,982    1,301,039 

BioMarin Pharmaceutical, Inc. (b)

   4,729    362,856 

Bio-Techne Corporation

   1,014    488,991 

Bristol-Myers Squibb Company

   58,466    3,968,087 

Gilead Sciences, Inc

   32,804    2,240,185 

Illumina, Inc. (b)

   3,820    1,893,765 

IQVIA Holdings, Inc. (b)

   4,990    1,236,023 

Jazz Pharmaceuticals PLC (a)(b)

   1,605    272,080 

Merck & Company, Inc

   66,047    5,077,033 

Mettler-Toledo International, Inc. (b)

   613    903,384 

Vertex Pharmaceuticals, Inc. (b)

   6,800    1,370,744 

Waters Corporation (b)

   1,633    636,560 

Zoetis, Inc

   12,431    2,519,764 
    

 

 

 
     32,496,980 
    

 

 

 

Capital Goods — 5.6%

    

3M Company

   15,106    2,990,082 

A.O. Smith Corporation

   3,565    250,726 

AGCO Corporation

   1,689    223,134 

Air Lease Corporation, Class A

   2,748    116,405 

Allegion PLC (a)

   2,404    328,386 

Applied Industrial Technologies, Inc

   995    89,252 

Builders FirstSource, Inc. (b)

   5,131    228,330 
 

 

24


GREEN CENTURY EQUITY FUND PORTFOLIO OF INVESTMENTS

July 31, 2021

 continued

 

   SHARES   VALUE 

Capital Goods — (continued)

 

Caterpillar, Inc

   14,225   $2,941,019 

Cummins, Inc

   3,859    895,674 

Deere & Company

   7,789    2,816,425 

Dover Corporation

   3,783    632,215 

Eaton Corporation PLC

   10,413    1,645,775 

EMCOR Group, Inc

   1,421    173,092 

Fastenal Company

   14,912    816,730 

Flowserve Corporation

   3,349    140,959 

Fortive Corporation

   8,424    612,088 

Fortune Brands Home & Security, Inc

   3,639    354,693 

Graco, Inc

   4,413    344,567 

Granite Construction, Inc

   1,156    44,414 

H&E Equipment Services, Inc

   905    30,797 

IDEX Corporation

   1,974    447,486 

Illinois Tool Works, Inc

   8,287    1,878,414 

Lennox International, Inc

   884    291,216 

Lincoln Electric Holdings, Inc

   1,514    211,097 

Masco Corporation

   6,745    402,744 

Meritor, Inc. (b)

   1,936    47,103 

Middleby Corporation (The) (b)

   1,459    279,384 

Owens Corning

   2,751    264,536 

PACCAR, Inc

   9,117    756,620 

Parker-Hannifin Corporation

   3,388    1,057,158 

Quanta Services, Inc

   3,646    331,421 

Rockwell Automation, Inc

   3,041    934,864 

Roper Technologies, Inc

   2,732    1,342,341 

Sensata Technologies Holding NV (b)

   4,175    244,738 

Snap-on, Inc

   1,421    309,750 

Spirit AeroSystems Holdings, Inc., Class A

   2,711    117,142 

Stanley Black & Decker, Inc

   4,224    832,339 

Tennant Company

   432    34,180 

Timken Company (The)

   1,814    144,213 

Trane Technologies PLC (a)

   6,250    1,272,562 

United Rentals, Inc. (b)

   1,890    622,849 

W.W. Grainger, Inc

   1,167    518,825 

Westinghouse Air Brake Technologies Corporation

   4,686    397,701 

Xylem, Inc

   4,726    594,767 
    

 

 

 
     29,008,213 
    

 

 

 

Diversified Financials — 4.6%

    

Ally Financial, Inc

   9,791    502,866 

American Express Company

   17,861    3,045,836 
   SHARES   VALUE 

Diversified Financials — (continued)

 

Ameriprise Financial, Inc

   3,031   $780,664 

Bank of New York Mellon Corporation (The)

   21,884    1,123,306 

BlackRock, Inc

   3,982    3,453,071 

Charles Schwab Corporation (The)

   37,620    2,556,279 

CME Group, Inc

   9,401    1,994,234 

Equitable Holdings, Inc

   10,283    317,436 

FactSet Research Systems, Inc

   995    355,494 

Franklin Resources, Inc

   7,882    232,913 

Intercontinental Exchange, Inc

   14,633    1,753,472 

Invesco Ltd

   10,214    249,017 

Moody’s Corporation

   4,401    1,654,776 

Northern Trust Corporation

   5,176    584,112 

S&P Global, Inc

   6,277    2,691,076 

State Street Corporation

   9,201    801,775 

T. Rowe Price Group, Inc

   5,930    1,210,669 

Voya Financial, Inc

   3,236    208,398 
    

 

 

 
     23,515,394 
    

 

 

 

Retailing — 4.5%

    

AutoNation, Inc. (b)

   1,388    168,406 

Best Buy Company, Inc

   6,091    684,324 

Booking Holdings, Inc. (b)

   1,072    2,335,095 

Buckle, Inc. (The)

   702    29,540 

CarMax, Inc. (b)

   4,257    570,225 

Foot Locker, Inc

   2,529    144,305 

GameStop Corporation, Class A (b)

   1,463    235,719 

Gap, Inc. (The)

   5,994    174,845 

Home Depot, Inc. (The)

   28,114    9,226,734 

Kohl’s Corporation

   4,152    210,922 

LKQ Corporation (b)

   7,631    387,273 

Lowe’s Companies, Inc

   19,074    3,675,369 

Nordstrom, Inc. (b)

   2,934    97,115 

ODP Corporation (The) (b)

   1,322    62,570 

Pool Corporation

   1,053    503,144 

Signet Jewelers Ltd

   1,412    90,848 

Target Corporation

   13,063    3,410,096 

Tractor Supply Company

   3,050    551,837 

Ulta Beauty, Inc. (b)

   1,393    467,769 
    

 

 

 
     23,026,136 
    

 

 

 

Healthcare Equipment & Services — 4.4%

 

  

ABIOMED, Inc. (b)

   1,197    391,586 

Align Technology, Inc. (b)

   1,950    1,356,810 

AmerisourceBergen Corporation .

   3,970    485,015 
 

 

25


GREEN CENTURY EQUITY FUND PORTFOLIO OF INVESTMENTS

July 31, 2021

 continued

 

   SHARES   VALUE 

Healthcare Equipment & Services — (continued)

 

Becton, Dickinson and Company .

   7,592   $1,941,654 

Cardinal Health, Inc

   7,661    454,910 

Centene Corporation (b)

   15,224    1,044,519 

Cerner Corporation

   8,013    644,165 

Cigna Corporation

   9,200    2,111,308 

Cooper Cos., Inc. (The)

   1,287    542,818 

DaVita, Inc. (b)

   1,863    224,026 

DENTSPLY SIRONA, Inc

   5,681    375,173 

DexCom, Inc. (b)

   2,504    1,290,837 

Edwards Lifesciences Corporation (b)

   16,307    1,830,787 

HCA Healthcare, Inc

   7,113    1,765,447 

Henry Schein, Inc. (b)

   3,755    300,963 

Hologic, Inc. (b)

   6,705    503,143 

Humana, Inc

   3,355    1,428,760 

IDEXX Laboratories, Inc. (b)

   2,224    1,509,051 

Insulet Corporation (b)

   1,732    484,423 

Laboratory Corporation of America Holdings (b)

   2,550    755,182 

MEDNAX, Inc. (b)

   2,024    58,939 

Patterson Companies, Inc

   2,343    72,938 

Quest Diagnostics, Inc

   3,507    497,293 

ResMed, Inc

   3,812    1,036,102 

Select Medical Holdings Corporation

   2,753    108,606 

Teladoc Health, Inc. (b)

   3,545    526,255 

West Pharmaceutical Services, Inc

   1,922    791,345 
    

 

 

 
     22,532,055 
    

 

 

 

Food & Beverage — 4.0%

    

Archer-Daniels-Midland Company

   14,515    866,836 

Bunge Ltd

   3,691    286,532 

Campbell Soup Company

   5,160    225,595 

Coca-Cola Company (The)

   106,893    6,096,108 

Conagra Brands, Inc

   12,788    428,270 

Darling Ingredients, Inc. (b)

   4,255    293,893 

General Mills, Inc

   15,897    935,697 

Hormel Foods Corporation

   7,732    358,610 

Ingredion, Inc

   1,804    158,409 

JM Smucker Company (The)

   2,870    376,286 

Kellogg Company

   6,710    425,146 

Keurig Dr Pepper, Inc

   18,442    649,343 

Kraft Heinz Company (The)

   17,616    677,688 

Lamb Weston Holdings, Inc

   3,856    257,465 

McCormick & Company, Inc

   6,486    545,927 
   SHARES   VALUE 

Food & Beverage — (continued)

 

Mondelez International, Inc., Class A

   36,967   $2,338,532 

PepsiCo, Inc

   36,014    5,652,397 
    

 

 

 
     20,572,734 
    

 

 

 

Real Estate — 3.2%

    

American Tower Corporation REIT

   11,593    3,278,501 

AvalonBay Communities, Inc. REIT

   3,658    833,402 

Boston Properties, Inc. REIT

   3,825    448,979 

CBRE Group, Inc., Class A (b)

   8,768    845,761 

Corporate Office Properties Trust REIT

   2,885    84,934 

Digital Realty Trust, Inc. REIT

   7,290    1,123,827 

Duke Realty Corporation REIT

   9,848    501,066 

Equinix, Inc. REIT

   2,337    1,917,298 

Equity Residential REIT

   9,280    780,727 

Federal Realty Investment Trust REIT

   1,810    212,729 

Healthpeak Properties, Inc. REIT .

   14,005    517,765 

Host Hotels & Resorts, Inc. REIT (b)

   18,495    294,625 

Iron Mountain, Inc. REIT

   7,540    329,950 

Jones Lang LaSalle, Inc. (b)

   1,354    301,360 

Macerich Company (The) REIT

   3,858    62,885 

PotlatchDeltic Corporation REIT .

   1,739    90,324 

Prologis, Inc. REIT

   19,347    2,477,190 

Realogy Holdings Corporation (b)

   2,839    50,307 

SBA Communications Corporation, Class A REIT

   2,865    976,936 

Simon Property Group, Inc. REIT

   8,546    1,081,240 

UDR, Inc. REIT

   7,798    428,812 
    

 

 

 
     16,638,618 
    

 

 

 

Materials — 3.1%

    

Air Products & Chemicals, Inc

   5,780    1,682,153 

Albemarle Corporation

   3,062    630,894 

Amcor PLC (a)

   41,125    475,405 

Avery Dennison Corporation

   2,174    458,018 

Axalta Coating Systems Ltd. (b)

   5,638    169,704 

Ball Corporation

   8,535    690,311 

Compass Minerals International, Inc

   835    57,248 

Domtar Corporation (b)

   1,504    82,585 

Ecolab, Inc

   6,724    1,484,861 
 

 

26


GREEN CENTURY EQUITY FUND PORTFOLIO OF INVESTMENTS

July 31, 2021

 continued

 

   SHARES   VALUE 

Materials — (continued)

 

H.B. Fuller Company

   1,424   $92,019 

International Flavors & Fragrances, Inc

   6,519    982,022 

Linde PLC (a)

   13,657    4,198,025 

Minerals Technologies, Inc

   864    69,310 

Mosaic Company (The)

   9,451    295,155 

Newmont Corporation

   20,980    1,317,964 

PPG Industries, Inc

   6,159    1,007,120 

Schnitzer Steel Industries, Inc., Class A

   666    34,912 

Sealed Air Corporation

   4,038    229,156 

Sherwin-Williams Company (The)

   6,674    1,942,334 

Sonoco Products Company

   2,586    164,961 
    

 

 

 
     16,064,157 
    

 

 

 

Renewable Energy & Energy Efficiency — 3.0%

 

Acuity Brands, Inc

   941    165,033 

Itron, Inc. (b)

   1,066    105,129 

Johnson Controls International, PLC

   18,884    1,348,695 

Ormat Technologies, Inc

   1,123    78,318 

Tesla, Inc. (b)

   20,056    13,782,483 
    

 

 

 
     15,479,658 
    

 

 

 

Technology Hardware & Equipment — 2.9%

 

