Green trading encompasses all forms of environmental

financial trading A financial market is a market in which people trade financial securities and derivatives at low transaction costs. Some of the securities include stocks and bonds, raw materials and precious metals, which are known in the financial market ...

, including

carbon dioxide Carbon dioxide (chemical formula ) is a chemical compound made up of molecules that each have one carbon atom covalently double bonded to two oxygen atoms. It is found in the gas state at room temperature. In the air, carbon dioxide is transpar ...

sulfur dioxide Sulfur dioxide (IUPAC-recommended spelling) or sulphur dioxide (traditional Commonwealth English) is the chemical compound with the formula . It is a toxic gas responsible for the odor of burnt matches. It is released naturally by volcanic activ ...

(

acid rain Acid rain is rain or any other form of precipitation that is unusually acidic, meaning that it has elevated levels of hydrogen ions (low pH). Most water, including drinking water, has a neutral pH that exists between 6.5 and 8.5, but acid ...

nitrogen oxide Nitrogen oxide may refer to a binary compound of oxygen and nitrogen, or a mixture of such compounds: Charge-neutral *Nitric oxide (NO), nitrogen(II) oxide, or nitrogen monoxide *Nitrogen dioxide (), nitrogen(IV) oxide * Nitrogen trioxide (), or n ...

(

ozone Ozone (), or trioxygen, is an inorganic molecule with the chemical formula . It is a pale blue gas with a distinctively pungent smell. It is an allotrope of oxygen that is much less stable than the diatomic allotrope , breaking down in the lo ...

renewable energy credits Renewable Energy Certificates (RECs), also known as Green tags, Renewable Energy Credits, Renewable Electricity Certificates, or Tradable Renewable Certificates (TRCs), are tradable, non-tangible Energy certificate, energy certificates in the United ...

, and

energy efficiency Energy efficiency may refer to: * Energy efficiency (physics), the ratio between the useful output and input of an energy conversion process ** Electrical efficiency, useful power output per electrical power consumed ** Mechanical efficiency, a ra ...

(

negawatts A negawatt market is a proposed idea of implementation of the demand response ( balancing the electrical grid through the changes in consumption) that uses an energy market where the commodity traded is a ''negawatt-hour'', a unit of energy sa ...

). All these emerging and established environmental financial markets have one thing in common, which is making profits in the emerging

emissions Emission may refer to: Chemical products * Emission of air pollutants, notably: **Flue gas, gas exiting to the atmosphere via a flue ** Exhaust gas, flue gas generated by fuel combustion ** Emission of greenhouse gases, which absorb and emit rad ...

offset economy by investing in "

clean technology Clean technology, in short cleantech, is any process, product, or service that reduces negative environmental impacts through significant energy efficiency improvements, the sustainable use of resources, or environmental protection activities. Cle ...

". Green Trading claims to accelerate change to a cleaner

environment Environment most often refers to: __NOTOC__ * Natural environment, all living and non-living things occurring naturally * Biophysical environment, the physical and biological factors along with their chemical interactions that affect an organism or ...

by using market-based

incentives In general, incentives are anything that persuade a person to alter their behaviour. It is emphasised that incentives matter by the basic law of economists and the laws of behaviour, which state that higher incentives amount to greater levels of ...

whose application is global. Some examples, such as the carbon market or market for SO2 suggests that market-based systems are more likely environmentally effective because market systems will direct abatement to relatively larger and more heavily utilized sources with relatively high emission intensities. . Many current projects to advance

green technology Environmental technology (envirotech) or green technology (greentech), also known as ''clean technology'' (''cleantech''), is the application of one or more of environmental science, green chemistry, environmental monitoring and electronic device ...

are recipients of funding generated through the voluntary carbon offset market in the United States. Though currently not required to do so, many companies are seeking ways to clean up their

environmental impact Environmental issues are effects of human activity on the biophysical environment, most often of which are harmful effects that cause environmental degradation. Environmental protection is the practice of protecting the natural environment on t ...

. Bad energy practices that they cannot eliminate, they may offset; knowing that they are funding projects that are actively developing cleaner energy practices and increasing

for the future. In November 2008, in a unique partnership initiated by Verus Carbon Neutral, 17 businesses of Atlanta's

Virginia Highland Virginia, officially the Commonwealth of Virginia, is a state in the Mid-Atlantic and Southeastern regions of the United States, between the Atlantic Coast and the Appalachian Mountains. The geography and climate of the Commonwealth are s ...

came together to establish themselves as the first

carbon-neutral Carbon neutrality is a state of net-zero carbon dioxide emissions. This can be achieved by balancing emissions of carbon dioxide with its removal (often through carbon offsetting) or by eliminating emissions from society (the transition to the "p ...

zone in the United States. Their efforts now fund the Valley Wood

Carbon Sequestration Carbon sequestration is the process of storing carbon in a carbon pool. Carbon dioxide () is naturally captured from the atmosphere through biological, chemical, and physical processes. These changes can be accelerated through changes in land ...

Project, the first such project to be verified through the

Chicago Climate Exchange The Chicago Climate Exchange (CCX) was a voluntary, legally binding greenhouse gas reduction and trading system for emission sources and offset projects in North America and Brazil. CCX employed independent verification, included six greenhous ...

References

{{Reflist Financial markets Environmental economics