Barclays Bank PLC, an intermediary in the environmental markets, announced that it has launched the iPath Global Carbon Exchange-Traded Note (ETN) on the NYSE Arca stock exchange. It is the first iPath ETN to offer investors exposure to the global price of carbon.
The iPath ETN is linked to the Barclays Capital Global Carbon Index Total Return. The index tracks the performance of the most liquid carbon credits associated with the worlds major greenhouse gas emissions trading plans and is designed to be a global industry benchmark for carbon-related investing. Currently, the index includes two plans: European Union Emissions Trading Scheme and the Kyoto Protocols Clean Development Mechanism. Eligible plans are selected from the growing universe of tradable carbon credits.
“The global carbon arena has the potential to become one of the worlds largest commodities markets and we are pleased to offer investors exposure to this growing market,” says Philippe El-Asmar, head of solution sales, Americas at Barclays Capital. “The launch of this product underscores the importance of our environmental markets business and providing clients with access to harder-to-reach markets.”
Barclays also launched ten new iPath ETNs designed to offer exposure to sub-indices of the Dow Jones-AIG Commodity Index Total Return. They are linked to aluminum, cocoa, coffee, cotton, lead, platinum, precious metals, softs*, sugar and tin.
The new iPath ETNs have a 30-year maturity and are senior, unsecured, unsubordinated debt securities issued by Barclays Bank PLC linked to the performance of a market index. Investors can trade iPath ETNs on an exchange at market prices.
Barclays Bank PLC is the issuer, Barclays Capital Inc. is the issuers agent, and Barclays Global Investors Services is the promoter of iPath ETNs to intermediaries.