A new stock exchange focused on sustainable investing has secured regulatory backing from the US Securities and Exchange Commission (SEC), bringing it a step closer to launching operations early next year.
The Green Impact Exchange (GIX) confirmed on Monday that the SEC has approved its amended application to register as a national securities exchange. An SEC spokesperson also verified the approval.
GIX’s approval comes at a turbulent time for the environmental, social and governance (ESG) investment sector. In the past week, nearly $5.7 billion was withdrawn from ESG-focused exchange-traded funds—the largest outflow in over a year, according to Bloomberg data. Sustainable equity funds also suffered outflows of around $9 billion in March, with analysts at Barclays reporting an intensification of selling since February.
Despite these headwinds, GIX’s founders remain optimistic about long-term demand for sustainable investment. “US investors and companies are continuing to pursue sustainability because it makes financial and competitive sense,” said GIX co-founder Charles Dolan. “Public markets like GIX have a pivotal role to play in connecting sustainable investors with companies that understand that.”
Dan Labovitz, co-founder and CEO of GIX, described the SEC’s decision as “an important step forward for sustainability-minded investors and companies.” The exchange, which aims to become the first in the US dedicated to the sustainability economy, is currently working with FINRA to finalise the required regulatory services ahead of its launch.
GIX plans to dual list firms that demonstrate strong commitments to sustainable governance and transparency. “We’ve been in contact with hundreds of companies over the past 18 months,” Labovitz said, adding that global businesses increasingly recognise the need to align with sustainability to maintain competitiveness. “We’re not seeing evidence of a slowdown on the ground. If anything, we are seeing signs that it will continue to grow.”
While retail ESG funds have seen outflows, green investment continues to attract private capital. In the first quarter of 2025, venture capital and private equity firms invested more than $5 billion in US climate-tech startups—an increase of nearly 65% compared to the same period last year, according to PitchBook.