Cisco Systems, Inc

   110,217    6,102,715 

Cognex Corporation

   4,585    414,530 

CommScope Holding Company, Inc. (b)

   5,179    109,588 

Corning, Inc

   20,039    838,833 

Dell Technologies, Inc., Class C (b)

   6 ,910    667,644 

F5 Networks, Inc. (b)

   1,632    337,024 

Flex Ltd. (b)

   13,177    236,791 

Hewlett Packard Enterprise Company

   34,216    496,132 

HP, Inc

   32,676    943,356 

Keysight Technologies, Inc. (b)

   4,884    803,662 

Motorola Solutions, Inc

   4,423    990,398 

Plantronics, Inc. (b)

   947    29,537 

TE Connectivity Ltd. (a)

   8,638    1,273,846 

Trimble, Inc. (b)

   6,515    557,033 

Xerox Holdings Corporation

   4,287    103,445 

Zebra Technologies Corporation, Class A (b)

   1,403    775,129 
    

 

 

 
     14,679,663 
    

 

 

 
   SHARES   VALUE 

Household & Personal Products — 2.8%

 

  

Clorox Company (The)

   3,287   $594,585 

Colgate-Palmolive Company

   21,097    1,677,211 

Estee Lauder Companies, Inc. (The), Class A

   6,012    2,006,986 

Kimberly-Clark Corporation

   8,869    1,203,701 

Procter & Gamble Company (The)

   64,377    9,156,341 
    

 

 

 
     14,638,824 
    

 

 

 

Consumer Services — 2.5%

    

Aramark

   6,049    212,501 

Choice Hotels International, Inc

   939    112,586 

Darden Restaurants, Inc

   3,416    498,326 

Domino’s Pizza, Inc

   1,023    537,576 

Hilton Worldwide Holdings, Inc. (b)

   7,215    948,412 

Jack in the Box, Inc

   604    65,751 

Marriott International, Inc., Class A (b)

   7,219    1,053,830 

McDonald’s Corporation

   19,460    4,723,137 

Royal Caribbean Cruises Ltd. (b)

   5,986    460,144 

Starbucks Corporation

   30,717    3,729,965 

Vail Resorts, Inc. (b)

   1,049    320,155 
    

 

 

 
     12,662,383 
    

 

 

 

Transportation — 2.3%

    

AMERCO.

   253    148,754 

ArcBest Corporation

   622    36,766 

Avis Budget Group, Inc. (b)

   1,373    113,643 

C.H. Robinson Worldwide, Inc

   3,446    307,280 

CSX Corporation

   59,844    1,934,158 

Delta Air Lines, Inc. (b)

   4,180    166,782 

Echo Global Logistics, Inc. (b)

   657    20,321 

Expeditors International of Washington, Inc

   4,386    562,504 

Kansas City Southern

   2,381    637,632 

Ryder System, Inc

   1,384    105,392 

Southwest Airlines Company (b) .

   3,832    193,593 

Union Pacific Corporation

   17,479    3,823,706 

United Parcel Service, Inc., Class B

   18,775    3,592,784 
    

 

 

 
     11,643,315 
    

 

 

 

Insurance — 2.2%

    

Allstate Corporation (The)

   7,931    1,031,427 

Arthur J. Gallagher & Company .

   5,058    704,630 

Chubb Ltd. (a)

   11,773    1,986,576 

Hartford Financial Services Group, Inc. (The)

   9,265    589,439 
 

 

27


GREEN CENTURY EQUITY FUND PORTFOLIO OF INVESTMENTS

July 31, 2021

 continued

 

   SHARES   VALUE 

Insurance — (continued)

 

Lincoln National Corporation

   4,785   $294,852 

Loews Corporation

   5,961    319,688 

Marsh & McLennan Companies, Inc

   13,243    1,949,634 

Principal Financial Group, Inc

   7,105    441,434 

Progressive Corporation (The)

   15,324    1,458,232 

Prudential Financial, Inc

   10,326    1,035,491 

Travelers Companies, Inc. (The)

   6,613    984,808 

Willis Towers Watson PLC (a)

   3,382    696,963 
    

 

 

 
     11,493,174 
    

 

 

 

Consumer Durables & Apparel — 1.9%

 

  

Callaway Golf Company (b)

   2,505    79,358 

Capri Holdings Ltd. (a)(b)

   3,970    223,551 

Columbia Sportswear Company

   871    86,769 

Deckers Outdoor Corporation (b)

   745    306,083 

Ethan Allen Interiors, Inc

   540    12,836 

Garmin Ltd. (a)

   4,017    631,472 

Hanesbrands, Inc

   9,290    169,635 

Hasbro, Inc

   3,424    340,483 

La-Z-Boy, Inc

   1,142    38,348 

Mattel, Inc. (b)

   9,319    202,409 

Meritage Homes Corporation (b) .

   976    105,974 

Mohawk Industries, Inc. (b)

   1,561    304,239 

Newell Brands, Inc

   10,016    247,896 

NIKE, Inc., Class B

   33,184    5,558,652 

PVH Corporation (b)

   1,889    197,627 

Under Armour, Inc., Class A (b)

   4,801    98,181 

Under Armour, Inc., Class C (b)

   4,998    87,565 

VF Corporation

   8,688    696,778 

Whirlpool Corporation

   1,652    365,984 

Wolverine World Wide, Inc

   2,235    74,962 
    

 

 

 
     9,828,802 
    

 

 

 

Banks — 1.8%

    

Bank of Hawaii Corporation

   1,041    87,142 

Cathay General Bancorp

   1,989    75,323 

CIT Group, Inc

   2,521    121,613 

Citizens Financial Group, Inc

   11,137    469,536 

Comerica, Inc

   3,685    253,012 

First Republic Bank

   4,561    889,486 

Heartland Financial USA, Inc

   1,085    49,498 

Huntington Bancshares, Inc

   38,779    546,008 

International Bancshares Corporation

   1,353    52,875 

KeyCorp

   25,413    499,620 
   SHARES   VALUE 

Banks — (continued)

    

M&T Bank Corporation

   3,369   $450,941 

New York Community Bancorp, Inc

   11,921    140,429 

Old National Bancorp

   4,311    69,364 

People’s United Financial, Inc

   11,368    178,478 

PNC Financial Services Group, Inc. (The)

   11,083    2,021,650 

Regions Financial Corporation

   25,053    482,270 

SVB Financial Group (b)

   1,459    802,392 

Truist Financial Corporation

   35,113    1,911,201 

Umpqua Holdings Corporation

   5,704    107,634 

Zions Bancorp NA

   4,352    226,957 
    

 

 

 
     9,435,429 
    

 

 

 

Telecommunication Services — 1.2%

 

  

Lumen Technologies Inc

   24,476    305,216 

Verizon Communications, Inc

   108,037    6,026,304 
    

 

 

 
     6,331,520 
    

 

 

 

Commercial & Professional Services — 0.7%

 

ACCO Brands Corporation

   2,208    19,740 

ASGN, Inc. (b)

   1,344    135,919 

Copart, Inc. (b)

   5,562    817,614 

Deluxe Corporation

   1,015    44,559 

Exponent, Inc

   1,317    141,038 

Heidrick & Struggles International, Inc

   506    21,611 

HNI Corporation

   1,054    39,314 

ICF International, Inc

   464    42,488 

IHS Markit, Ltd. (a)

   9,879    1,154,262 

Interface, Inc

   1,302    18,775 

Kelly Services, Inc., Class A (b)

   787    17,251 

ManpowerGroup, Inc

   1,431    169,688 

Resources Connection, Inc

   760    11,772 

Robert Half International, Inc

   3,003    294,925 

Steelcase, Inc., Class A

   2,064    28,380 

Tetra Tech, Inc

   1,437    191,868 

TransUnion

   5,019    602,581 

TrueBlue, Inc. (b)

   889    24,172 
    

 

 

 
     3,775,957 
    

 

 

 

Automobiles & Components — 0.4%

 

  

Aptiv PLC (a)(b)

   7,063    1,178,461 

Autoliv, Inc. (a)

   2,215    223,449 

BorgWarner, Inc

   6,262    306,713 

Harley-Davidson, Inc

   4,045    160,263 
    

 

 

 
     1,868,886 
    

 

 

 
 

 

28


GREEN CENTURY EQUITY FUND PORTFOLIO OF INVESTMENTS

July 31, 2021

 concluded

 

   SHARES   VALUE 

Food & Staples Retailing — 0.3%

    

Kroger Co. (The)

   18,960   $771,672 

Sysco Corporation

   13,381    992,870 
    

 

 

 
     1,764,542 
    

 

 

 

Utilities — 0.2%

    

American Water Works Company, Inc

   4,759    809,554 

Essential Utilities, Inc

   6,102    299,730 
    

 

 

 
     1,109,284 
    

 

 

 

Healthy Living — 0.0%

    

Hain Celestial Group, Inc. (The) (b)

   2,228    88,920 

United Natural Foods, Inc. (b)

   1,501    49,713 
    

 

 

 
     138,633 
    

 

 

 

Total Common Stocks
(Cost $226,504,805)

     514,728,212 
    

 

 

 

SHORT-TERM INVESTMENTS — 0.2%

 

       VALUE 

UMB Money Market Fiduciary Account, 0.01% (c)
(Cost $1,031,697)

    $1,031,697 
    

 

 

 

Total Short-term Investments
(Cost $1,031,697)

     1,031,697 
    

 

 

 

TOTAL INVESTMENTS (d) — 99.9%

 

  

(Cost $227,536,502)

     515,759,909 

Other Assets Less Liabilities — 0.1%

     371,768 
    

 

 

 

NET ASSETS — 100.0%

    $516,131,677 
    

 

 

 

 

PLC – Public Limited Company

REIT – Real Estate Investment Trusts

(a)

Securities whose value are determined or significantly influenced by trading in markets other than the United States or Canada.

(b)

Non-income producing security.

(c)

The rate quoted is the annualized seven-day yield of the fund at the period end.

(d)

The cost of investments for federal income tax purposes is $232,275,703 resulting in gross unrealized appreciation and depreciation of $287,676,247 and $4,192,041 respectively, or net unrealized appreciation of $283,484,206.

 

 

See Notes to Financial Statements

 

29


GREEN CENTURY MSCI INTERNATIONAL INDEX FUND PORTFOLIO OF INVESTMENTS

July 31, 2021

     

 

COMMON STOCKS — 98.9%

    
   SHARES   VALUE 

Japan — 18.0%

    

Aeon Company, Ltd

   19,600   $536,351 

Ajinomoto Company, Inc

   14,000    356,677 

Asahi Kasei Corporation

   37,500    408,934 

Astellas Pharma, Inc

   55,900    890,341 

Azbil Corporation

   3,800    148,193 

Capcom Company Ltd

   5,500    151,227 

Chugai Pharmaceutical Company, Ltd

   20,200    744,381 

Daikin Industries Ltd

   7,500    1,566,246 

Eisai Company, Ltd

   7,200    592,220 

Fast Retailing Company Ltd

   1,800    1,220,765 

FUJIFILM Holdings Corp

   10,900    782,215 

Fujitsu Ltd

   5,900    1,003,769 

Hankyu Hanshin Holdings, Inc .

