The ALPS Clean Energy ETF (Cboe: ACES) is one of several alternative energy exchange traded funds delivering impressive performances. ACES, which provides exposure to several clean energy themes, is up more than 27% this year.
And even more good news is here. Data from the Energy Information Administration (EIA) indicate renewable energy sources have toppled coal for the first time.
“While the United States’ coal industry has been for years losing ground to alternative energy sources, including shale and natural gas, renewables have surpassed the fossil fuel for the first time, official data shows,” reports Cecilia Jasmine for Mining.com.
The ALPS Clean Energy ETF tries to reflect the performance of the CIBC Atlas Clean Energy Index, which is comprised of U.S. and Canadian companies involved in the clean energy sector including renewables and clean technology.
In Awe Of ACES ETF
“The breakthrough reflects the declining cost of solar and wind and also heightened environmental concerns about coal,” according to Mining.com. “Some of it is also because of seasonal issues, such as planned shut downs for some coal plants maintenance during the spring, when demand for electricity is low. Those months, analysts warn, also tend to be a strong period for hydro and wind power.”
ACES’ components provide the products and services that enable the evolution of a more sustainable energy sector. The green energy companies are engaged in renewable energy sources, including solar power, wind power, hydroelectricity, geothermal energy, biomass, biofuels, and tidal/wave energy; clean technologies, including electric vehicles, energy storage, lithium, fuel cell, LED, smart grid, and energy efficiency technologies; and other emerging clean energy activities and technologies.
“Since peaking in 2008, US coal consumption has plunged 39% to the lowest level in 40 years, despite President Donald Trump’s promises to prop up the industry by revoking or lightening up environmental rules,” reports Mining.com. “The country’s renewable energy sector proved to have slightly more installed capacity than coal, which means that US power plants were able produce more energy from clean sources than the fossil fuel in April, for the first time in history.”
For more information on the renewables space, visit our renewable energy category.