Alternative Energy Stock Index Prepares To Launch 5/12 On NYSE

[hatrack]

A new index tracking the performance of a portfolio of US alternative energy stocks is set to be launched on Friday, among the first to focus on the relatively young and fast-growing sector.

The launch comes as high oil prices, geopolitical uncertainty and worries about climate change are generating growing investor interest in non-hydrocarbon based energy businesses.

EDIT

Because many of the companies were young and their markets developing fast, the new index was likely to be volatile, Mr Merriman said. "There's going to be a lot of movement, a lot of volatility, a lot of winners, a lot of losers."

The inclusion and weighting of companies in the new index is based on a range of factors, including Mr Tanous' analysis. Fuel cell and solar technologies will each account for 25 per cent of the index, while alternative fuels and energy storage will carry a weighting of 15 per cent each. The index is scheduled to begin trading on Friday under the NGE.X symbol and will be rebalanced semi-annually or as technological developments dictate.

EDIT/END

http://msnbc.msn.com/id/12650264/

[brokensymmetry]

1. Interesting!

Thanks for posting this!

[orwell]

2. Hmmmm...

...time to sell?