The current presidential administration has been a staunch supporter of clean energy technology. It continues to show in the latest round of funding by the White House. This bodes well for growth-oriented ETFs that focus on technological advancements in this area.
“The White House on Monday (October 23) announced it is designating 31 technology hubs in an effort to improve American competitiveness in the technology sector,” CNBC reported. “The hubs will be able to compete for $40 million to $75 million each in grants, the White House said.”
The world is getting increasingly reliant on technology. This latest White House funding underscores that. Advances in robotics and AI are at the forefront of the future in terms of digital expansion.
“These Tech Hubs will catalyze investment in technologies critical to economic growth, national security, and job creation, and will help communities across the country become centers of innovation critical to American competitiveness,” the White House said in a news release.
This goal also aligns with the global push to reduce carbon emissions and be more reliant on alternative energy sources. As such, technology growth in this area will also be a crucial component of the latest White House investment.
“The hubs focus on a wide range of technological areas, including quantum computing, artificial intelligence, clean energy, medicine and biotechnology,” the CNBC report added. “The location of the hubs spans 32 states and Puerto Rico and include areas with a tribal government, coal communities and states with smaller populations, according to the U.S. Economic Development Administration.”
Clean Energy Exposure in One ETF
As mentioned, this creates opportunities in clean energy tech ETFs. One such ETF worth considering is the ALPS Clean Energy ETF (ACES). It seeks investment results that correspond generally to the performance of its underlying index, the CIBC Atlas Clean Energy Index (NACEX).
ACES delivers exposure to a diverse set of U.S. and Canadian companies involved in the clean energy sector including renewables and clean technology. The sector comprises companies that provide products and services that enable the evolution of a more sustainable energy sector.
The fund is deeply diversified in the areas of clean energy. These include EVs and wind and solar power. ACES is a broad-based ETF option that can achieve this growth exposure easily.
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