   7,000    206,995 

Hitachi Companynstruction Machinery Company Ltd

   3,400    96,069 

Hulic Company Ltd

   8,600    97,840 

Ibiden Company Ltd

   3,300    174,818 

Kansai Paint Company Ltd

   5,600    137,533 

Kao Corp

   14,500    873,065 

KDDI Corp

   48,900    1,495,538 

Keio Corporation

   3,000    168,043 

Kikkoman Corporation

   4,500    275,566 

Kobe Bussan Company Ltd

   4,300    144,783 

Komatsu Ltd

   26,600    666,571 

Kurita Water Industries Ltd

   2,900    140,849 

Mitsui Fudosan Company Ltd

   27,700    647,827 

Miura Company Ltd

   2,600    114,813 

MS&AD Insurance Group Holdings, Inc

   13,300    411,117 

Nippon Yusen KK

   4,900    264,757 

Nitto Denko Corporation

   4,600    341,773 

Nomura Research Institute Ltd

   10,600    341,106 

Odakyu Electric Railway Company Ltd

   9,000    214,795 

Omron Corporation

   5,600    479,220 

Orix JREIT, Inc. REIT

   79    150,739 

Panasonic Corporation

   66,800    806,614 

Resona Holdings, Inc

   64,700    242,928 

Secom Company Ltd

   6,400    484,420 

Sekisui House Ltd

   18,700    370,363 

SG Holdings Company Ltd

   9,700    260,824 

Shimizu Corporation

   16,300    120,042 

Shionogi & Company Ltd

   8,000    421,318 
   SHARES   VALUE 

Japan — (continued)

    

Sohgo Security Services Company Ltd

   2,100   $98,197 

Sompo Holdings, Inc

   9,700    401,018 

Sony Corporation

   38,100    3,980,173 

Stanley Electric Company Ltd

   3,800    99,153 

Sumitomo Chemical Company, Ltd

   45,400    236,331 

Sumitomo Mitsui Trust Holdings, Inc

   10,200    334,824 

Suntory Beverage & Food Ltd

   4,100    143,756 

Sysmex Corporation

   5,100    606,852 

Tokyo Century Corporation

   1,100    60,536 

Tokyo Electron Ltd

   4,500    1,855,915 

Tokyu Corp

   15,300    205,061 

Toray Industries, Inc

   41,800    275,219 

TOTO Ltd

   4,300    222,956 

West Japan Railway Company

   5,000    271,662 

Yamaha Corporation

   4,100    227,198 

Yamaha Motor Company Ltd

   8,400    210,342 

Yaskawa Electric Corporation

   7,200    356,520 

Z Holdings Corporation

   79,700    398,913 
    

 

 

 
     28,536,271 
    

 

 

 

Canada — 11.0%

    

Agnico Eagle Mines Ltd

   7,356    475,876 

Ballard Power Systems, Inc. (a)

   6,924    112,107 

Bank of Montreal

   19,557    1,936,419 

Bank of Nova Scotia (The)

   36,647    2,287,353 

Canadian National Railway Company

   21,480    2,333,944 

FirstService Corporation

   1,206    224,631 

Gildan Activewear, Inc

   5,978    206,087 

Intact Financial Corporation

   4,791    652,829 

Magna International, Inc

   8,668    726,734 

Metro, Inc

   7,581    393,147 

National Bank of Canada

   10,184    779,473 

Ritchie Bros Auctioneers, Inc

   3,332    198,916 

Rogers Communications, Inc., Class B

   10,712    546,762 

Shopify, Inc. (a)

   3,400    5,104,360 

TMX Group Ltd

   1,719    188,779 

Toromont Industries Ltd

   2,515    212,533 

Wheaton Precious Metals Corporation

   13,544    625,634 

WSP Global, Inc

   3,423    406,310 
    

 

 

 
     17,411,894 
    

 

 

 
 

 

30


GREEN CENTURY MSCI INTERNATIONAL INDEX FUND PORTFOLIO OF INVESTMENTS

July 31, 2021

 continued

 

   SHARES   VALUE 

Germany — 10.3%

    

adidas AG

   5,760   $2,090,594 

Allianz SE

   12,466    3,098,566 

Beiersdorf AG

   3,062    363,682 

Deutsche Boerse AG

   5,751    959,627 

Deutsche Post AG

   29,979    2,031,698 

Henkel AG & Company KGaA

   3,083    280,319 

Henkel AG & Company KGaA (b)

   5,411    548,588 

Merck KGaA

   3,919    802,229 

Muenchener Rueckversicherungs-Gesellschaft AG in Muenchen

   4,221    1,138,918 

Puma SE

   3,167    388,491 

SAP SE

   31,600    4,534,922 

Telefonica Deutschland Holding AG

   30,333    81,762 
    

 

 

 
       16,319,396 
    

 

 

 

United Kingdom — 9.9%

    

Abrdn Plc

   65,309    257,650 

Ashtead Group PLC

   13,607    1,018,238 

Associated British Foods PLC

   10,719    298,071 

Barratt Developments PLC

   30,517    298,243 

Berkeley Group Holdings PLC

   3,671    247,169 

British Land Company PLC (The) REIT

   26,861    190,181 

BT Group PLC (a)

   270,688    652,037 

Burberry Group PLC

   12,173    349,176 

Coca-Cola Europacific Partners PLC

   6,140    381,048 

Compass Group PLC (a)

   53,953    1,140,063 

Croda International PLC

   4,239    496,239 

Informa PLC (a)

   45,070    309,701 

InterContinental Hotels Group PLC (a)

   5,594    369,461 

J Sainsbury PLC

   50,466    198,735 

JD Sports Fashion PLC

   15,664    195,184 

Kingfisher PLC

   63,586    326,619 

Mondi PLC

   14,592    404,558 

RELX PLC

   58,522    1,720,274 

Schroders PLC

   3,800    192,987 

Segro PLC REIT

   36,289    613,458 

St. James’s Place PLC

   16,383    360,961 

Taylor Wimpey PLC

   109,926    251,329 

Unilever PLC

   79,570    4,579,533 

United Utilities Group PLC

   20,370    303,310 

Whitbread PLC (a)

   6,048    255,632 
   SHARES   VALUE 

United Kingdom — (continued)

    

Wm Morrison Supermarkets PLC

   72,484   $269,624 
    

 

 

 
     15,679,481 
    

 

 

 

Switzerland — 9.7%

    

Coca-Cola HBC AG (a)

   6,103    230,474 

Givaudan SA

   280    1,397,472 

Kuehne + Nagel International AG

   1,618    545,775 

Lonza Group AG

   2,257    1,757,262 

Roche Holding AG

   21,252    8,209,453 

SGS SA

   185    598,752 

Sonova Holding AG

   1,676    658,020 

Swiss Life Holding AG

   963    496,691 

Swiss Re AG

   9,166    830,948 

Swisscom AG

   772    463,948 

Vifor Pharma AG

   1,475    206,270 
    

 

 

 
     15,395,065 
    

 

 

 

France — 8.9%

    

Amundi SA (c)

   1,846    170,483 

AXA SA

   58,535    1,515,869 

Bureau Veritas SA

   8,819    291,234 

Carrefour SA

   18,394    341,653 

Cie Generale des Etablissements Michelin SCA

   5,111    834,836 

CNP Assurances

   5,037    85,619 

Danone SA

   19,743    1,452,155 

EssilorLuxottica SA

   8,636    1,630,316 

Gecina SA REIT

   1,396    221,391 

L’Oreal SA

   7,622    3,486,987 

Schneider Electric SE

   16,324    2,734,059 

Unibail-Rodamco-Westfield REIT (a)

   3,727    310,218 

Valeo SA

   7,041    203,594 

Vivendi SA

   21,480    725,726 
    

 

 

 
       14,004,140 
    

 

 

 

Netherlands — 8.0%

    

Akzo Nobel NV

   5,786    714,723 

ASML Holding NV

   11,895    9,092,277 

CNH Industrial NV

   31,178    520,591 

Koninklijke DSM NV

   5,213    1,050,836 

NN Group NV

   8,540    424,574 

Wolters Kluwer NV

   8,103    923,761 
    

 

 

 
     12,726,762 
    

 

 

 
 

 

31


GREEN CENTURY MSCI INTERNATIONAL INDEX FUND PORTFOLIO OF INVESTMENTS

July 31, 2021

 continued

 

   SHARES   VALUE 

Denmark — 5.6%

    

Ambu A/S, Class B

   5,076   $187,795 

Coloplast A/S, Class B

   3,577    654,103 

Genmab A/S (a)

   1,983    896,275 

GN Store Nord A/S

   3,843    336,775 

Novo Nordisk A/S, Class B

   52,098    4,822,783 

Novozymes A/S

   6,348    498,729 

Pandora A/S

   3,052    394,798 

Vestas Wind Systems A/S

   30,468    1,123,494 
    

 

 

 
     8,914,752 
    

 

 

 

Australia — 4.4%

    

ASX Ltd

   5,962    337,739 

BlueScope Steel Ltd

   15,338    271,989 

Brambles Ltd

   44,859    384,062 

Cochlear Ltd

   1,978    357,851 

Coles Group Ltd

   40,142    516,600 

Computershare Ltd

   16,496    189,662 

Dexus REIT

   32,748    247,375 

Fortescue Metals Group Ltd

   51,258    936,599 

GPT Group (The) REIT

   57,281    196,396 

Insurance Australia Group Ltd

   75,442    269,032 

Lendlease Group

   20,486    183,875 

Mirvac Group REIT

   118,522    248,760 

Newcrest Mining Ltd

   24,890    481,054 

Northern Star Resources Ltd

   33,156    247,046 

Ramsay Health Care Ltd

   5,483    259,308 

REA Group Ltd

   1,593    189,761 

SEEK Ltd

   10,062    217,657 

Stockland REIT

   72,331    233,925 

Sydney Airport (a)

   40,260    231,660 

Transurban Group

   83,062    876,104 

Vicinity Centres REIT

   119,331    136,354 
    

 

 

 
     7,012,809 
    

 

 

 

Hong Kong — 2.2%

    

BOC Hong Kong Holdings Ltd

   113,500    364,479 

Hang Seng Bank Ltd

   23,417    448,467 

Hong Kong Exchanges & Clearing Ltd

   36,320    2,321,185 

MTR Corporation Ltd

   46,667    276,670 

Swire Properties Ltd

   35,000    99,545 
    

 

 

 
     3,510,346 
    

 

 

 

Singapore — 1.8%

    

CapitaLand Ltd

   80,011    237,701 

City Developments Ltd

   11,900    60,027 

DBS Group Holdings Ltd

   54,736    1,224,745 
   SHARES   VALUE 

Singapore — (continued)

    

Oversea-Chinese Banking Corporation Ltd

   101,200   $915,550 

Singapore Telecommunications Ltd

   251,700    421,853 
    

 

 

 
     2,859,876 
    

 

 

 

Spain — 1.5%

    

Banco Bilbao Vizcaya Argentaria SA (a)

   202,162    1,294,125 

Industria de Diseno Textil SA

   32,929    1,116,824 
    

 

 

 
     2,410,949 
    

 

 

 

Sweden — 1.5%

    

Boliden AB

   8,225    320,544 

Electrolux AB

   6,995    183,712 

Essity AB, Class B

   18,489    604,918 

Husqvarna AB B Shares

   12,622    176,628 

ICA Gruppen AB

   2,943    145,468 

Svenska Cellulosa AB SCA, Class B

   18,254    339,527 

Tele2 AB B Shares

   15,284    224,507 

Telia Company AB

   80,189    351,734 
    

 

 

 
     2,347,038 
    

 

 

 

Ireland — 1.2%

    

CRH PLC (d)

   23,632    1,181,096 

Kerry Group PLC, Class A

   4,837    717,230 
    

 

 

 
     1,898,326 
    

 

 

 

Italy — 1.0%

    

Amplifon SpA

   3,794    187,363 

Intesa Sanpaolo SpA

   500,996    1,384,009 
    

 

 

 
     1,571,372 
    

 

 

 

Norway — 1.0%

    

DNB Bank ASA

   28,190    577,693 

Mowi ASA.

   13,263    337,936 

Orkla ASA

   22,833    207,377 

Telenor ASA

   21,099    366,322 
    

 

 

 
     1,489,328 
    

 

 

 

New Zealand — 0.8%

    

Fisher & Paykel Healthcare Corporation Ltd

   17,201    378,637 

Meridian Energy Ltd

   39,353    143,086 

Ryman Healthcare Ltd

   13,236    121,575 

Spark New Zealand Ltd

   56,175    185,425 

Xero Ltd. (a)

   3,960    410,852 
    

 

 

 
     1,239,575 
    

 

 

 
 

 

32


GREEN CENTURY MSCI INTERNATIONAL INDEX FUND PORTFOLIO OF INVESTMENTS

July 31, 2021

 concluded

 

   SHARES   VALUE 

Finland — 0.6%

    

Elisa Oyj

   4,274   $274,693 

Kesko Oyj B Shares

   8,257    353,908 

Orion Oyj, Class B

   3,295    140,252 

Wartsila OYJ Abp

   14,292    215,301 
    

 

 

 
 ��   984,154 
    

 

 

 

Belgium — 0.6%

    

KBC Group NV

   7,528    606,170 

Umicore SA

   5,918    367,309 
    

 

 

 
     973,479 
    

 

 

 

Jersey — 0.6%

    

Ferguson PLC

   6,823    956,543 
    

 

 

 

Israel — 0.2%

    

Bank Leumi Le-Israel BM (a)

   43,587    333,056 
    

 

 

 

Portugal — 0.1%

    

Jeronimo Martins SGPS SA

   7,842    159,770 
    

 

 

 

Total Common Stocks
(Cost $122,600,527)

     156,734,382 
    

 

 

 

SHORT-TERM INVESTMENTS — 0.3%

 

  
       VALUE 

UMB Money Market Fiduciary Account, 0.01% (e)
(Cost $455,750)

    $455,750 
    

 

 

 

Total Short-term Investments
(Cost $455,750)

     455,750 
    

 

 

 

TOTAL INVESTMENTS (f) — 99.2%

 

(Cost $123,056,277)

     157,190,132 

Other Assets Less Liabilities — 0.8%

     1,320,044 
    

 

 

 

NET ASSETS — 100.0%

    $158,510,176 
    

 

 

 

 

REIT – Real Estate Investment Trusts

PLC – Public Limited Company

(a)

Non-income producing security.

