By Maitane Sardon
CDP, a U.K.-based nonprofit that works with companies to help them disclose their environmental impact, is launching a global index of environmental stocks with Goldman Sachs to meet investor demand for sustainable investment vehicles.
The Euronext CDP Environment World EW index selects stocks based on corporate performance across the environmental challenges of climate change, water security and deforestation, the nonprofit said Wednesday.
The index includes 20 North American and 20 European companies that CDP rates highly for their disclosures of and action on carbon emissions, for their management of water, and for their impact on deforestation.
L'Oreal SA (OR.FR), Alphabet, Microsoft, ING Groep NV, Diageo, Philips Electronics Ltd. and Danone are some of the stocks included in the index.
"ESG themes are a central topic in our economy's current development and a subject of growing concern and interest from investors," said Marine Abiad, head of distribution France at Goldman Sachs for structured products.
Along with the global index launch, CDP said it is introducing the Euronext CDP Environment Eurozone EW, an index that includes 50 European stocks that the nonprofit ranks as the best performers on environmental issues.
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