Investing in solar energy through a retirement account just got easier, thanks to a new initiative.
Major solar provider SolarCity announced Monday that it was partnering with securities and investment firm Incapital to allow Americans to invest in Solar Bonds through their IRAs or financial advisers.
Solar Bonds, which were created by SolarCity in 2014, are a way for Americans to invest in solar through a bond structure, rather than buying stock in a company. Bonds are similar to a loan made to a company which is paid back to the investor, with interest, over time, and are typically considered less risky than stocks. Before SolarCity’s new partnership, people interested in purchasing Solar Bonds had to go through SolarCity; now, they can do it through through the financial company that manages their retirement account. The bonds start at $1,000 and have maturities of up to 15 years and annual interest as high as 5.45 percent.