SolarCity® announced on March 9th a strategic partnership with Incapital, a major distributor of securities to financial institutions and investment advisors including many of the nation’s largest brokerage firms, to expand the availability of Solar Bonds for investors across the U.S.  As a result of this strategic partnership, investors are able to purchase Solar Bonds through their brokerage and IRA accounts at many major financial institutions for the first time.
 
In October 2014, SolarCity launched the nation’s first registered offering of Solar Bonds, allowing individual investors to participate in the rapid growth of solar power in the U.S. with the controlled risk of bonds. The earnings on Solar Bonds come from SolarCity and the monthly solar payments the company receives from its more than 190,000 customers — homeowners, schools, and businesses who have made the switch to clean, affordable energy.  Offering interest rates as high as 5.45 percent, the bonds offer a competitive alternative to other savings and investment products—such as savings accounts, CDs, treasury bonds, and municipal bonds—and meet a growing appetite for investment opportunities that are both financially attractive and support important goals such as protecting the environment and creating American jobs.
 
Sustainable, responsible and impact investing (SRI) assets have grown 76 percent in just two years and account for more than one out of every six dollars [1] under professional management in the U.S.  New offerings such as Solar Bonds make it possible for even more individuals to choose investments that serve both their financial and social goals.

While individuals may still invest directly though SolarCity’s online investment platform, the joint effort with Incapital will make Solar Bonds available to investors through the investment advisors who serve as their trusted financial intermediaries. Investors will be able to purchase solar bonds for as little as $1,000, with maturities ranging from one year to fifteen years.  To learn more, please visit solarbonds.solarcity.com.

[1] According to The Forum for Sustainable and Responsible Investment’s “Report on US Sustainable, Responsible and Impact Investing Trends 2014”