ICLN: ISHARES GLOBAL CLEAN ENERGY ETF
What this ETF is trying to do
The iShares Global Clean Energy ETF (ticker: ICLN) is an exchange-traded fund designed to invest in the clean energy sector. It provides exposure to companies involved in renewable energy sources. According to its top holdings, the fund includes companies like Bloom Energy Corp Class A, China Yangtze Power Co Ltd Class A, and First Solar Inc. Because the holdings list provided is partial, these represent only some of the 129 total holdings in the fund.
What the numbers show
The data shows different ways to look at how this ETF has performed. It is important to distinguish between "price return" (how much the share price changed) and "total return" (which includes the impact of distributions).
• Year-to-Date (YTD): The price return is approximately 6.76%, while the total return is approximately 7.04%.
• One-Year: The price return was approximately 9.08%, and the total return was approximately 10.23%.
• Three-Year: The price return was approximately 26.92%, and the total return was approximately 32.80%.
• Five-Year: The five-year total return was approximately -11.95%.
Additionally, the current price is $17.54. An estimated price from roughly one year ago was approximately $16.08.
Income and distribution explanation
ICLN provides some income through distributions. The distribution yield is approximately 1.05%. This number describes the cash distributions relative to the ETF's price. The fund has an income rating grade of "B" with a score of 79.
Investors should note that the distribution frequency is described as "irregular" or "less frequent," with 2 payouts recorded over the last 12 months. It is important to remember that a distribution yield is not the same as a total return.
NAV erosion explanation
"NAV erosion" refers to a decline in the Net Asset Value (the actual value of the assets held by the fund). The supplied data is sufficient to evaluate price erosion, but it does not include enough historical NAV-per-share data to confirm or rule out NAV erosion.
Regarding price erosion (the decline in the market price of the shares), the fund has an erosion score of 100, which is labeled as "No price erosion detected." The erosion severity is listed as "good," and there is no severe erosion-risk flag present.
Pros
• Positive Recent Returns: The ETF has shown positive price and total returns over the last year and the last three years.
• No Price Erosion Detected: Based on the supplied erosion score, there are no signs of significant price deterioration.
Cons
• Long-term Performance: The five-year total return is negative, at approximately -11.95%.
• Irregular Income: Distributions are not frequent or regular, which may be a factor for those seeking steady cash flow.
Beginner takeaway
When looking at ICLN, it is helpful to see the difference between price movement and total return. While the share price has grown over the last three years, the five-year total return shows a decline. Additionally, while the fund pays a distribution yield of about 1.05%, these payments are irregular. Always remember that high yields or recent gains do not guarantee future results.
Top Holdings
Structured portfolio holdings supplied by the ETF data provider. These figures are not generated by the AI article.
| # | Holding | Ticker | Weight |
|---|---|---|---|
| 1 | BLOOM ENERGY CORP CLASS A | BE | 10.25% |
| 2 | CHINA YANGTZE POWER CO LTD CLASS A | n/a | 8.03% |
| 3 | FIRST SOLAR INC | FSLR | 7.06% |
| 4 | NEXTPOWER INC | NXT | 6.47% |
| 5 | VESTAS WIND SYSTEMS AS | n/a | 4.12% |
| 6 | ENPHASE ENERGY INC | ENPH | 4.07% |
| 7 | EQUATORIAL SA | n/a | 3.45% |
| 8 | EDP-ENERGIAS DE PORTUGAL SA | n/a | 2.97% |
| 9 | CHUBU ELECTRIC POWER CO INC | n/a | 2.61% |
| 10 | PLUG POWER INC | PLUG | 2.59% |