(b)

Preference shares.

(c)

Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration to qualified institutional buyers. The total value of these securities is $170,483.

(d)

Shares of this security are traded on the Irish Stock Exchange.

(e)

The rate quoted is the annualized seven-day yield of the fund at the period end.

(f)

The cost of investments for federal income tax purposes is $125,063,540 resulting in gross unrealized appreciation and depreciation of $35,426,247 and $3,299,655 respectively, or net unrealized appreciation of $32,126,592.

 

 

See Notes to Financial Statements

 

33


GREEN CENTURY FUNDS STATEMENTS OF ASSETS AND LIABILITIES

July 31, 2021

 

 

   BALANCED FUND   EQUITY FUND   MSCI INTERNATIONAL
INDEX FUND
 

ASSETS:

      

Investments, at value (cost $267,297,251, $227,536,502 and $123,056,277, respectively)

  $409,591,324   $515,759,909   $157,190,132 

Foreign cash, at value (cost $858,029)

   —      —      867,589 
Receivables for:      

Capital stock sold

   259,504    580,313    187,438 

Interest

   841,394    8    5 

Dividends

   138,654    405,671    472,448 
  

 

 

   

 

 

   

 

 

 

Total assets

   410,830,876    516,745,901    158,717,612 
  

 

 

   

 

 

   

 

 

 

LIABILITIES:

      

Payable for capital stock repurchased

   11,744    117,237    65,457 

Accrued expenses

   480,934    496,987    141,979 
  

 

 

   

 

 

   

 

 

 

Total liabilities

   492,678    614,224    207,436 
  

 

 

   

 

 

   

 

 

 

NET ASSETS

  $410,338,198   $516,131,677   $158,510,176 
  

 

 

   

 

 

   

 

 

 

NET ASSETS CONSIST OF:

      

Paid-in capital (par value of $0.01 per share with unlimited number of shares authorized)

  $254,479,627   $226,701,647   $124,597,858 

Net distributable earnings

   155,858,571    289,430,030    33,912,318 
  

 

 

   

 

 

   

 

 

 

NET ASSETS

  $410,338,198   $516,131,677   $158,510,176 
  

 

 

   

 

 

   

 

 

 

NET ASSET VALUE PER SHARE PER CLASS:

      
Individual Investor Class Shares:      

Net assets applicable to shares outstanding

  $323,990,732   $338,094,145   $46,507,964 

Shares of beneficial interest issued and outstanding

   8,706,414    4,738,267    3,113,899 

Net asset value per share

  $37.21   $71.35   $14.94 
  

 

 

   

 

 

   

 

 

 
Institutional Class Shares:      

Net assets applicable to shares outstanding

  $86,347,466   $178,037,532   $112,002,212 

Shares of beneficial interest issued and outstanding

   2,316,895    2,503,217    7,514,818 

Net asset value per share

  $37.27   $71.12   $14.90 
  

 

 

   

 

 

   

 

 

 

 

See Notes to Financial Statements

 

34


GREEN CENTURY FUNDS STATEMENTS OF OPERATIONS

For the year ended July 31, 2021

 

 

   BALANCED FUND   EQUITY FUND   MSCI INTERNATIONAL
INDEX FUND
 

INVESTMENT INCOME:

      

Interest income

  $2,482,675   $117   $75 

Dividend and other income (net of $17,777, $0 and $328,566 foreign withholding taxes, respectively)

   3,029,134    6,009,492    2,554,627 
  

 

 

   

 

 

   

 

 

 

Total investment income

   5,511,809    6,009,609    2,554,702 
  

 

 

   

 

 

   

 

 

 

EXPENSES:

      

Administrative services fee.

   2,868,240    4,038,230    985,469 

Investment advisory fee

   2,283,811    984,205    348,762 
  

 

 

   

 

 

   

 

 

 

Total expenses

   5,152,051    5,022,435    1,334,231 
  

 

 

   

 

 

   

 

 

 

NET INVESTMENT INCOME

   359,758    987,174    1,220,471 
  

 

 

   

 

 

   

 

 

 

NET REALIZED AND UNREALIZED GAIN (LOSS):

      
Net realized gain on:      

Investments

   16,446,802    7,041,775    2,711,229 

Foreign currency transactions

   —      —      16,263 
Change in net unrealized appreciation on:      

Investments

   62,893,208    130,962,212    26,480,710 

Foreign currency translations

   —      —      3,365 
  

 

 

   

 

 

   

 

 

 

NET REALIZED AND UNREALIZED GAIN ON INVESTMENTS

   79,340,010    138,003,987    29,211,567 
  

 

 

   

 

 

   

 

 

 

NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS

  $79,699,768   $138,991,161   $30,432,038 
  

 

 

   

 

 

   

 

 

 

 

See Notes to Financial Statements

 

35


GREEN CENTURY FUNDS STATEMENTS OF CHANGES IN NET ASSETS

 

 

  BALANCED FUND  EQUITY FUND  MSCI INTERNATIONAL
INDEX FUND
 
  FOR THE
YEAR ENDED
JULY 31, 2021
  FOR THE
YEAR ENDED
JULY 31, 2020
  FOR THE
YEAR ENDED
JULY 31, 2021
  FOR THE
YEAR ENDED
JULY 31, 2020
  FOR THE
YEAR ENDED
JULY 31, 2021
  FOR THE
YEAR ENDED
JULY 31, 2020
 

INCREASE (DECREASE) IN NET ASSETS:

      
From operations:      

Net investment income.

 $359,758  $1,042,746  $987,174  $1,869,068  $1,220,471  $866,307 

Net realized gain (loss) on investments and foreign currency transactions

  16,446,802   8,447,551   7,041,775   2,131,393   2,727,492   (1,811,160

Change in net unrealized appreciation on investments and foreign currency translations

  62,893,208   13,349,692   130,962,212   40,698,197   26,484,075   5,783,874 
 

 

 

  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

 

Net increase in net assets resulting from operations

  79,699,768   22,839,989   138,991,161   44,698,658   30,432,038   4,839,021 
 

 

 

  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

 
Dividends and distributions to shareholders:      

Distributions

      

Individual Investor Class

  (11,234,235  (5,565,679  (2,745,220  (1,857,385  (298,641  (196,685

Institutional Class

  (638,469     (1,738,639  (872,217  (1,087,148  (616,102
 

 

 

  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

 

Total dividends and distributions

  (11,872,704  (5,565,679  (4,483,859  (2,729,602  (1,385,789  (812,787
 

 

 

  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

 
Capital share transactions:      

Proceeds from sales of shares

      

Individual Investor Class

  51,309,687   51,124,955   36,027,217   37,693,243   14,842,998   11,646,049 

Institutional Class

  82,462,305      57,870,103   38,785,741   44,720,506   27,776,825 

Reinvestment of dividends and distributions

      

Individual Investor Class

  10,913,432   5,371,066   2,678,258   1,794,741   290,831   190,192 

Institutional Class

  638,022      1,566,618   739,931   1,084,325   608,601 

Payments for shares redeemed

      

Individual Investor Class1

  (108,845,151  (40,385,990  (59,974,244  (49,460,152  (6,654,168  (6,273,803

Institutional Class2

  (3,838,475     (16,528,661  (11,093,851  (15,500,979  (11,416,187
 

 

 

  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

 

Net increase in net assets resulting from capital share transactions

  32,639,820   16,110,031   21,639,291   18,459,653   38,783,513   22,531,677 
 

 

 

  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

 

Total increase in net assets

  100,466,884   33,384,341   156,146,593   60,428,709   67,829,762   26,557,911 

NET ASSETS:

      

Beginning of period

  309,871,314   276,486,973   359,985,084   299,556,375   90,680,414   64,122,503 
 

 

 

  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

 

End of period

 $410,338,198  $309,871,314  $516,131,677  $359,985,084  $158,510,176  $90,680,414 
 

 

 

  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

 

 

1  

Net of redemption fee received of $12,080, $44,731, $8,985, $21,573, $4,165 and $4,781, respectively.

2 

Net of redemption fee received of $250, $0, $960, $2,691, $1,159 and $7,781, respectively.

 

See Notes to Financial Statements

 

36


GREEN CENTURY BALANCED FUND INDIVIDUAL INVESTOR CLASS FINANCIAL HIGHLIGHTS

 

 

   FOR THE YEARS ENDED JULY 31, 
   2021   2020   2019   2018   2017 

Net Asset Value, beginning of year.

  $30.83   $29.05   $27.05   $25.55   $23.93 
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 
Income (loss) from investment operations:          

Net investment income

   0.02    0.11    0.12    0.07    0.08 

Net realized and unrealized gain on investments

   7.51    2.25    2.50    1.79    2.05 
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total increase from investment operations

   7.53    2.36    2.62    1.86    2.13 
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 
Less dividends:          

Dividends from net investment income

   (0.02   (0.11   (0.11   (0.05   (0.03

Distributions from net realized gains

   (1.13   (0.47   (0.51   (0.31   (0.48
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total decrease from dividends

   (1.15   (0.58   (0.62   (0.36   (0.51
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Asset Value, end of year

  $37.21   $30.83   $29.05   $27.05   $25.55 
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total return

   24.86   8.19   10.04   7.32   9.07
Ratios/Supplemental data:          

Net assets, end of year (in 000’s)

  $323,991   $309,871   $276,487   $247,066   $225,670 

Ratio of expenses to average net assets

   1.46   1.47   1.48   1.48   1.48

Ratio of net investment income to average net assets

   0.07   0.37   0.44   0.25   0.31

Portfolio turnover(a)

   17   25   19   18   26

 

(a)

Calculated at Fund level.

GREEN CENTURY BALANCED FUND INSTITUTIONAL CLASS FINANCIAL HIGHLIGHTS

 

   FOR THE PERIOD
NOVEMBER 30 , 2020
(COMMENCEMENT OF
OPERATIONS) TO
JULY 31, 2021
 
     

Net Asset Value, beginning of period

  $33.58 
  

 

 

 
Income (loss) from investment operations:  

Net investment income

   0.08 

Net realized and unrealized gain on investments

   4.78 
  

 

 

 

Total increase from investment operations.

   4.86 
  

 

 

 
Less dividends:  

Dividends from net investment income

   (0.04

Distributions from net realized gains

   (1.13
  

 

 

 

Total decrease from dividends

   (1.17
  

 

 

 

Net Asset Value, end of period

  $37.27 
  

 

 

 

Total return

   14.89%(a) 
Ratios/Supplemental data:  

Net assets, end of period (in 000’s)

  $86,347 

Ratio of expenses to average net assets

   1.16%(b) 

Ratio of net investment income to average net assets

   0.33%(b) 

Portfolio turnover(c)

   17%(a) 

 

(a)

Not annualized.

(b)

Annualized.

(c)

Calculated at Fund level.

 

See Notes to Financial Statements

 

37


GREEN CENTURY EQUITY FUND INDIVIDUAL INVESTOR CLASS FINANCIAL HIGHLIGHTS

 

 

   FOR THE YEARS ENDED JULY 31, 
   2021   2020   2019   2018   2017 

Net Asset Value, beginning of year.

