Mondo Visione Worldwide Financial Markets Intelligence

FTSE Mondo Visione Exchanges Index:

Markit Carbon Disclosure Leadership Indices

Date 01/12/2009

On 2nd December, Markit will launch the Markit Carbon Leadership Global Index. This global equity index is based on 1,500 companies from developed countries and includes most of the index constituents from the indices previously launched for the US, UK and European markets.

These equity indices are designed to be used as benchmarks and as the basis for financial products including structured products and exchange traded funds (ETFs).

Key benefits:

Provides exposure to companies with strong climate change policies
Sector neutral to emphasise comparability with other index benchmarks
Inclusive approach rewarding company improvements
Based on data provided by
Carbon Disclosure Project

Some companies are preparing for a situation where carbon emissions become costly to the economy. Markit believes that these companies will have a strategic advantage over their competitors and the CDP leadership survey is the industry standard in identifying them. This index family tracks the performance of companies that score highly on the survey: within each sector the companies with the best CDP annual scores are overweighted against the companies within the sector with lower scores. At the annual rebalance the Markit Carbon Disclosure Leadership index family is sector neutral.

The CDP methodology encourages companies to be transparent and accountable about their climate change policies. Companies are scored by independent professional services firms based on the quality of information disclosed by each company in the universe of CDP’s annual survey. Since 2000, the Carbon Disclosure Project (CDP) has, on behalf of institutional investors, challenged the world's largest companies to measure and report their long-term value and cost of climate change into their assessment of the financial health and future prospects of their business. This year, CDP (backed by 475 institutional investors representing more than US$55 trillion of funds under management) sent questionnaires to more than 3,700 of the world's largest corporations requesting information on greenhouse gas emissions, the potential risks and opportunities related to climate change and strategies for managing those risks and opportunities. The responses are available at www.cdproject.net

Performance

Global

US

UK

Europe

* As of 30/10/2009

Licensing enquiries can be directed to equitysales@markit.com. 

For further information on Markit Carbon Disclosure Indices please visit the Markit website