Alternative energy mutual funds are continuing to recover from a slump which started in fall 2014. Annual returns range greatly, though, from a high of 15.6 percent for Brown Advisory Sustainable Growth (BIAWX), to a low of -15.8 percent for Guinness Atkinson Alternative Energy (GAAEX). The large 12-month drop by GAAEX was precipitated by painful losses in some of its top weighted holdings.
Alternative Energy ETFs Remain Volitile
Green ETFs are showing a wide variety of returns, reflecting the volatility of the renewable energy sector. Less than 20 percent of ETFs have had gains in the past 12 months, with returns ranging from a gain of 28.5 percent for iPath Global Carbon ETN (GRN), to a loss of -48.1 percent for First Trust ISE-Revere Natural Gas Index Fund (FCG). ETFs have fared much better over the past three months. A little more than half of the funds ended in the black, averaging a gain of 3.8 percent.
Remember to always consult with your investment professional before making important financial decisions.
This article was originally published on the Roen Financial Report and was republished with permission.