  $52.23   $46.17   $43.16   $38.05   $33.65 
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 
Income from investment operations:          

Net investment income

   0.09    0.25    0.25    0.22    0.27 

Net realized and unrealized gain on investments

   19.60    6.16    3.61    5.28    4.84 
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total increase from investment operations

   19.69    6.41    3.86    5.50    5.11 
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 
Less dividends:          

Dividends from net investment income

   (0.06   (0.22   (0.21   (0.20   (0.22

Distributions from net realized gains

   (0.51   (0.13   (0.64   (0.19   (0.49
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total decrease from dividends

   (0.57   (0.35   (0.85   (0.39   (0.71
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Asset Value, end of year

  $71.35   $52.23   $46.17   $43.16   $38.05 
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total return

   37.90   13.95   9.33   14.52   15.42
Ratios/Supplemental data:          

Net assets, end of year (in 000’s)

  $338,094   $265,946   $244,706   $232,609   $207,282 

Ratio of expenses to average net assets

   1.25   1.25   1.25   1.25   1.25

Ratio of net investment income to average net assets

   0.14   0.52   0.58   0.53   0.76

Portfolio turnover(a)

   9   10   14   18   17

 

(a)

Calculated at Fund level.

GREEN CENTURY EQUITY FUND INSTITUTIONAL CLASS FINANCIAL HIGHLIGHTS

 

   FOR THE YEARS ENDED JULY 31,   FOR THE PERIOD
APRIL 30 , 2018
(COMMENCEMENT OF
OPERATIONS) TO

JULY 31, 2018
 
   2021   2020   2019     

Net Asset Value, beginning of period

  $52.10   $46.11   $43.16   $40.86 
  

 

 

   

 

 

   

 

 

   

 

 

 
Income from investment operations:        

Net investment income

   0.30    0.39    0.39    0.09 

Net realized and unrealized gain on investments

   19.54    6.16    3.59    2.35 
  

 

 

   

 

 

   

 

 

   

 

 

 

Total increase from investment operations

   19.84    6.55    3.98    2.44 
  

 

 

   

 

 

   

 

 

   

 

 

 
Less dividends:        

Dividends from net investment income

   (0.31   (0.43   (0.39   (0.14

Distributions from net realized gains.

   (0.51   (0.13   (0.64    
  

 

 

   

 

 

   

 

 

   

 

 

 

Total decrease from dividends.

   (0.82   (0.56   (1.03   (0.14
  

 

 

   

 

 

   

 

 

   

 

 

 

Net Asset Value, end of period

  $71.12   $52.10   $46.11   $43.16 
  

 

 

   

 

 

   

 

 

   

 

 

 

Total return

   38.33   14.28   9.65   6.50%(a) 
Ratios/Supplemental data:        

Net assets, end of period (in 000’s)

  $178,038   $94,039   $54,850   $29,978 

Ratio of expenses to average net assets

   0.95   0.95   0.95   0.95%(b) 

Ratio of net investment income to average net assets

   0.44   0.82   0.88   0.83%(b) 

Portfolio turnover(c)

   9   10   14   18%(a) 

 

(a)

Not annualized.

(b)

Annualized.

(c)

Calculated at Fund level.

 

See Notes to Financial Statements

 

38


GREEN CENTURY MSCI INTERNATIONAL INDEX FUND INDIVIDUAL INVESTOR CLASS FINANCIAL HIGHLIGHTS

 

   FOR THE YEARS ENDED JULY 31,  FOR THE PERIOD
SEPTEMBER 30, 2016
(COMMENCEMENT OF
OPERATIONS)  TO
JULY 31, 2017
 
   2021  2020  2019  2018    

Net Asset Value, beginning of period

  $11.68  $11.07  $11.50  $11.31  $10.00 
  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

 
Income (loss) from investment operations:      

Net investment income

   0.09   0.10   0.18   0.17   0.10 

Net realized and unrealized gain (loss) on investments

   3.27   0.59   (0.40  0.24   1.31 
  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

 

Total increase (decrease) from investment operations

   3.36   0.69   (0.22  0.41   1.41 
  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

 

Less dividends:

      

Dividends from net investment income

   (0.10  (0.08  (0.16  (0.19  (0.10

Distributions from net realized gains

         (0.05  (0.03   
  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

 

Total decrease from dividends

   (0.10  (0.08  (0.21  (0.22  (0.10
  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

 

Net Asset Value, end of period

  $14.94  $11.68  $11.07  $11.50  $11.31 
  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

 

Total return

   28.76  6.28  (1.82)%   3.62  14.18%(a) 

Ratios/Supplemental data:

      

Net assets, end of period (in 000’s)

  $46,508  $29,073  $22,110  $18,744  $8,087 

Ratio of expenses to average net assets

   1.28  1.28  1.28  1.28  1.28%(b) 

Ratio of net investment income to average net assets

   0.77  0.98  1.79  1.71  1.79%(b) 

Portfolio turnover(c)

   31  20  23  28  13%(a) 

 

(a)

Not annualized.

(b)

Annualized.

(c)

Calculated at Fund level.

GREEN CENTURY MSCI INTERNATIONAL INDEX FUND INSTITUTIONAL CLASS FINANCIAL HIGHLIGHTS

 

   FOR THE YEARS ENDED JULY 31,  FOR THE  PERIOD
SEPTEMBER 30, 2016
(COMMENCEMENT OF
OPERATIONS) TO
JULY 31, 2017
 
   2021  2020  2019  2018    

Net Asset Value, beginning of period

  $11.66  $11.07  $11.50  $11.31  $10.00 
  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

 
Income (loss) from investment operations:      

Net investment income

   0.13   0.13   0.21   0.21   0.12 

Net realized and unrealized gain (loss) on investments

   3.26   0.59   (0.38  0.23   1.31 
  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

 

Total increase (decrease) from investment operations

   3.39   0.72   (0.17  0.44   1.43 
  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

 

Less dividends:

      

Dividends from net investment income

   (0.15  (0.13  (0.21  (0.22  (0.12

Distributions from net realized gains

         (0.05  (0.03   
  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

 

Total decrease from dividends

   (0.15  (0.13  (0.26  (0.25  (0.12
  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

 

Net Asset Value, end of period

  $14.90  $11.66  $11.07  $11.50  $11.31 
  

 

 

  

 

 

  

 

 

  

 

 

  

 

 

 

Total return

   29.09  6.51  (1.43)%   3.90  14.36%(a) 

Ratios/Supplemental data:

      

Net assets, end of period (in 000’s)

  $112,002  $61,608  $42,012  $31,808  $15,574 

Ratio of expenses to average net assets

   0.98  0.98  0.98  0.98  0.98%(b) 

Ratio of net investment income to average net assets

   1.07  1.28  2.09  2.01  2.09%(b) 

Portfolio turnover(c)

   31  20  23  28  13%(a) 

 

(a)

Not annualized.

(b)

Annualized.

(c)

Calculated at Fund level.

 

See Notes to Financial Statements

 

39


GREEN CENTURY FUNDS NOTES TO FINANCIAL STATEMENTS

 

 

NOTE 1 — Organization and Significant Accounting Policies

Green Century Funds (the “Trust”) is a Massachusetts business trust which offers three separate series, the Green Century Balanced Fund (the “Balanced Fund”), the Green Century Equity Fund (the “Equity Fund”) and the Green Century MSCI International Index Fund (the “MSCI International Index Fund”), each a “Fund” and collectively, the “Funds”. The Trust is registered under the Investment Company Act of 1940, as amended (the “Act”), as an open-end, diversified management investment company. The Trust accounts separately for the assets, liabilities and operations of each series. The Balanced Fund Investor Share Class commenced operations on March 18, 1992, The Balanced Fund Institutional Share Class commenced operations on November 30, 2020, the Equity Fund Individual Investor Share Class commenced operations on September 13, 1995, the Equity Fund Institutional Share Class commenced operations on April 30, 2018, and the Individual Investor Share Class and Institutional Share Class of the MSCI International Index Fund commenced operations on September 30, 2016.

The preparation of financial statements in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Each Fund is an investment company and accordingly follows the investment company accounting and reporting guidance of the Financial Accounting Standards Board (the “FASB”) Accounting Standard Codification Topic 946 “Financial Services—Investment Companies”.

The following is a summary of the Funds’ significant accounting policies:

 

 (A)

Investment Valuation:    Equity securities listed on U.S. national securities exchanges other than NASDAQ are valued at last sale price. If a last sale price is not available, securities listed on U.S. national exchanges other than NASDAQ are valued at the mean between the closing bid and closing ask prices. NASDAQ National Market® and SmallCapSM securities are valued at the NASDAQ Official Closing Price (“NOCP”). The NOCP is based on the last traded price if it falls within the concurrent best bid and ask prices and is normalized pursuant to NASDAQ’s published procedures if it falls outside this range. If a NOCP is not available for any such security, the security is valued at the last sale price, or, if there have been no sales that day, at the mean between the closing bid and closing ask prices. Unlisted U.S. equity securities are valued at last sale price, or when last sale prices are not available, at the last quoted bid price. Debt securities (other than certificates of deposit and short-term obligations maturing in sixty days or less) are valued on the basis of valuations furnished by an independent pricing service which takes into account appropriate factors such as institution-size trading in similar groups of securities, yield, quality, coupon rate, maturity, type of issue, and other market data, without exclusive reliance on quoted prices or exchange or over-the-counter prices. Securities, if any, for which there are no such valuations or quotations available, or for which the market quotation or valuation provided by a pricing service is deemed not reliable, are valued at fair value by management as determined in good faith under guidelines established by the Trustees. Certificates of deposit are valued at cost plus accrued interest, and short-term obligations maturing in sixty days or less are valued at amortized cost, both of which approximate market value.

 

40


GREEN CENTURY FUNDS NOTES TO FINANCIAL STATEMENTS

 continued

 

For non-U.S. securities traded in foreign markets, the MSCI International Index Fund uses a fair value model developed by an independent pricing service to assist in valuing those securities. If an event occurs after the time at which the market for foreign securities held by the Fund closes but before the time that the Fund’s next NAV is calculated, such event may cause the closing price on the foreign exchange to not represent the readily available reliable market value quotation for such securities at the time the Fund determines its NAV. In such a case, the Fund will use the fair value of such securities as determined under the Fund’s valuation procedures. Events after the close of trading on a foreign market that could require a Fund to fair value some or all of its foreign securities include, among others, securities trading in the U.S. and other markets, corporate announcements, natural and other disasters, and political and other events. Among other elements of analysis in the determination of a security’s fair value, the Board has authorized the use of one or more independent research services to assist with such determinations. An independent research service may use statistical analyses and quantitative models to help determine fair value as of the time the Fund calculates its NAV. There can be no assurance that such models accurately reflect the behavior of the applicable markets or the effect of the behavior of such markets on the fair value of securities, or that such markets will continue to behave in a fashion that is consistent with such models. Unlike the closing price of a security on an exchange, fair value determinations employ elements of judgment. Consequently, the fair value assigned to a security may not represent the actual value that the Fund could obtain if it were to sell the security at the time of the close of the NYSE. Pursuant to procedures adopted by the Board, the Fund is not obligated to use the fair valuations suggested by any research service, and valuation recommendations provided by such research services may be overridden if other events have occurred or if other fair valuations are determined in good faith to be more accurate. Unless an event is such that it causes the Fund to determine that the closing prices for one or more securities do not represent readily available reliable market value quotations at the time the Fund determines its NAV, events that occur between the time of the close of the foreign market on which they are traded and the close of regular trading on the NYSE will not be reflected in the Fund’s NAV.

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in the three broad levels listed below:

Level 1 – quoted prices for active markets for identical securities. An active market for the security is a market in which transactions occur with sufficient frequency and volume to provide pricing information on an ongoing basis. A quoted price in an active market provides the most reliable evidence of fair value.

Level 2 – other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.). Examples of level 2 inputs include 1) quoted prices for identical or similar assets in markets that are not active 2) investments valued at amortized cost and 3) investments valued with inputs that are derived principally from or corroborated by observable market data. An adjustment to any observable input that is significant to the fair value may render the measurement a Level 3 measurement.

Level 3 – significant unobservable inputs, including the Funds’ own assumptions in determining the fair value of investments.

