In these times of global warming and growing concern over emissions, one area of growing interest for exchange traded fund (ETF) investors is that of nuclear power.
Peter Charles for Seeking Alpha is currently employed in the nuclear power industry and shared his insider perspective.
- From an investing standpoint, nuclear power is just starting. In the last 30 years, the industry has seen little to no growth, but there are a number of projects in the works.
- While there is much excitement about uranium, it’s only a small portion of the nuclear fuel market and a meaningful share of uranium is not available to investors. Charles’ suggestion: get involved in the total nuclear market, not just a sub-sector.
- Right now, there are 27 reactors under construction globally, and revenues from power plant deployment presents opportunities for investors.
So far, there’s just one nuclear energy-focused ETF: Market Vectors Nuclear Energy (NLR), and it’s heavily weighted in uranium. NLR also has exposure to plant infrastructure and nuclear generation across the globe.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.