The FTSE Environmental Markets Index Series is broken down into two sub-series: the FTSE Environmental Technology Index Series and the FTSE Environmental Opportunities Index Series. Both are based on FTSE Russell’s Green Revenues Classification System (GRCS), and use the Green Revenues 2.0 data model for constituent selection. Details of the GRCS are provided in Index Resources below. The family has been developed with oversight by the independent FTSE Green Industries Advisory Committee, which is composed of clean technology analysts, scientists and experts drawn from asset owners/pension funds and market participants.
The indexes are suitable for benchmarking purposes and can be used as tools in the creation of financial products, such as institutional and retail funds, exchange traded funds (ETFs) and derivatives.
The family includes:
Indexes within this series measure the performance of companies globally whose core business is in the development and deployment of environmental technologies, including renewable and alternative energy, energy efficiency, water technology and waste and pollution control. Companies are required to have at least 50% of Green Revenues derived from transformational environmental technologies in order to be eligible for the FTSE Environmental Technology Index Series.
Indexes within this series measure the performance of global companies that have significant involvement in environmental business activities, including renewable and alternative energy, energy management and efficiency, water infrastructure and technology, and waste and pollution control. Companies are required to have at least 20% of Green Revenues derived from environmental products and services in order to be eligible for the FTSE Environmental Opportunities Index Series.
Index rules should be read in conjunction with supportingFTSE Russell noticesThese notices advise of advance changes in index methodology, which may not be reflected in index rules until the change effective date. The notices may also communicate revisions in index treatment in the period up to a rule change.