In some cases, the inputs used to measure the fair value of an asset or a liability might be categorized within different levels of the fair value hierarchy. In those cases, the fair value measurement is categorized in its entirety in the same level of the fair value hierarchy as the lowest level input that is significant to the entire measurement. The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

 

41


GREEN CENTURY FUNDS NOTES TO FINANCIAL STATEMENTS

 continued

 

The following is a summary of the inputs used to value the Balanced Fund’s net assets as of July 31, 2021:

 

   LEVEL 1   LEVEL 2   LEVEL 3   TOTAL 

COMMON STOCKS

   $270,884,059    $              —      $          —      $270,884,059 

BONDS & NOTES

   —      132,949,877    —      132,949,877 

SHORT-TERM OBLIGATIONS

   5,757,388    —      —      5,757,388 
  

 

 

   

 

 

   

 

 

   

 

 

 

TOTAL

   $276,641,447    $132,949,877    $          —      $409,591,324 
  

 

 

   

 

 

   

 

 

   

 

 

 

The following is a summary of the inputs used to value the Equity Fund’s net assets as of July 31, 2021:

 

   LEVEL 1   LEVEL 2   LEVEL 3   TOTAL 

COMMON STOCKS

   $514,728,212    $       —      $        —      $514,728,212 

SHORT-TERM OBLIGATIONS

   1,031,697    —      —      1,031,697 
  

 

 

   

 

 

   

 

 

   

 

 

 

TOTAL

   $515,759,909    $       —      $       —      $515,759,909 
  

 

 

   

 

 

   

 

 

   

 

 

 

The following is a summary of the inputs used to value the MSCI International Index Fund’s net assets as of July 31, 2021:

 

   LEVEL 1   LEVEL 2   LEVEL 3   TOTAL 
COMMON STOCKS        

JAPAN

   $            —      $28,536,271    $          —      $28,536,271 

CANADA

   17,411,894    —      —      17,411,894 

GERMANY

   —      16,319,396    —      16,319,396 

UNITED KINGDOM

   650,672    15,028,809    —      15,679,481 

SWITZERLAND

   —      15,395,065    —      15,395,065 

FRANCE

   —      14,004,140    —      14,004,140 

NETHERLANDS

   —      12,726,762    —      12,726,762 

DENMARK

   —      8,914,752    —      8,914,752 

AUSTRALIA

   —      7,012,809    —      7,012,809 

HONG KONG

   —      3,510,346    —      3,510,346 

SINGAPORE

   —      2,859,876    —      2,859,876 

SPAIN

   —      2,410,949    —      2,410,949 

SWEDEN

   145,468    2,201,570    —      2,347,038 

IRELAND

   717,230    1,181,096    —      1,898,326 

ITALY

   —      1,571,372    —      1,571,372 

NORWAY

   577,693    911,635    —      1,489,328 

NEW ZEALAND

   —      1,239,575    —      1,239,575 

FINLAND

   —      984,154    —      984,154 

BELGIUM

   —      973,479    —      973,479 

JERSEY

   —      956,543    —      956,543 

ISRAEL

   —      333,056    —      333,056 

PORTUGAL

   159,770    —      —      159,770 
  

 

 

   

 

 

   

 

 

   

 

 

 

TOTAL COMMON STOCKS

   19,662,727    137,071,655    —      156,734,382 
  

 

 

   

 

 

   

 

 

   

 

 

 

SHORT-TERM OBLIGATIONS

   455,750    —      —      455,750 
  

 

 

   

 

 

   

 

 

   

 

 

 

TOTAL

   $20,118,477    $137,071,655    $          —      $157,190,132 
  

 

 

   

 

 

   

 

 

   

 

 

 

 

42


GREEN CENTURY FUNDS NOTES TO FINANCIAL STATEMENTS

 continued

 

There were no transfers into or out of Level 3 during the reporting period.

 (B)

Securities Transactions and Investment Income:    Securities transactions are recorded on a trade date basis. Realized gains and losses from securities transactions are determined using the identified cost basis. Interest income, including amortization of premiums and accretion of discounts on bonds, is recognized on the accrual basis and dividend income is recorded on ex-dividend date. Income, expenses and realized and unrealized gains and losses on investments are allocated to each class of shares in proportion to their relative shares outstanding.

 (C)

Currency Translation and Contracts:    Securities and other assets and liabilities denominated in foreign currencies are translated into U.S. dollar amounts on the date of valuation. Purchases and sales of securities, and income and expense items denominated in foreign currencies, are translated into U.S. dollar amounts on the respective dates of such transactions. Occasionally, events impact the availability or reliability of foreign exchange rates used to convert the U.S. dollar equivalent value. If such an event occurs, the foreign exchange rate will be valued at fair value using procedures established and approved by the Board of Trustees. The Funds do not separately report the effect of fluctuations in foreign exchange rates from changes in market prices on securities held. Such fluctuations are included with the net realized and unrealized gain or loss from investments. Realized foreign exchange gains or losses arise from sales of foreign currencies, currency gains or losses realized between the trade and settlement dates on securities transactions, and the difference between the recorded amounts of dividends, interest, and foreign withholding taxes and the U.S. dollar equivalent of the amounts actually received or paid. Net unrealized foreign exchange gains and losses arise from changes in fair value of assets and liabilities other than investments in securities held at the end of the reporting period, resulting from changes in exchange rates. When a Fund purchases or sells foreign securities, it enters into foreign exchange contracts to minimize foreign exchange risk from the trade date to the settlement date of the transactions. A foreign exchange contract is an agreement between two parties to exchange different currencies at an agreed-upon exchange rate on a specified date. The MSCI International Index Fund had no open foreign currency spot contracts outstanding as of July 31, 2021.

   

Cash, including cash denominated in foreign currencies, represents cash on hand held at major financial institutions and is subject to credit risk to the extent the balance exceeds applicable Federal Deposit Insurance Corporation (FDIC) or Securities Investor Protection Corporation (SIPC) limitations.

 (D)

Distributions:    Distributions to shareholders are recorded on the ex-dividend date. The Funds declare and pay dividends of net investment income, if any, semi-annually and distribute net realized capital gains, if any, annually. The amount and character of income and net realized gains to be distributed are determined in accordance with Federal income tax rules and regulations, which may differ from U.S. GAAP. To the extent that these differences are attributable to permanent book and tax accounting differences, the components of net assets have been adjusted.

 (E)

Federal Taxes:    Each series of the Trust is treated as a separate entity for Federal income tax purposes. Each Fund’s policy is to comply with the provisions of the Internal Revenue Code applicable to regulated investment companies (“RICs”). Accordingly, no provisions for Federal income or excise tax are necessary.

   

U.S. GAAP requires that all entities, including pass-through entities such as the Funds, establish a minimum threshold for financial statement recognition of the benefit of positions taken in filing tax returns (including whether an entity is taxable in a particular jurisdiction). The Funds recognize tax benefits only if it is more likely than not that a tax position (including the Funds’ assertion that their income is exempt from tax) will be sustained upon examination. The Funds had no material uncertain tax positions and have not recorded a liability for unrecognized tax benefits as of July 31, 2021. Also, the Funds had recognized no interest and

 

43


GREEN CENTURY FUNDS NOTES TO FINANCIAL STATEMENTS

 continued

 

 penalties related to uncertain tax benefits through July 31, 2021. At July 31, 2021, the tax years 2018 through 2021 remain open to examination by the Internal Revenue Service.
 (F)

Redemption Fee:    A 2.00% redemption fee is retained by the Funds to offset the effect of transaction costs and other expenses associated with short-term investing. The fee is imposed on redemptions or exchanges of shares held 60 days or less from their purchase date. For the year ended July 31, 2021, the Balanced Fund, Equity Fund and MSCI International Index Fund received $12,330, $9,945 and $5,324 respectively, in redemption fees. Redemption fees are recorded as an adjustment to paid-in capital.

 (G)

Indemnification:    The Funds’ organizational documents provide that trustees and officers are indemnified against certain liabilities arising out of the performance of their duties to the Funds. In the normal course of business, the Funds may also enter into contracts that provide general indemnifications. The Funds’ maximum exposure under these arrangements is unknown as this would be dependent on future claims that may be made against the Funds. The risk of material loss from such claims is considered remote. As of July 31, 2021, no liability has been accrued.

 (H)

Offsetting of Assets and Liabilities:    As of July, 31, 2021, there are no master netting arrangements related to the Funds. The Funds’ Statements of Assets and Liabilities present derivative instruments on a gross basis, if applicable. As of July 31, 2021, no derivative instruments were held by the Funds.

NOTE 2 — Transactions With Affiliates

 (A)

Investment Adviser:    Green Century Capital Management, Inc. (“Green Century”) is the adviser (“the Adviser”) for the Funds. Green Century is owned by Paradigm Partners. Green Century oversees the portfolio management of the Funds on a day-to-day basis. Effective February 1, 2018, Green Century and the Funds on behalf of the Balanced Fund entered into a contractual investment advisory fee waiver agreement pursuant to which Green Century agreed to waive that portion of the fee to which it is otherwise entitled under the Advisory Agreement between Green Century and the Funds with respect to the Balanced Fund, so that Green Century’s investment advisory fee with respect to the Fund shall be equal on an annual basis to 0.65% of the average daily net assets of the Fund up to $250 million and 0.60% of the value of the average daily net assets of the Fund in excess of $250 million, accrued daily and paid monthly. Effective November 28, 2018, the Balanced Fund’s Advisory Agreement was amended to reflect the same reduction in the advisory fee that was stipulated in the fee waiver agreement. Prior to February 1, 2018, the Balanced Fund paid Green Century a fee, accrued daily and paid monthly, at an annual rate of 0.65% of the average daily net assets of the Fund. The Equity Fund pays Green Century a fee, accrued daily and paid monthly, at an annual rate of 0.25% of the Equity Fund’s average daily net assets up to but not including $100 million, 0.22% of average daily net assets including $100 million up to but not including $500 million, 0.17% of average daily net assets including $500 million up to but not including $1 billion and 0.12% of average daily net assets equal to or in excess of $1 billion. The MSCI International Index Fund pays Green Century a fee, accrued daily and paid monthly, at an annual rate of 0.28% of the MSCI International Index Fund’s average daily net assets.

 (B)

Subadvisers:    Trillium Asset Management, LLC (“Trillium”) is the subadviser for the Balanced Fund. Effective February 1, 2018, Green Century, Trillium, and the Funds on behalf of the Balanced Fund entered into a contractual investment subadvisory fee waiver agreement pursuant to which Trillium agreed to waive that portion of the fee to which it is otherwise entitled under the Subadvisory Agreement between Green Century, Trillium and the Funds with respect to the Balanced Fund, so that Trillium’s investment subadvisory fee with respect to the Fund shall be equal on an annual basis to 0.40% of the value of the average daily net assets of the Fund up to $30 million, 0.35% of the value of the average daily net assets of the Fund in excess of $30 million up to $250 million, and 0.30% of the value of the average daily net assets of the Fund in excess of $250 million.

 

44


GREEN CENTURY FUNDS NOTES TO FINANCIAL STATEMENTS

 continued

 

 Effective November 28, 2018, the Balanced Fund’s Subadvisory Agreement was amended to reflect the same reduction in the subadvisory fee that was stipulated in the fee waiver agreement. Prior to February 1, 2018, Trillium was paid a fee by the Adviser at an annual rate of 0.40% on the first $30 million of average daily net assets and 0.35% on average daily net assets in excess of $30 million for its services. For the year ended July 31, 2021, Green Century accrued fees of $1,219,596 to Trillium. Northern Trust Investments, Inc. (“Northern Trust”) is the subadviser for the Equity Fund and MSCI International Index Fund. For the Equity Fund, Northern Trust is paid a fee by the Adviser based on Northern Trust’s fee schedule of the greater of $75,000 or 0.10% of the value of the average daily net assets of the Fund up to but not including $50 million, 0.05% of the average daily net assets of the Fund from and including $50 million up to but not including $100 million and 0.03% of the average daily net assets of the Fund equal to or in excess of $100 million for its services. For the MSCI International Index Fund, Northern Trust is paid a fee by the Adviser based on Northern Trust’s fee schedule of the greater of $100,000 or 0.17% of the value of the average daily net assets of the Fund up to but not including $50 million, 0.12% of the average daily net assets of the Fund from and including $50 million up to but not including $100 million and 0.08% of the average daily net assets of the Fund equal to or in excess of $100 million for its services. For the year ended July 31, 2021, Green Century accrued fees of $175,118 and $164,643 to Northern Trust for the Equity Fund and the MSCI International Index Fund, respectively.
 (C)

Administrator:    Green Century is the administrator (“the Administrator”) of the Green Century Funds. Pursuant to the Administrative Services Agreement, Green Century pays all the expenses of each Fund other than the investment advisory fees; interest; taxes; brokerage costs and other capital expenses; expenses of non-interested trustees (including counsel fees) and any extraordinary expenses. The Balanced Fund pays Green Century a fee at a rate such that immediately following any payment to the Administrator, the total operating expenses of the Fund, on an annual basis, do not exceed 1.48% of the Fund’s Individual Investor Class average daily net assets up to and including $250 million and 1.43% of the Fund’s Individual Investor Class average daily net assets in excess of $250 million, and 1.18% of the Fund’s Institutional Class average daily net assets up to and including $250 million and 1.13% of the Fund’s Institutional Class average daily net assets in excess of $250 million. The Equity Fund pays Green Century a fee at a rate such that immediately following any payment to the Administrator, the total operating expenses of the Fund, on an annual basis, do not exceed 1.25% of the Fund’s Individual Investor Class average daily net assets, and 0.95% of the Fund’s Institutional Class average daily net assets. The MSCI International Index Fund pays Green Century a fee at a rate such that immediately following any payment to the Administrator, the total operating expenses of the Fund, on an annual basis, do not exceed 1.28% of the Fund’s Individual Investor Class average daily net assets, and 0.98% of the Fund’s Institutional Class average daily net assets.

