Multitype

Subtype

Definition: Multi-type indexes aggregate multiple green assets of various asset types into a single value or metric.

Description

Unlike monolithic indexes, which consolidate multiple assets of the same type, multi-type indexes combine various asset types to provide a comprehensive measurement that reflects a diverse set of asset categories.

In that sense, multi-type indexes are designed to offer a broad overview of performance or value by incorporating multiple asset types into one unified index. This approach allows stakeholders to assess the combined impact or performance of different asset categories, such as environmental projects, financial instruments, or sustainability metrics, within a particular framework or region.

Example

The Global Regen Atlas Index (GRAI) could be a proposed multi-type index that aggregates all types of green assets listed on the Atlas. The GRAI would therefore combine several categories of assets into a single index to provide a holistic view of global green impact. This includes environmental projects, renewable energy investments, sustainable agricultural practices, and many more.

The GRAI would be calculated by aggregating the performance metrics or values of the different asset types included in the index. Each asset type would be weighted based on its relevance, contribution, and impact within the index framework. The result is a single value that represents the overall performance and impact of the combined asset categories.

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