Chicago Climate Exchange ejected from HSBC Climate Index for loss of value

"The banking giant HSBC removed two companies involved in carbon trading from its Climate Change Index on Monday because they had lost too much value....

• “Carbon trading was the major loser from Copenhagen,” HSBC analysts said in their March 21010 Quarterly Index Review. “Cap and trade needs hard targets and binding rules – and Copenhagen delivered neither,” HSBC said.

The two companies ejected were Climate Exchange and Trading Emissions. Both companies are based in the Isle of Man and listed on the London Stock Exchange.

Climate Exchange owns the

• European Climate Exchange,
• the Chicago Climate Exchange and the Chicago Climate Futures Exchange.

The chairman of Trading Emissions, Neil Eckert, is also the chief executive of Climate Exchange....

• The revised rating by HSBC is another example of how expectations for carbon trading, also known as “cap-and-trade,” have diminished over the past year--...

HSBC said those disappointments were reflected in the value of the companies reliant on carbon trading; the companies HSBC removed from the index had

• failed to reach the minimum market capitalization of $400 million."...

"HSBC ejects carbon traders from index," by James Kanter , 3/29/10, NY Times, Green Inc., via Tom Nelson (party hat added by editor of this blog)

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