What this ETF is trying to do

The FIRST TRUST GLOBAL WIND ENERGY ETF (ticker: FAN) is an exchange-traded fund that focuses on companies involved in wind energy from around the world. It provides investors with exposure to the wind energy sector through a variety of different companies.

What the numbers show

As of October 6, 2026, the current price of one share is $22.65. The estimated price from roughly one year ago was approximately $19.99.

When looking at how this ETF has performed, it is important to understand two different numbers: price return and total return.

• Price return only measures how much the share price itself has changed.

• Total return includes both the change in share price and any cash distributions paid out to investors.

Here is what the data shows for FAN:

• Year-to-Date (YTD): The price return is 10.65%, while the total return is 11.36%.

• One Year: The price return was 13.31%, and the total return was 14.34%.

• Three Years: The price return was 64.37%, and the total return was 70.60%.

The ETF holds many different companies, but only a few are listed here as Top Holdings. These include Nordex SE (8.77%), Orsted AS (8.26%), Vestas Wind Systems AS (7.76%), and EDP Renewables SA (7.64%). Please keep in mind that holdings can change over time, and this is only a partial list of what the ETF owns.

Income and distribution explanation

Some investors look for ETFs that pay them cash, which are called distributions. The distribution yield for this ETF is 0.92%. This represents the cash distributed relative to the ETF's price.

It is important to remember that a distribution yield is not the same as your total return. Also, these payments can be irregular. For this ETF, there were 3 distributions in the last 12 months, and they are described as being less frequent.

NAV erosion explanation

"NAV erosion" refers to a decline in the value of the underlying assets that the ETF owns. Some investors worry about this because if the value of the assets drops significantly, it can affect the share price.

For this ETF, the erosion-risk score is 100, and the label states "No price erosion detected." The severity is rated as "good," and there is no severe erosion-risk flag.

Pros

• The ETF has shown positive price returns and total returns over the last year and the last three years.

• The data shows no detected price erosion.

Cons

• The distribution yield (0.92%) is relatively low.

• The cash distributions are irregular and do not happen on a set schedule.

Beginner takeaway

FAN is an ETF focused on the global wind energy industry. Over the last three years, it has seen significant growth in both its share price and its total return. While it does pay out some cash through distributions, those payments are infrequent and the yield is low. Currently, there are no signs of price erosion detected by the StockValueFinder scoring system.