Socit Gnrale Index (SGI) has launched SGI Global Carbon, an equity index offering exposure to stocks that exhibit the lowest carbon intensity amongst the worldwide Industrial, Utilities, Energy, Capital Goods and Materials sectors.
According to research by Socit Gnrale Corporate & Investment Banking, there is a growing interest from investors who wish to capitalize on low carbon-intensive companies that are better positioned to contend with new regulations and technologies tackling climate change. The SGI Global Carbon Index provides a unique benchmark for investors seeking to
combine equity allocation in industrial sectors with low carbon exposure.Part of SGIs β-research range, the index is invested mainly in North America, Europe and Asia. It offers a selection of 30 low-carbon intensive stocks, from an initial coverage of more than 1,500 companies.The selection of stocks is carried out by a model jointly developed by Centre Info, a leading sustainable investment consulting and rating firm, and the Socially Responsible Investment (SRI) equity research team of Socit Gnrale Corporate & Investment Banking.
The selection process identifies companies with a very low level of carbon emissions, from the supply chain to production to product use, as well as limited exposure to carbon costs driven by emerging regulations and technological changes.
The SGI indices can be replicated using tracker funds such as exchange traded funds (ETFs) and through Socit Gnrale certificates. Investments can also be made using structured products.
The index is calculated and published on a daily basis by Standard & Poors, a division of the McGraw-Hill Companies, Inc.