Leading stock exchange BSE is in discussion with asset managers to launch an exchange-traded fund (ETF) based on its climate change index.
The new index will help investors to focus on companies' environmental track-records and preparedness for climate change to mitigate risk events.
"We are in discussion with several asset management companies for the climate change ETF," BSE Chief Executive Officer and Managing Director Ashishkumar Chauhan said here.
Without giving any timeline for the launch, he said "it will take a couple of years."
However, Chauhan did not divulge the name of assets managers.
Globally, there is a lot of demand for green investment options.
BSE, launched S&P BSE Carbonex index in November 2012, based om BSE 100, which recognises companies that are committed to climate change mitigation.
