Clean energy exchange-traded funds (ETFs) invest in companies that develop and deploy renewable and low-carbon technologies such as wind, solar, hydrogen, battery storage, and electric vehicles. These businesses stand to benefit as global clean energy investment accelerates -- a trend that could require more than $4.5 trillion per year by 2030, up from about $1.8 trillion in 2023.
For investors, the challenge isn’t believing in the trend; it’s picking the right winners. Clean energy ETFs offer a way to gain broad exposure to the sector’s growth while reducing the risk of backing a single stock that falls behind.
Top renewable energy ETFs
Many ETFs focus on clean energy these days, given the amount of money flowing into the sector. Some take a broad approach by investing across the entire industry, while others focus on a single aspect of green energy investing. The different approaches offer investors many ways to invest in clean energy through ETFs.
Here's a list of seven of the top ETFs concentrating on various aspects of the clean energy sector:
Top Clean Energy ETFs | Ticker Symbol | Assets Under Management (AUM) |
|---|---|---|
iShares Global Clean Energy ETF | $2.1 billion | |
First Trust NASDAQ Clean Edge Green Energy Index Fund | $571.2 million | |
Invesco Solar ETF | $1.5 billion | |
Invesco WilderHill Clean Energy ETF | $513.1 million | |
ALPS Clean Energy ETF | $114.2 million | |
First Trust NASDAQ Clean Energy Smart Grid Infrastructure Index | $7.8 billion | |
First Trust Global Wind Energy ETF | $229.1 million |
Here's a closer look at these top clean energy ETFs:
1. iShares Global Clean Energy ETF
NASDAQ: ICLN
Key Data Points
The iShares Global Clean Energy ETF focuses on global companies that produce energy from solar, wind, and other renewable energy sources. The fund had more than 100 holdings in early 2026, led by the following five:
- Bloom Energy (BE -1.60%): 11.2% of the fund's holdings
- Nextpower (NXT +4.24%): 8.8%
- First Solar (FSLR +5.95%): 6.0%
- Iberdrola (FRA:IBE1): 5.7%
- China Yangtze Power: 4.8%
This ETF owns a broad array of clean energy companies. These include businesses that manufacture components for wind turbines and solar energy inverters. It also features businesses that operate wind farms and solar energy facilities, such as electric utilities. This strategy allows investors to focus on companies that produce renewable energy.
However, it's worth noting that the fund concentrates its investments at the top. Its 10 largest holdings make up about 50% of the fund, so a limited number of stocks will drive the fund's overall results.
The fund charges a relatively low ETF expense ratio of 0.39%.
2. First Trust NASDAQ Clean Edge Green Energy Index Fund
NASDAQ: QCLN
Key Data Points
NYSEMKT: TAN
Key Data Points
NYSEMKT: ACES
Key Data Points
The ALPS Clean Energy ETF seeks to provide investors with exposure to a diversified group of U.S. and Canadian companies engaged in renewable and clean energy. That includes solar, wind, hydropower, geothermal, and bioenergy, as well as electric vehicles, energy management and storage, and fuel cells and hydrogen.
This ETF had over 35 holdings as of early 2026, led by the following five:
- Enphase Energy: 6.8%
- Albemarle (ALB +3.05%): 6.7%
- Nextpower: 5.9%
- HA Sustainable Infrastructure Capital (HASI +3.73%): 5.6%
- Brookfield Renewable Partners (BEP +3.21%): 5.5%
The ETF offers fairly broad diversification. Theme allocations included solar (28.2%), electric vehicles (21.3%), energy management and storage (13.8%), wind (13.5%), hydro/geothermal (10.4%), bioenergy (7.8%), and fuel cell/hydrogen (4.9%).
The ETF has a reasonable expense ratio of 0.55%.
6. First Trust NASDAQ Clean Edge Smart Grid Infrastructure Index Fund
NASDAQ: GRID
Key Data Points
7. First Trust Global Wind Energy ETF
The bottom line
These ETFs allow anyone to easily invest in one or more aspects of clean energy. Some focus on a specific type of alternative energy, such as wind power or solar energy, while others offer broader exposure across the entire clean energy investment landscape. That allows investors to target a green energy trend, which should help reduce the risk of picking an underperforming clean energy stock.
Related investing topics
FAQ
Clean Energy ETFs FAQ
About the Author
Matt DiLallo has positions in First Solar and Tesla. The Motley Fool has positions in and recommends Bloom Energy, First Solar, Fluence Energy, Johnson Controls International, Nextpower, and Tesla. The Motley Fool recommends National Grid Plc, ON Semiconductor, and Ørsted A/s. The Motley Fool has a disclosure policy.
