iShares Global Clean Energy ETF Favored Over State Street Energy ETF Despite Higher Volatility

Industry
โดย The Motley Fool·Read original
Summary · why it matters

The iShares Global Clean Energy ETF is recommended over the State Street Energy Select Sector SPDR ETF for investors who can tolerate near-term volatility, citing a macro trend toward renewable energy. The State Street fund, with $39.5 billion in assets under management, offers a 0.08% expense ratio and a 2.60% dividend yield, while the iShares fund, at $2.4 billion in assets, charges 0.39% and yields 1.00%. Over five years, the iShares fund experienced a maximum drawdown of 57.20% compared to 26.00% for the State Street fund, yet it has returned 13% in the past three months versus a 13% loss for the State Street fund. The iShares fund holds 105 globally diversified stocks across technology, utilities, and industrials, whereas the State Street fund concentrates on 21 U.S. oil and gas companies.

Impact on stocks 5

Energy Transition & Power Demand± Mixed · 3 stocks
First Solar Inc
FSLR
▲ PositiveDemandrelevance

Article favors clean energy ETF, which includes First Solar as a holding, implying positive sentiment.

Exxon Mobil Corp
XOM
▼ NegativeDemandrelevance

Article favors clean energy ETF over energy ETF, implying negative sentiment for oil & gas companies like Exxon Mobil.

Energy · 2 stocks
ConocoPhillips
COP
▼ NegativeDemandrelevance

Article favors clean energy ETF over energy ETF, implying negative sentiment for oil & gas companies like ConocoPhillips.

Chevron Corp
CVX
▼ NegativeDemandrelevance

Article favors clean energy ETF over energy ETF, implying negative sentiment for oil & gas companies like Chevron.