Lyxor launches new ETFs on water and new energy

Lyxor Asset Management, the ETF arm of Société Générale, has unveiled two new ETFs investing in water and new energy. The Lyxor ETF New Energy is linked to the World Alternative Energy Index, a market cap-weighted benchmark comprising 20 stocks active in the alternative energy area, including renewable energy, energy efficiency and decentralised energy supply. The Lyxor ETF World Water is linked to the World Water Index, a cap-weighted index comprising 20 stocks active in three areas of water: infrastructure, treatment and utilities. The index is rebalanced every quarter and revised every six months.

“Our target clients are long-term investors who put a real premium on asset allocation and we believe that, in the current market climate which is poor for equities, the water and new energy sectors have characteristics for true long term growth,” says Daniel Draper, global head of ETFs for Lyxor. “Demand has come primarily from institutional fund of fund managers, discretionary private clients, private banking, retail clients and even specific green funds. These ETFs enable a much broader