Exploring What Are the ETFs That Are Nuclear Power and How They Work

ETFs that focus on nuclear power are a unique investment opportunity that allows you to tap into the growth of the nuclear energy sector.

These ETFs track the performance of companies involved in nuclear power, such as nuclear plant operators, fuel suppliers, and equipment manufacturers.

One notable example is the Global X Nuclear ETF (NLR), which invests in a diversified portfolio of companies involved in nuclear power.

NLR seeks to provide exposure to the nuclear energy sector through a single investment.

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If you're looking to invest in nuclear power, there are several ETFs to consider. The VanEck Uranium and Nuclear ETF has a 12-month yield of 3.7% and makes annual distributions, with a 0.61% net expense ratio.

The Global X Uranium ETF is the largest uranium-focused ETF on the market, with $3.0 billion in assets under management. Its portfolio of 48 stocks spans miners, refiners, and manufacturers of equipment for both uranium companies and nuclear-facility firms.

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Cameco is the largest position in the Global X Uranium ETF, making up 22% of its assets. The top five holdings in the ETF make up roughly two-thirds of its weight.

Here are some key statistics for the nuclear power ETFs:

The VanEck Uranium+Nuclear Energy ETF has a dividend yield of 4.3% and expenses of 0.61%. However, it's worth noting that this ETF has only $158 million in assets under management, which is relatively small compared to the other two ETFs mentioned.

Nuclear energy is a viable investment opportunity, especially considering its potential to reduce dependence on Russian gas. Germany and Belgium have already reversed their decisions to mothball nuclear capacity.

The US climate legislation has set aside nearly $30 billion in tax credits for nuclear energy providers over the next decade, a significant investment in the sector. This indicates a growing recognition of nuclear energy's potential.

Nuclear power can help countries meet United Nations greenhouse-gas emission targets by providing a steady base load of electricity supply. This is a cleaner alternative to traditional carbon sources.

Nuclear energy is cleaner than natural gas because it produces no greenhouse emissions, although it does still produce nuclear waste.

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Performance Comparison is a crucial aspect when evaluating ETFs in the nuclear power space. The returns of all uranium ETFs in comparison are shown in the table below.

The VanEck Uranium and Nuclear Technologies UCITS ETF A has shown impressive returns, with a 1-year return of 28.52% and a 6-month return of 20.93%. The Global X Uranium UCITS ETF USD Accumulating has a 1-year return of 2.71% and a 3-year return of -.

The HANetf Sprott Uranium Miners UCITS ETF Acc has a 3-year return of - and a 1-year return of -18.10%. The HANetf Sprott Junior Uranium Miners UCITS ETF USD Accumulating has a 1-year return of - and a 3-year return of -.

Here are the cumulative returns of the top-performing ETFs over the past few years:

The returns of the ETFs vary significantly, highlighting the importance of considering multiple time frames when evaluating their performance.