Worst ESG ETFs: renewable and clean energy ETFs

Renewable and clean energy ETFs feature heavily among the worst performing ESG ETFs over the last week and despite the fact that the U.S. Senate introduced a bill that to federally decriminalize marijuana, cannabis stocks fell sharply leading to the Rize Medical Cannabis and Life Sciences ETF (BLUM) becoming the worst ESG performer in Europe, losing over 9%.

Markets appeared spooked by the lack of endorsement from President Biden and the admission of Senator Chuck Schumer that the bill in its existing form may not gain enough support to pass. The bill also proposed a hefty 25% federal sales tax on marijuana that may have dampened enthusiasm for the growth of the sector.

Clean energy, which was one of the best-performing sectors in the world last year has had a rough run so far in 2021. The trend continued last week as a combination of falling fossil fuel prices, lower than expected production of electric vehicles and a general sell off in growth stocks continued to weigh on the sector with bottom ten performers in both Europe and North America featuring this theme.

Bottom 10 ESG ETFs of the week (Europe)

• Rize Medical Cannabis and Life Sciences ETF: ESG thematic strategy: -9,19%
• HANetf S&P Global Clean Energy Select HANzero ETF: ESG thematic strategy: -6,24%
• First Trust Nasdaq Clean Edge Green Energy ETF: ESG thematic strategy: -5,91%
• VanEck Vectors Hydrogen Economy ETF: ESG thematic strategy: -5,72%
• Invesco Global Clean Energy ETF: ESG thematic strategy: -4,41%
• L&G Hydrogen Economy ETF: ESG thematic strategy: -3,98%
• iShares Global Clean Energy ETF: ESG thematic strategy: -3,89%
• Lyxor MSCI Disruptive Technology ESG Filtered ETF: ESG thematic strategy: -3,71%
• CSIF (IE) MSCI USA Small Cap ESG Leaders Blue ETF: Best-in-class: -3,50%
• HANetf iClima Distributed Renewable Energy ETF: ESG thematic strategy: -3,45%

Bottom 10 ESG ETFs of the week (North America)

The pattern was repeated in the North American markets with clean energy dominating the list of worst performers.

• Horizons Global Hydrogen Index ETF: ESG thematic strategy: -9,52%
• Invesco WilderHill Clean Energy ETF: ESG thematic strategy: -8,35%
• The Defiance Next Gen H2 ETF: ESG thematic strategy: -7,20%
• ALPS Clean Energy ETF: ESG thematic strategy: -7,09%
• Invesco Solar ETF: ESG thematic strategy: -7,09%
• Purpose Global Climate Opportunities Fund: ESG thematic strategy: -6,94%
• North Shore Global Uranium Mining ETF: ESG thematic strategy: -6,73%
• First Trust NASDAQ Clean Edge Green Energy Index Fund: ESG thematic strategy: -6,46%
• Global X CleanTech ETF: ESG thematic strategy: -6,41%
• SPDR S&P Kensho Clean Power ETF: ESG thematic strategy: -6,40%

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