Which Is the Better Energy ETF: State Street's Fossil Fuel XOP or iShares' Clean Energy ICLN?
XOP has rewarded investors with proven commodity returns while ICLN has tested their patience with the promise of a cleaner future.
Overview
State Street SPDR S&P Oil & Gas Exploration & Production ETF (NYSEMKT:XOP) provides equal-weighted exposure to fossil fuel producers, while iShares Global Clean Energy ETF (NASDAQ:ICLN) tracks a market-cap-weighted index of international renewable energy firms.
These funds offer exposure to two very different sides of the energy market. While one targets the traditional fossil fuel industry, the other looks toward the future of renewables. This comparison explores how their differing strategies affect costs, yields, and historical risk profiles for long-term investors.
Details
Beta measures price volatility relative to the S&P 500; beta is calculated from monthly returns over the available fund history (up to five years). The 1-yr return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.
Source
Originally published at www.fool.com.