UBS and Diapason Commodities Management have announced the launch of the UBS Diapason Global Biofuel Index, the first commodity-based index ...

UBS and Diapason Commodities Management have announced the launch of the UBS Diapason Global Biofuel Index, the first commodity-based index for biofuels. This global index will cover a range of commodities used in the production of ethanol and biodiesel. It is weighted to reflect the importance of each individual commodity used in the production of ethanol and biodiesel as well as the liquidity of the underlying futures. The index will be published in US dollars, Euros, Swiss Francs and Yen. UBS and Diapason do not believe that alternative fuels will eclipse the importance of oil in the near future, but will at least help to meet the growing worldwide demand for energy as well as reduce CO2 emissions. Diapason Commodities, based in Lausanne, Switzerland, and London, was set up three years ago by James Rogers, who co-founded the Quantum hedge fund with George Soros in 1970. Mr Rogers said earlier this year that agricultural futures, such as corn and soybeans, are the best investment targets among commodities because they are undervalued.