 (D)

Subadministrator:    Pursuant to a Subadministrative and Fund Accounting Services Agreement with the Administrator, UMB Fund Services, Inc. (“UMBFS”) as Subadministrator and Fund Accountant, is responsible for conducting fund accounting and certain day-to-day administration of the Trust subject to the supervision and direction of the Administrator. For the year ended July 31, 2021, Green Century accrued fees of $226,947, $274,237, and $108,080 to UMBFS related to services performed on behalf of the Balanced Fund, the Equity Fund, and the MSCI International Index Fund, respectively.

 (E)

Index Agreements:    The Equity Fund invests in the securities of the companies included in the MSCI KLD 400 Social ex Fossil Fuels Index (the “KLD Index”). The Index is owned and maintained by MSCI ESG Research (“MSCI”). For the use of the KLD Index for the Equity Fund, MSCI is paid by the Adviser an annual license fee of $26,000, plus the greater of $26,000 or at an annual rate of 0.05% on the first $100 million of average daily net assets, 0.04% on the next $100 million of average daily net assets, and 0.03% on average daily net assets in excess of $200 million. The MSCI International Index Fund invests in the securities included in the MSCI World

 

45


GREEN CENTURY FUNDS NOTES TO FINANCIAL STATEMENTS

 continued

 

 ex USA SRI ex Fossil Fuels Index (the “World Index”). The Index is owned and maintained by MSCI. For the use of the World Index for the MSCI International Index Fund, MSCI is paid by the Adviser an annual license fee of $21,150, plus the greater of $25,000 or at an annual rate of 0.05% on the first $100 million of average daily net assets, 0.04% on the next $100 million of average daily net assets, and 0.03% on average daily net assets in excess of $200 million. For the year ended July 31, 2021, Green Century accrued fees of $186,118 and $75,821 to MSCI for the Equity Fund and MSCI International Index Fund, respectively.

NOTE 3 — Investment Transactions

For the year ended July 31, 2021, the Balanced Fund’s cost of purchases and proceeds from sales of securities, other than short-term securities, aggregated $92,378,384 and $57,412,770 respectively. The Equity Fund’s cost of purchases and proceeds from sales of securities, other than short-term securities, aggregated $56,068,765 and $38,352,963, respectively. The MSCI International Index Fund’s cost of purchases and proceeds from sales of securities, other than short-term securities, aggregated $75,133,299 and $37,006,306, respectively.

NOTE 4 — Federal Income Tax Information

The tax basis of the components of distributable net earnings (deficit) at July 31, 2021 were as follows:

 

   BALANCED FUND   EQUITY FUND   MSCI INTERNATIONAL
INDEX FUND
 

Undistributed ordinary income

  $2,184,375   $597,353   $608,514 

Undistributed long-term capital gains

   11,120,985    5,348,471    1,156,779 
  

 

 

   

 

 

   

 

 

 

Tax accumulated earnings

   13,305,360    5,945,824    1,765,293 
  

 

 

   

 

 

   

 

 

 

Accumulated capital and other losses

      

Unrealized appreciation (depreciation)

   142,553,211    283,484,206    32,126,592 

Foreign currency translations

   —      —      20,433 
  

 

 

   

 

 

   

 

 

 

Distributable net earnings (deficit)

  $155,858,571   $289,430,030   $33,912,318 
  

 

 

   

 

 

   

 

 

 

The tax character of distributions paid during the fiscal year ended July 31, 2021 and the year ended July 31, 2020 were as follows:

 

   BALANCED FUND   EQUITY FUND 
   YEAR ENDED
JULY 31, 2021
   YEAR ENDED
JULY 31, 2020
   YEAR ENDED
JULY 31, 2021
   YEAR ENDED
JULY 31, 2020
 

Ordinary income

  $670,021   $1,380,364   $1,620,123   $2,051,600 

Long-term capital gains

   11,202,683    4,185,315    2,863,736    678,002 
   MSCI INTERNATIONAL
INDEX FUND
         
   YEAR ENDED
JULY 31, 2021
   YEAR ENDED
JULY 31, 2020
         

Ordinary income

  $1,385,789   $812,787     

Long-term capital gains

   —      —       

 

46


GREEN CENTURY FUNDS NOTES TO FINANCIAL STATEMENTS

 continued

 

NOTE 5 — Capital Share Transactions

Capital Share transactions for the Balanced Fund, the Equity Fund and the MSCI International Index Fund were as follows:

 

   BALANCED  FUND
INDIVIDUAL INVESTOR CLASS
  BALANCED  FUND
INDIVIDUAL INVESTOR CLASS
 
   

YEAR ENDED

JULY 31, 2021

  

YEAR ENDED

JULY 31, 2020

 

Shares sold

   1,522,668   1,761,134 

Reinvestment of dividends

   328,224   180,586 

Shares redeemed

   (3,196,079  (1,408,560
  

 

 

  

 

 

 
   (1,345,187  533,160 
  

 

 

  

 

 

 
   BALANCED FUND
INSTITUTIONAL CLASS
    
   

PERIOD ENDED

JULY 31, 2021

    

Shares sold

   2,406,989  

Reinvestment of dividends

   19,108  

Shares redeemed

   (109,202 
  

 

 

  
   2,316,895    
  

 

 

  
   EQUITY FUND
INDIVIDUAL INVESTOR CLASS
  EQUITY  FUND
INDIVIDUAL INVESTOR CLASS
 
   

YEAR ENDED

JULY 31, 2021

  

YEAR ENDED

JULY 31, 2020

 

Shares sold

   584,672   805,143 

Reinvestment of dividends

   44,915   36,329 

Shares redeemed

   (983,440  (1,049,915
  

 

 

  

 

 

 
   (353,853)  (208,443) 
  

 

 

  

 

 

 
   EQUITY FUND
INSTITUTIONAL CLASS
  EQUITY FUND
INSTITUTIONAL CLASS
 
   

YEAR ENDED

JULY 31, 2021

  

YEAR ENDED

JULY 31, 2020

 

Shares sold

   941,642   836,576 

Reinvestment of dividends

   25,403   15,047 

Shares redeemed

   (268,728  (236,223
  

 

 

  

 

 

 
   698,317  615,400 
  

 

 

  

 

 

 

 

47


GREEN CENTURY FUNDS NOTES TO FINANCIAL STATEMENTS

 concluded

 

   MSCI INTERNATIONAL INDEX
INDIVIDUAL INVESTOR
CLASS
  MSCI INTERNATIONAL INDEX
INDIVIDUAL INVESTOR
CLASS
 
   

YEAR ENDED

JULY 31, 2021

  

YEAR ENDED

JULY 31, 2020

 

Shares sold

   1,098,251   1,036,568 

Reinvestment of dividends

   19,664   16,768 

Shares redeemed

   (494,063  (560,332
  

 

 

  

 

 

 
   623,852  493,004 
  

 

 

  

 

 

 
   MSCI INTERNATIONAL
INDEX INSTITUTIONAL
CLASS
  MSCI INTERNATIONAL
INDEX INSTITUTIONAL
CLASS
 
   

YEAR ENDED

JULY 31, 2021

  

YEAR ENDED

JULY 31, 2020

 

Shares sold

   3,286,981   2,490,044 

Reinvestment of dividends

   73,909   53,436 

Shares redeemed

   (1,130,521  (1,055,823
  

 

 

  

 

 

 
   2,230,369   1,487,657 
  

 

 

  

 

 

 

NOTE 6 — Market Risk from COVID-19

In March 2020, a pandemic related to COVID-19 was declared. The pandemic represents a market risk factor including uncertainty in the financial markets. Green Century will continue to monitor market conditions as information is available and evaluate the potential impacts, if any, on the value of its investments.

NOTE 7 — Subsequent Events

Subsequent to July 31, 2021 and through the date on which the financial statements were available for issuance, management has evaluated subsequent events requiring disclosure.

There were no events requiring accrual or disclosure.

 

48


REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Shareholders and Board of Trustees

Green Century Funds:

Opinion on the Financial Statements

We have audited the accompanying statements of assets and liabilities, including the portfolios of investments, of the Green Century Balanced Fund, Green Century Equity Fund, and Green Century MSCI International Index Fund (collectively, the Funds), each a series of Green Century Funds, as of July 31, 2021, the related statements of operations for the year then ended, changes in net assets for each of the years in the two-year period then ended, and the related notes (collectively, the financial statements) and the financial highlights for each of the years or periods in the five-year period then ended. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of the Funds as of July 31, 2021, the results of their operations for the year then ended, the changes in their net assets for each of the years in the two-year period then ended, and the financial highlights for each of the years or periods in the five-year period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements and financial highlights are the responsibility of the Funds’ management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Such procedures also included confirmation of securities owned as of July 31, 2021, by correspondence with custodians and brokers, or by other appropriate auditing procedures. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. We believe that our audits provide a reasonable basis for our opinion.

 

LOGO

We have served as the auditor of one or more Green Century investment companies since 1995.

Boston, Massachusetts

September 17, 2021

 

49


SPECIAL MEETING OF SHAREHOLDERS OF THE FUNDS

A special meeting of shareholders of the Green Century Balanced Fund, the Green Century Equity Fund, and the Green Century MSCI International Index Fund was held on June 22, 2021, to consider the proposal below. The proposal was approved. Shareholders of record as of March 31, 2021 were entitled to vote. The results of the vote at the meeting were as follows:

 

   

Affirmative

  

Withheld

  

Total

Jonathan Darnell

  14,633,699.388  554,875.259  15,188,574.647

Daniel S. Kern

  14,599,004.728  589,569.919  15,188,574.647

Peter D. Kinder

  14,753,815.869  434,758.778  15,188,574.647

Douglas H. Phelps

  14,670,611.959  517,962.688  15,188,574.647

Sanford Pooler

  14,676,625.091  511,949.556  15,188,574.647

Mary Raftery

  14,573,240.553  615,334.094  15,188,574.647

James H. Starr

  14,443,142.474  745,432.173  15,188,574.647

Thomas Subak

  14,617,739.780  570,834.867  15,188,574.647

Wendy Wendlandt

  14,840,523.108  348,051.539  15,188,574.647

TAX INFORMATION

For the year ended July 31, 2021, the Balanced Fund, Equity Fund and MSCI International Fund, respectively, had 84.32%, 100% and 0.00% of dividends paid from net investment income qualified for the 70% dividends received deduction available to corporate shareholders.

For the year ended July 31, 2021, the Balanced Fund, Equity Fund and MSCI International Fund, respectively, had 100%, 100% and 100% of dividends paid from net investment income, designated as qualified dividend income.

GREEN CENTURY FUNDS TRUSTEES AND OFFICERS

The following table presents information about each Trustee and each Officer of the Trust as of July 31, 2021. Each Trustee and each Officer of the Trust noted as an “interested person” (as defined in the 1940 Act), and noted with an asterisk, is interested by virtue of his or her position with Green Century as described below. The Trust does not hold annual shareholder meetings for the purpose of electing Trustees, and Trustees are not elected for fixed terms. This means that each Trustee will be elected to hold office until his or her successor is elected or until he or she retires, resigns, dies, or is removed from office.

