S&P launches Global Eco Index

Standard & Poor’s has announced the launch of a new investable index for investors seeking exposure to environmentally responsible investment strategies.

The S&P Global Eco Index provides diversified, liquid exposure to 30 of the largest publicly listed companies operating in ecology-related industries, including clean energy production, water utilities and infrastructure, timber, environmental services and waste management.

The S&P Global Eco Index covers 12 countries at launch with an adjusted market capitalisation of $376.87 billion, including Brazil, Canada, Denmark, France, Germany, Great Britain, Hong Kong, Japan, Norway, Spain, Switzerland and the United States.

"Investors the world over have come to understand that climate change and environmental responsibility are pressing issues that may present significant investment risks and opportunities," said Steven Goldin, Vice President, Portfolio Services for Standard & Poor's. "By incorporating a diverse range of eco-friendly themes as well as adopting a global approach to a global challenge, the S&P Global Eco Index focuses on companies that have positioned themselves to address these challenges and this will in turn help investors to focus their investment decisions where there are potential environment-related economic benefits.”

To be eligible for inclusion in the S&P Global Eco Index, companies must have a listing on a developed market exchange, a total market capitalization of at least US$1 billion, and a three-month average daily trading value of more than US$2 million. S&P Global Eco Index constituents must also be a current member of the S&P Global Clean Energy Index, S&P Global Timber & Forestry Index, S&P Global Water Index or the S&P/Citigroup Global Environmental Services Sector Index.

The S&P Eco Index is the eighth index in the widely used S&P Global Thematic Index Series, which provides exposure to budding investment themes that cut across traditional industry definitions and geographic boundaries. Other indices in this series include the S&P Emerging Markets Infrastructure Index, S&P Global Alternative Energy Index, and the S&P Global Nuclear Energy Index.

For more information on Standard & Poor’s expanding range of emerging market and thematic indices, including methodology, please visit: standardandpoors.com/indices.