Cleantech Capital Group, in a joint venture with venture capital firm Hydrogen Ventures, plans to launch an investible index of companies engaged in energy-efficient or environmentally efficient technology, said Nicholas Parker, Cleantech chairman.
Cleantech Capital Indices and the American Stock Exchange entered into an agreement for the exchange to begin calculating, pricing and posting the Cleantech index of 75 U.S.-listed companies, said Scott Ebner, vice president-new product development for the exchange, and Mr. Parker. The index companies have a combined market capitalization in excess of $100 billion, Mr. Parker said.
Messrs. Ebner and Parker said pricing and posting will begin later this month or in March, when the components of the index also will be publicly disclosed.
The companies in the index have at least 50% of their sales from products or services that reduce energy consumption, pollution or waste and improve operational performance or productivity, Mr. Parker said,
Cleantech Indices is negotiating with money management firms to license the new index for investment products, including an exchange-traded fund and fixed-interest instruments, said Mr. Parker and Elias Azrak, a Cleantech Capital Indices principal and co-founder of the new index, and a senior managing partner of Hydrogen Ventures. They declined to name the firms. They expect the ETF and other investment products to be launched in about six months.
"The Cleantech Index will bring liquidity to this segment of the market and provide investors with a way to participate in what is a growth" area, Mr. Parker said.