Launch Of BSE-GREENEX To Promote Investments In Green India

Launch Of BSE-GREENEX To Promote Investments In Green India

Indian markets witnessed the launch of the first-ever live Carbon Index BSE-GREENEX, at the hands of Dr. (Shri) M Veerappa Moily, Hon’ble Minister of Corporate Affairs, GoI at BSE today.

BSE Ltd. (Formerly Bombay Stock Exchange Ltd.) in association with gTrade (supported by GIZ promoted by Federal Republic of Germany, Observer Research Foundation and IIM Ahmedabad)  has constructed BSE-GREENEX - designed specifically to promote green investing, with emphasis on financial performance and long term viability of companies. It is based upon purely quantitative and objective performance signals to assess carbon performance. BSE-GREENEX includes top 20 companies based on Green House Gas Numbers, Free Float Market capitalisation & Turnover.

In keeping with BSE’s efforts to create fund friendly Indices, it is the third Index which is calculated based on the capping methodology. This Index will be helpful to Asset Managers for creation of various products, to help investors to invest in the green theme of India. BSE-GREENEX is expected to have a feedback effect on companies’ reputation. It will help the Government to gauge policy implementation and acceptance with regard to energy usage and efficiency measures, as the market follows an efficient signalling mechanism which adjusts positively or negatively to any news/policy shifts.

At the launch ceremony at BSE, Dr. (Shri) M. Veerappa Moily, Hon’ble Minister of Corporate Affairs, said, “It is my belief that companies and investors in developing countries like India, need to recognize the value created by corporations through the efficient and sensible use of energy. The Ministry of Corporate Affairs has been very active in this regard. I am delighted to be here at the launch of BSE-GREENEX that lists companies that are able to marry financial performance and carbon efficiency. I feel that this Index’s objectivity will be its strength and the differentiator.”

Shri Madhu Kannan, MD & CEO, BSE, stated, “India is in a unique position to create a low-carbon green economy. So far India has focused on the fiscal aspect of economic growth. Now, it’s time we think about the environmental aspects of growth also. I am delighted that BSE in keeping with its tradition of innovation is today launching a carbon index – the ‘BSE Greenex’. BSE will continue to contribute in full measure towards the Ministry of Corporate Affairs efforts of green and sustainable development in India Inc.”

Shri Rajiv Agarwal, Whole Time Member, SEBI, Shri Sunjoy Joshi, Director, ORF, Prof. (Shri) Amit Garg, IIM Ahmedabad and Shri Samir Saran, Chairman, gTrade were also present at the launch and spoke on the subject.

For more information about the Index please visit:
http://www.bseindia.com/about/abindices/Carbon.asp