Arguably, a precursor to any investment in a sector by Institutional Fund Managers is the establishment of an index that defines a sector and enables third parties to judge their performance. 

Well KLD Research and Analytics have just done that, launching the KLD Global Climate 100. This is now the 3rd such index, coming after the launch earlier this year of the similar 50 stock strong New Energy Finance Global Energy Innovation Index and the Wilderhill Clean Energy Index which came first but includes some OTC stocks.

Said Peter D. Kinder, founder and president of KLD Research & Analytics, Inc. "The Global Climate 100 includes companies making meaningful contributions to the commercialization of renewable energies such as solar and wind, future fuels such as natural gas and hydrogen, and innovations or applications of new technologies that help to reduce emissions of greenhouse gases".

Expect to see a few more indices established over the coming years.