Amidst a global renewable energy revolution that has seen solar and wind overtake coal as the world's top electricity source, clean energy ETFs are struggling to attract assets despite posting double-digit gains this year. The ALPS Clean Energy ETF (ACES) has returned 31.9% year-to-date, according to ETF Database.
Despite policy headwinds, surging AI-driven power demand and falling renewable costs are powering clean energy ETFs higher.
A new U.S.-China rare earth deal lifts hopes for clean energy ETFs, like ICLN and PBW, as supply chains stabilize and investor optimism returns.
Renewables have overtaken coal in global power generation, putting clean energy ETFs like ICLN, QCLN and PBW in sharp investor focus.
Experienced investors know that the clean/renewables energy industry has a long-standing reputation for political sensitivity. Said another way, there are widespread perceptions that a Democrat president is beneficial to renewable energy equities, while a Republican president can bring headwinds.
Considering its youth relative to other industries, clean energy has developed a reputation for being politically sensitive. Various exchange traded funds providing access to renewable energy equities prove as much.
Renewable energy equities and related ETFs struggled in the first quarter, extending a surprisingly lengthy span of underperformance by the once-hot group. Hope isn't a viable investment strategy.
Leading up to the 2024 presidential election, there were concerns that renewable energy stocks and related ETFs — already struggling — would be even more vulnerable if then-former President Trump was victorious.
Despite passage of the Inflation Reduction Act (IRA), which included some of the largest climate-related expenditures on record, clean energy stocks and related ETFs disappointed investors during most of President Biden's time in office.
Looking for a way to buck common market wisdom? Many investors may be in a holding pattern to start 2025, already having made a few moves to end 2024.
On the back of President-elect Donald Trump's victory, some investors may be concerned about the outlook for already-scuffling renewable energy stocks and related ETFs. There's an alternative view.
Looking to get exposure to clean energy investing? The space has faced some up and down swings over the last twelve months amid higher interest rates.