ICLN is more focused on biofuels, ethanol, geothermal energy, solar and wind energy names. However, in a year where solar ETFs such as the Guggenheim Solar ETF (NYSEArca: TAN) are among the best-performing sector ETFs, ICLN has enough solar exposure to have benefited from that industry’s resurgence.
To say alternative energy stocks have been “hot” this year is accurate and “hot” can often mean high valuations. ICLN sports a P/E ratio of 24.3. Additionally, this is not an ETF that qualifies as “low beta.” ICLN has a beta of 1.03 against the S&P 500 and a three-year standard deviation of nearly 30.4%, according to iShares data.
iShares Global Clean Energy ETF
ETF Trends editorial team contributed to this post.