 

50


The Trust’s Registration Statement includes additional information about the Trustees and is available, without charge, upon request by calling the following toll-free number: 1-800-93-GREEN.

 

NAME, ADDRESS AND AGE 

POSITION(S) HELD

WITH THE TRUST

AND LENGTH OF

TIME SERVED

 

PRINCIPAL OCCUPATION(S) DURING

PAST 5 YEARS AND OTHER DIRECTORSHIPS HELD

 

NUMBER OF

PORTFOLIOS

OVERSEEN

BY TRUSTEE

 
Independent Trustees:  

Jonathan Darnell1

114 State Street

Suite 200

Boston, MA 02109

Age: 61

 Trustee since 2014 Chief Financial Officer, AltEnergy Acquisition Corp. (since 2021); Member, AltEnergy Acquisition Sponsor (since 2021); Managing Director, AltEnergy, LLC, an investment firm, (since 2016); Managing Director, Pickwick Capital Partners (since 2014); President/Founder, Patolan Partners, an advisory and investment firm (since 2011).  3 

Daniel S. Kern

114 State Street

Suite 200

Boston, MA 02109

Age: 60

 Trustee since 2015 Chief Investment Officer, TFC Financial Management (since 2015); President and Chief Investment Officer, Advisor Partners LLC (2011 to 2015); Board member, Wealthramp (since 2015).  3 

Peter D. Kinder

114 State Street

Suite 200

Boston, MA 02109

Age: 74

 Trustee since 2015 Retired; Director, Trillium Asset Management (2013 to 2014).  3 

Sanford Pooler

114 State Street

Suite 200

Boston, MA 02109

Age: 64

 Trustee since 2021 Deputy Town Manager/Finance Director, Town of Arlington, MA (since 2016); Finance Director, Town of Amherst, MA (2011-2016).  3 

Mary Raftery

114 State Street

Suite 200

Boston, MA 02109

Age: 56

 Trustee since 2009 Senior Advisor, Funder Collaborations, ClimateWorks Foundation (since 2014); Organizational Development Consultant, Self-employed (since 2007).  3 

James H. Starr

114 State Street

Suite 200

Boston, MA 02109

Age: 73

 Chairperson since 2009; Trustee since 1991 Retired (since 2018); Consultant, Rainville Petito, PLLC (2016 to 2018); Consultant, Danielson Rainville Attorneys, PLLC (2015); Director and President, Gunnison Valley Housing Foundation (since 2010); Director (since 2011) and President (2015-2018), Coal Creek Watershed Coalition.  3 

Thomas Subak

114 State Street

Suite 200

Boston, MA 02109

Age: 57

 Trustee since 2021 Independent Consultant, Tom Subak LLC (since 2020); Independent Consultant and Chief Partnership Officer, Catchafire, a nonprofit organization (2019-2020); Chief Strategy Officer and Assistant to the President, Planned Parenthood Federation of America (2016-2018).  3 

 

51


NAME, ADDRESS AND AGE 

POSITION(S) HELD

WITH THE TRUST

AND LENGTH OF

TIME SERVED

 

PRINCIPAL OCCUPATION(S) DURING

PAST 5 YEARS AND OTHER DIRECTORSHIPS HELD

 

NUMBER OF

PORTFOLIOS

OVERSEEN

BY TRUSTEE

 
Interested Trustees:   

Douglas H. Phelps*

114 State Street

Suite 200

Boston, MA 02109

Age: 74

 Trustee since 1997 President and Chief Executive Officer, The Public Interest Network (since 1982); Director, Green Century Capital Management, Inc. (since 1996).  3 

Wendy Wendlandt*

114 State Street

Suite 200

Boston, MA 02109

Age: 59

 Trustee since 1991 Director, Green Century Capital Management, Inc. (since 2006); Senior Vice President and Political Director, The Public Interest Network (since 1989); Senior Staff, Fund for Public Interest (since 1989); Acting President, Environment America (since 2020).  3 
Officers:   

Leslie Samuelrich*

114 State Street

Suite 200

Boston, MA 02109

Age 57

 President since 2021 President (since 2012), Green Century Capital Management, Inc.  
Not
applicable
 
 

Matthew Dunlap*

114 State Street

Suite 200

Boston, MA 02109

Age: 48

 Treasurer since 2021 Senior Finance Manager (since 2020) and Treasurer (since 2021), Green Century Capital Management, Inc.; Assistant Vice President, State Street Corporation (2005-2019).  
Not
applicable
 
 

Amy Puffer*

114 State Street

Suite 200

Boston, MA 02109

Age: 62

 Chief Compliance Officer since 2004; Secretary and Assistant Treasurer since 2006 Chief Compliance Officer (since 2004), Clerk and Director (since 2006), Green Century Capital Management, Inc.  
Not
applicable
 
 

1 Jonathan was a Director of Paradigm Partners, the parent company of Green Century Capital Management, Inc., for the period from November 24, 2020 to August 30, 2021. He was deemed an Interested Trustee of the Trust during this period.

 

52


Annual Report

 

INVESTMENT ADVISER AND ADMINISTRATOR

Green Century Capital Management, Inc.

114 State Street

Boston, MA 02109

1-800-93-GREEN

www.greencentury.com

info@greencentury.com

INVESTMENT SUBADVISER (Balanced Fund)

Trillium Asset Management, LLC

Two Financial Center

60 South Street, Suite 1100

Boston, MA 02111

INVESTMENT SUBADVISER (Equity Fund and International Fund)

Northern Trust Investments, Inc.

50 South LaSalle Street

Chicago, IL 60603

SUBADMINISTRATOR and DISTRIBUTOR

UMB Fund Services, Inc. (Subadministrator)

UMB Distribution Services, LLC (Distributor)

235 West Galena Street

Milwaukee, WI 53212

CUSTODIAN

UMB Bank, n.a.

928 Grand Blvd

Kansas City, MO 64106

TRANSFER AGENT

Atlantic Shareholder Services, LLC

Three Canal Plaza

Portland, ME 04101

INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

KPMG LLP

Two Financial Center

60 South Street

Boston, MA 02111

LOGO

July 31, 2021

Balanced

Fund

 

Equity

Fund

 

International

Fund

 

 

LOGO

An investment for your future.

Printed on recycled paper with soy-based ink.


Item 2.

Code of Ethics

 

 (a)

The registrant has adopted a Code of Ethics applicable to the registrant’s principal executive officer, principal financial officer and principal accounting officer or controller.

 

 (c)

During the period covered by this report, there were no amendments to the provisions of the Code of Ethics referred to in Item 2(a) above.

 

 (d)

During the period covered by this report, there were no implicit or explicit waivers to the provisions of the Code of Ethics referred to in Item 2(a) above.

 

 (e)

Not applicable.

 

 (f)

The Code of Ethics is filed as an exhibit to this Form N-CSR.

 

Item 3.

Audit Committee Financial Expert

The Board of Trustees of the registrant has determined that Sanford Pooler, a member of the Board’s audit committee, qualifies as an “audit committee financial expert” as that term is defined in the instructions to Item 3 of Form N-CSR. Mr. Pooler is “independent” as that term is defined in the instructions to Item 3 of Form N-CSR.

 

Item 4.

Principal Accountant Fees and Services

 

 (a)

Audit Fees. The aggregate fees billed for each of the last two fiscal years for professional services rendered by the principal accountant for the audit of the registrant’s annual financial statements or services that are normally provided by the accountant in connection with statutory and regulatory filings or engagements for those fiscal years are as follows.

For the fiscal year ended 7/31/21: $86,500

For the fiscal year ended 7/31/20: $83,000

 

 (b)

Audit-Related Fees. No fees were billed in either of the last two fiscal years for assurance and related services by the principal accountant that are reasonably related to the performance of the audit of the registrant’s financial statements and are not reported under paragraph (a) of this item.

 

 (c)

Tax Fees. The aggregate fees billed for each of the last two fiscal years for professional services rendered by the principal accountant for tax compliance, tax advice and tax planning are as follows. The services comprising the fees disclosed under this category are tax compliance monitoring and tax filing preparation.

For the fiscal year ended 7/31/21: $19,290

For the fiscal year ended 7/31/20: $18,540

 

 (d)

All Other Fees. No fees were billed in each of the last two fiscal years for products and services provided by the principal accountant, other than the services reported in paragraphs (a) through (c) of this item.


 (e)(1)

The Charter of the Audit Committee of the Board requires that the Committee approve (a) all audit and permissible non-audit services to be provided to the Funds and (b) all permissible non-audit services to be provided by the Funds’ independent auditors to the Funds’ investment adviser or administrator or any entity controlling, controlled by, or under common control with the investment adviser or administrator that provides ongoing services to the Funds, if the engagement relates directly to the operations and financial reporting of the Funds. The Audit Committee has the duty to consider whether the non-audit services provided by the Funds’ auditor to the Funds’ investment adviser, administrator, or any adviser affiliate that provides ongoing services to the Funds, which services were not pre-approved by the Audit Committee, are compatible with maintaining the auditor’s independence and to review and approve the fees proposed to be charged to the Funds by the auditors for each audit and non-audit service.

 

 (e)(2)

Zero percent of the services described in each of paragraphs (b) through (d) of this Item were approved by the Audit Committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.

 

 (f)

Not applicable.

 

 (g)

The aggregate non-audit fees billed by the registrant’s accountant for services rendered to the registrant were the tax compliance, tax advice and tax planning fees listed in paragraph (c) of this Item and are as follows. No non-audit fees were billed by the registrant’s accountant for services rendered to the registrant’s investment adviser or any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the registrant for each of the last two fiscal years of the registrant.

For the fiscal year ended 7/31/21: $19,290

For the fiscal year ended 7/31/20: $18,540

 

 (h)

Not applicable.

 

Item 5.

Audit Committee of Listed Registrants

Not applicable.

 

Item 6.

Schedule of Investments

Included as part of the report to shareholders filed under Item 1 of this Form N-CSR.

 

Item 7.

Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies

Not applicable.

 

Item 8.

Portfolio Managers of Closed-End Management Investment Companies

Not applicable.


Item 9.

Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers

Not applicable.

 

Item 10.

Submission of Matters to a Vote of Security Holders

There were no material changes to the procedures by which shareholders may recommend nominees to the registrant’s Board of Trustees.

 

Item 11.

Controls and Procedures

 

(a)

Based on an evaluation of the disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended, the “Disclosure Controls”) as of a date within 90 days of the filing date (the “Filing Date”) of this Form N-CSR (the “Report”), the registrant’s principal executive officer and principal financial officer have concluded that the Disclosure Controls are effectively designed to ensure that information that is required to be disclosed by the registrant in the Report is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission’s rules and forms, including ensuring that information required to be disclosed in the Report is accumulated and communicated to the registrant’s management, including the registrant’s principal executive officer and principal financial officer, as appropriate to allow timely decisions regarding required disclosures.

 

(b)

There were no changes in the registrant’s internal controls over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) that occurred during the fiscal period covered by this report that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.

 

Item 12.

Disclosure of securities lending activities for closed-end management investment companies.

Not applicable.

 

Item 13.

Exhibits

 

(a)(1)  Code of Ethics: Incorporated by reference to the Registrant’s Form N-CSR filed on October 7, 2013.
    (2)  Certifications for each principal executive and principal financial officer as required by Rule 30a-2(a) under the Investment Company Act of 1940, as amended, (17 CFR 270.30a-2(a)) are filed herewith.
    (3)  Not applicable.
    (4)  There was no change in the registrant’s independent public accountant for the period covered by this report.
(b)  Certifications required by Rule 30a-2(b) under the Investment Company Act of 1940, as amended, (17 CFR 270.30a-2(b)) are filed herewith.


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

Green Century Funds
/s/ Leslie Samuelrich    
Leslie Samuelrich
President and Principal Executive Officer
October 1, 2021

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

 

/s/ Leslie Samuelrich    
Leslie Samuelrich
President and Principal Executive Officer
October 1, 2021

 

/s/ Matthew Dunlap      
Matthew Dunlap
Treasurer and Principal Financial Officer
October 1, 2021