* New index will measure performance of 21 companies
* Companies operate in five green sectors
OTTAWA, March 25 (Reuters) - Investors can now track the performance of Toronto-listed green energy companies on the new S&P/TSX clean technology index .GSPTXCT, launched on Thursday by Standard & Poor’s and TMX Group Inc (X.TO), parent of the Toronto Stock Exchange.
The index, created in response to growing investor demand, tracks 21 Canadian-based companies whose core business is the development and use of green technologies and sustainable infrastructure.
“Toronto Stock Exchange has become a key listing, financing and trading destination for clean technology companies,” said Ungad Chadda, senior vice-president of the TSX.
“The creation of the S&P/TSX clean technology index is a significant step forward for this important new industry sector.”
The companies operate in five sectors: renewable energy production and distribution, renewable energy manufacturing and technologies, energy efficiency, waste reduction and water management, and low-impact materials and products.
“A growing number of investors are interested in the clean technology investing theme,” said Jasmit Bhandal, director of S&P Indices in Canada.
“This new index provides a gauge for investors to assess the hypothesis that global interest in clean technology will lead to a favorable environment for clean technology companies.”
Securities, which must each have a float-adjusted market value of at least C$100 million ($98 million), are screened by Jantzi-Sustainalytics, which provides environmental, social and governance research and analysis.
The weight of each stock is based on its float-adjusted market cap, but is modified so that no one stock has a weight of more than 10 percent.
$1=$1.02 Canadian Reporting by Susan Taylor; editing by Rob Wilson