As global market participants become more interested in measuring the impact of the green economy on their portfolios, FTSE Russell has recently developed a Green Revenues (LCE) data model and related FTSE Green Revenues Index Series to track companies around the world that generate green revenues.
As the world transitions to a green economy, these measures enable FTSE Russell to determine which regions of the world include companies that generate revenues from goods, products and services that help the world adapt to, mitigate or remediate the impact of climate change, resource depletion or environmental erosion. The company recently released a global map to illustrate the relative “green” nature of global economies. In the illustration below, countries are shaded green if they have at least one company that generates green revenues, with the shade of green getting darker as the percentage of total companies with green revenues within a country gets higher.
Gordon Morrison, Managing Director at FTSE Russell:
“Our global ‘heat map’ is a very simple illustration of our LCE data model and provides a bird’s eye view for investors of the greening of the global markets on a country-by-country basis. According to our most recent measure, Finland has the most green companies as a proportion of the total, Europe is the greenest region and Japan leads Asia in green companies. Also, interestingly, based on our analysis, the United States is currently greener than China and, somewhat surprisingly, South America has a relatively high level of green companies.”
Green World: FTSE Russell Global Map Highlights Countries With Most Companies with Green Revenues
Source: FTSE Russell. Data as of September 12, 2016.
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