Europe s first solar energy focused ETF to launch in London in June
“The Solar Energy UCITS ETF ‘TANN’ provides a more focused opportunity than simply looking at clean energy.”
Europe’s first Solar Energy UCITS ETF (LON:TANN) will be launched in June on the HANetf platform and list on the LSE.
TANN is aiming to tap into one of the fastest sources of new energy with forecasts pointing to US$4.2trn of new solar capacity investment through 2050.
Already one of the cheapest sources of clean energy, costs are forecast to continue to decline as technology improves with TANN to rack the EQM Global Solar Energy Index (SOLARNTR).
US Listed Semiconductor 25 Index and PHLX SOX Semiconductor Sector Index have an overlap of 77% when comparing constituents. These two comparative indexes have performed similarly over the past ten years, largely due to an abundance of companies in the sectors that allow for a similar investing strategy while diversifying a minority of holdings.
Legacy Theme: Oil Services Exhibit Similar Performance
7/14/2006 – 3/31/2021
Source: Morningstar Direct as of 3/31/2021.
Legacy Theme: Semiconductors Exhibit Similar Performance
12/22/2009 – 3/31/2021
Source: Morningstar Direct as of 3/31/2021.
Newer Thematic Strategies Demonstrate Less Overlap and Correlation
Newer themes such as clean energy and robotics have a much more varied approach to strategies with performance widely diverging based on the focus of their holdings. Clean energy indexes have overlap ranging from 10-25%, and the positive outlier in the peer group (MAC Global Solar Energy Index) has differentiated itself wit
Digital River, Inc (NASDAQ:DRIV), First Trust ISE Global Wind Energy ETF (ETF:FAN) - 3 ETFs The Could Profit From A Green New Deal benzinga.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from benzinga.com Daily Mail and Mail on Sunday newspapers.
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April 22, 2021 2:30 AM newsfeedback@fool.com (Dave Kovaleski)
Posted:
Updated:
April 22, 2021 3:27 AM
Earth Day was established in 1970 to raise awareness about the state of our environment and is seen as the birth of the modern environmental movement. That movement has taken root in the world of investing. Environmental, social, and governance, or ESG, investing, has become increasingly popular as more people want to support companies that are helping to protect the environment.
A great way to not only identify these companies, but also to invest in them, is through exchange-traded funds (ETFs) that exclusively focus on ESG. In honor of Earth Day 2021, which falls on April 21, here are three ETFs that seek to do good by the environment and investors. All three of these ETFs focus on clean energy companies.
Author Bio
Dave mainly covers financial stocks, primarily banks and asset managers, and investment planning. He s covered mutual funds and institutional investments for Pensions & Investments, personal finance for S&P, and money markets and bonds for Crane Data. Dave has been a Fool since 2014. Follow @dhkovaleski
Earth Day was established in 1970 to raise awareness about the state of our environment and is seen as the birth of the modern environmental movement. That movement has taken root in the world of investing. Environmental, social, and governance, or ESG, investing, has become increasingly popular as more people want to support companies that are helping to protect the environment.