The newest form of alternative energy to get the exchange traded fund (ETF) treatment is wind.

The First Trust ISE Global Wind Energy Index (FAN) blew in on Wednesday. The index behind it is a mere three weeks old, consisting of companies active in the wind energy space, reports Joanne Von Alroth for Investor’s Business Daily.

It’s no coincidence that amid hurricane that is oil prices, alternative energy sources such as solar power and wind don’t have to work too hard to blow down investors’ doors and generate some interest. And just as with solar energy, the wind industry looks like it’s gearing up to catch a breeze.

PowerShares also has a wind ETF in registration.

Ten years ago, the United States had less than 2,000 megawatts of wind capacity. Last year, capacity was up to 94,000 megawatts. One megawatt gives power to 380 U.S. residents. Turbines in all 48 contiguous states could provide 20% of U.S. power needs.

We’ll have to do some catching up, though: wind energy is most widely used in Europe and Asia, and the fund has allocations on both continents.

Investors who want to get in on alternative energy should wait until the funds they want are on firmer ground and above their trend line, as the sector is known for its volatility.

Other alternative energy ETFs are:

• PowerShares Wilderhill Clean Energy Portfolio Fund (PBW), down 20.3% year-to-date
• Claymore/MAC Global Solar Energy (TAN), up 10.3% since April 15 inception
• Van Eck Global Alternative Energy (GEX), down 7.6% year-to-date
• Market Vectors Global Nuclear Energy (NLR), down 5.5% year-to-date

Tags | gex, Green ETFs