Which Is the Better Energy ETF, VanEck's Nuclear-Focused NLR or State Street's XOP Targeting Oil and Gas?
XOP delivered 22.6% returns over one year while NLR offers a higher 2.9% dividend yield. Which energy bet fits your portfolio?
Overview
The VanEck Uranium and Nuclear ETF (NYSEMKT:NLR) provides concentrated exposure to the nuclear fuel cycle and power generation, while the State Street SPDR S&P Oil & Gas Exploration & Production ETF (NYSEMKT:XOP) offers equal-weighted access to the broader American fossil fuel industry.
While both funds reside within the energy sector, they target fundamentally different fuel sources. The State Street fund tracks oil and gas producers, while the VanEck fund captures companies involved in uranium mining and nuclear power plants. Investors often compare them when weighing traditional hydrocarbons against zero-carbon baseload energy sources.
Details
Beta measures price volatility relative to the S&P 500; beta is calculated from five-year monthly returns. The 1-year 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.