Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, the First Trust NASDAQ Clean Edge Green Energy Index Fund (Nasdaq: QCLN ) has earned a coveted five-star ranking.
With that in mind, let's take a closer look at First Trust NASDAQ Clean Edge and see what CAPS investors are saying about the ETF right now.
First Trust NASDAQ Clean Edge facts
Inception | February 2007 |
Total Assets | $22.6 million |
Investment Approach | Seeks investment results that correspond to the NASDAQ Clean Edge Green Energy Index, which tracks the performance of clean energy companies that are publicly traded in the United States. |
Expense Ratio | 0.60% |
3-Month / 1-Year / 3-Year Returns | (9.2%) / (39.1%) / 0.1% |
Top Holdings with High CAPS Rating (4 or 5 Stars) and Portfolio Weight | Linear Technology (Nasdaq: LLTC ) (10.1%) ON Semiconductor (Nasdaq: ONNN ) (7%) Hexcel (NYSE: HXL ) (4.8%) |
Alternatives | PowerShares Cleantech (NYSE: PZD ) PowerShares Global Clean Energy (NYSE: PBD ) |
Sources: Morningstar and Motley Fool CAPS.
On CAPS, 98% of the 193 members who have rated First Trust NASDAQ Clean Edge believe the ETF will outperform ! the S&am p;P 500 going forward. These bulls include All-Star wooderino, who is ranked in the top 10% of our community, and Relic666.
Having gotten on board a couple of years ago, wooderino summed up the bull case: "As the Alt-energy sector sits right now it's tough to see which individual companies will survive (although I've got some favorites), but this allows for broad sector exposure and should see solid, if not spectacular growth over at least the next 5 years."
In fact, First Trust NASDAQ Clean Edge boasts a portfolio whose stocks average historical earnings growth of 31%. That's higher than that of other clean energy ETFs like PowerShares Cleantech (15%) and PowerShares Global Clean Energy (11%).
CAPS member Relic666 expands on the outperform argument:
[T]his ETF should see some pretty decent growth in the coming years. With primary allocations in technology, industrials, and oil & gas, and only dealing in clean energy companies, I see a lot of growth coming out of this one. Definitely a long-term play with top holdings in Linear Technology, First Solar, MEMC Electronic Materials ... to name just a few.
What do you think about First Trust NASDAQ Clean Edge, or any other ETF for that matter? If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional ETFs is a surefire way to secure your financial future, and on Motley Fool CAPS, thousands of investors are working every day to find them. CAPS is 100% free, so get started!
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