The iShares Global Clean Energy ETF (ICLN) is a prominent investment vehicle that focuses on companies involved in renewable energy production and related technologies. As the world increasingly shifts towards sustainable energy solutions, ICLN provides investors with exposure to businesses that are driving this transition. Below, we explore the ETF’s top holdings, their percentage allocations, and their roles in the clean energy sector.
Overview of iShares Global Clean Energy ETF (ICLN)
ICLN aims to track the performance of the S&P Global Clean Energy Index, which includes companies that produce energy from renewable sources such as solar, wind, and hydroelectric power. The ETF is designed for investors looking to capitalize on the growth potential of the clean energy sector while supporting environmental sustainability.
As of October 31, 2024, ICLN holds a diversified portfolio of 104 companies, with its top ten holdings making up nearly 50% of its total assets. The ETF’s total assets under management (AUM) are approximately $1.91 billion.
Top Holdings in ICLN
Here are the top ten companies included in the iShares Global Clean Energy ETF, along with their percentage allocations:
– First Solar, Inc. (FSLR): 7.27%
– A leading American solar technology company known for its eco-efficient solar modules.
– Iberdrola S.A. (IBE): 6.23%
– A major player in renewable energy production, particularly in wind and solar power.
– SSE plc (SSE): 5.99%
– A UK-based energy company focusing on renewable and low-carbon energy solutions.
– Enphase Energy, Inc. (ENPH): 5.54%
– Specializes in solar microinverters and energy management technology.
– Vestas Wind Systems A/S (VWS): 5.44%
– A global leader in wind turbine manufacturing and installation.
– EDP – Energias de Portugal S.A. (EDP): 3.93%
– Engages in electricity generation from renewable sources, including wind and solar.
– Chubu Electric Power Co., Inc. (9502): 3.84%
– Involved in various renewable energy projects alongside traditional power generation.
– China Yangtze Power Co., Ltd. (600900): 3.73%
– Focuses on hydropower generation and is one of the largest producers in China.
– Suzlon Energy Ltd (SUZLON): 3.17%
– An Indian company specializing in wind energy solutions.
– Ørsted A/S (ORSTED): 3.07%
– A Danish company leading in offshore wind farms and sustainable energy initiatives.
These companies represent a mix of technologies within the clean energy sector, including solar, wind, and hydropower, showcasing the diverse approaches to achieving a more sustainable energy future.
Conclusion
The iShares Global Clean Energy ETF serves as a compelling option for investors interested in participating in the global shift towards renewable energy. With significant holdings in established leaders like First Solar and Iberdrola, as well as emerging players like Enphase Energy and Suzlon Energy, ICLN offers a diversified approach to investing in clean energy technologies. As the demand for sustainable solutions continues to grow, these companies are well-positioned to benefit from this trend, making ICLN an attractive consideration for environmentally conscious investors looking to enhance their portfolios with clean energy exposure.
Kyle Whyte is a notable scholar and professor at the University of Michigan, holding positions such as the George Willis Pack Professor in the School for Environment and Sustainability and Professor of Philosophy. Specializing in environmental justice, his work critically examines climate policy and Indigenous peoples’ ethics, emphasizing the nexus between cooperative scientific endeavors and Indigenous justice. As an enrolled Citizen Potawatomi Nation member, he brings a vital perspective to his roles as a U.S. Science Envoy and member of the White House Environmental Justice Advisory Council. His influential research is supported by various prestigious organizations including the National Science Foundation, and disseminated through publications in high-impact journals. Kyle actively contributes to global Indigenous research methodologies and education, with affiliations to numerous institutes and societies dedicated to traditional knowledge and sustainability. Recognized for his academic and community engagement, Kyle has earned multiple awards and served in various visiting professorships. His efforts extend to leadership positions on boards and committees focused on environmental justice nationwide.