Cleantech index

Cleantech Index

The Cleantech Index® was developed to capture the investment potential associated with the substantial increase in the economic value of clean technologies that will inevitably be unlocked as the global population adjusts to the linkage between economic development and resource sustainability. The primary intent of CTIUS is to reflect, as best as possible, the growth and commercial success of the world's premier cleantech companies as demonstrated by the investment returns of their shares, i.e., capital appreciation and dividends.

Trading on the New York Stock Exchange (NYSE) since January 15, 2009, Cleantech Index (CTIUS) was introduced on the American Stock Exchange (ASE) in February, 2006 and represented the first index of its kind. The purpose of CTIUS was to provide the first cost-effective way to invest in the rapid growth of clean technology companies (which are found in a variety of industrial sectors). Within the Index, CTIUS companies fall into industrial sectors corresponding with the Cleantech Group's definition of cleantech
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Quality Screens
The index reflects the growth and commercial success of the best world's leading cleantech companies as demonstrated by the investment returns on their shares, i.e. capital appreciation and dividends. The value of CTIUS to investors is driven by five key factors:

Rigorous screening process for component companies
Weighting to ensure sector diversity that is representative of the overall growth of cleantech products and services
A scalable index design to accommodate growth
Enables low-cost, low-effort, liquid investment vehicles
Offer a clearly differentiated product
CTIUS is designed not only to reflect the broad advance of cleantech businesses, but also to maximize the risk-adjusted total return to investors without sacrificing purity by choosing the highest quality companies as possible and achieving sufficient diversification to minimize both company and sector risk.

Basic screening criteria for CTIUS components include
Market capitalization and liquidity
Purity, i.e. the percentage of their business that is cleantech
Quality of company versus other potential peer companies
Sector redundancy

Download the Guide to the Cleantech Index