As stocks soared on the New York Stock Exchange Monday following a better than expected start to the U.S. shopping season, the exchange’s operator, NYSE Euronext, announced a new partnership with researcher Bloomberg New Energy Finance (BNEF) to create three new regionally-focused clean energy stock indices.
The indices will track a collection of 125-325 renewable energy companies in three regions: the Americas, Europe-Middle East-Africa (EMEA), and Asia and Oceania (ASOC).
Michael Liebreich, chief executive of Bloomberg New Energy Finance commented that, although several clean energy equity indices already exist, “there is a need for more detail.” The companies say the detail provided in the new indices will establish “a solid foundation for tracking the regional exposures by domicile for clean energy initiatives while accurately weighting each company’s economic exposure to their respective sector.”
With a booming global clean energy market, financial companies and analysts are racing to stay on top of the numbers and mapping out trends. The joint statement noted that 2010 was a record year for new clean energy investment, as it reached $243 billion.
According to BNEF, 2011 is on track to break records as well. Last month the company released a report that shows global investment in clean energy jumped 16% to 45.4 billion in the Q3 2011.
With the recent bankruptcies in the U.S and subsequent national scepticism surrounding government-backed clean energy projects, it is unclear if 2012 will record such growth. However, as BNEF and NYSE Euronext highlight, the United States may not be the benchmark for clean energy. According to the new partners, the Asia and Oceania regional index, driven by China, has approximately as many qualifying equities as there are in the EMEA and Americas regional indices combined.
“Asia has taken over as the most dynamic area for clean energy investment, while the Americas are playing host to entrepreneurial effort in first- and second-generation biofuels and a take-off in wind development in Latin America,” said Liebreich.
The business partnership will not stop with the launch of the regional clean energy stock indicies. The companies plan to establish individual indices tracking shares for each of following categories:
- Solar power companies
- Wind power companies stocks
- Energy-smart technologies companies (companies specializing in efficiency, storage and smart grid)
- Electric vehicle development companies
For Liebreich the collaboration with NYSE Euronext will bring together a “family of indices that will generally be tradable and innovative, and serve as extraordinary research tools.”
Image Credit: Silveira Neto via Flickr