Nuclear Energy, ETFs In Our Future? | ETF Trends

Concern over energy security and climate change has stirred a revitalization in the nuclear energy industry and its related exchange traded funds (ETFs).

Europe is turning to nuclear power to meet demand for low-emission energy sources and Sweden is the latest country to embrace nuclear energy, reports Keith Johnson for The Wall Street Journal. Sweden announced an end to its official policy of banning new reactors and it also ended a ban on nuclear research.

The Swedish government will not be providing financial support for new reactors because they want to see if companies would keep their word on replacing old reactors with secure, modern ones. High cost and long construction schedules have discouraged most companies from committing to new projects without some kind of government assistance.

The United States has expanded its loan-guarantee program for nuclear expansion. China and India are helping developing countries build new reactors. Middle Eastern nations are also showing an increased interest in nuclear energy.

  • Market Vectors Nuclear Energy (NLR): down 10.5% in the last month

ETF NLR performance

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.