ALPS Clean Energy ETF (ACES): Steady Amid Clean Energy Sector Pressures

Key Takeaways

• The ALPS Clean Energy ETF tracks the CIBC Atlas Clean Energy Index, holding roughly three dozen U.S. and Canadian companies across solar, wind, electric vehicles, energy storage, and clean technology infrastructure.
• Portfolio exposure spans utilities, technology and energy equipment, industrials, consumer cyclical, and basic materials, with a net expense ratio of 0.55%.
• ACES has been essentially flat over the last 30 days, easing roughly 0.5%, even as the broader clean energy complex has trended lower over the trailing quarter.
• Performance remains closely tied to interest rate expectations, lithium and solar-equipment pricing, and mixed electric-vehicle demand.
• Largest positions such as HA Sustainable Infrastructure Capital, Itron, Rivian, Tesla, First Solar, and Albemarle account for much of the fund's day-to-day movement.
• For more detail on valuation and forward estimates, explore Price Targets and Forecast.
• Discover actionable trading ideas with Trending AI Robots.

ALPS Clean Energy ETF (ACES) Overview

The ALPS Clean Energy ETF seeks investment results that correspond, before fees and expenses, to the performance of the CIBC Atlas Clean Energy Index (NACEX). The fund invests at least 80% of its net assets in index securities, offering passive, rules-based exposure to a diversified set of U.S. and Canadian companies whose primary businesses support renewables and clean technology.

The portfolio holds roughly three dozen securities, with the top ten positions representing just over half of net assets. Prominent holdings include HA Sustainable Infrastructure Capital (HASI), Itron (ITRI), Rivian Automotive (RIVN), Tesla (TSLA), Nextracker (NXT), Clearway Energy (CWEN), Albemarle (ALB), First Solar (FSLR), and Ormat Technologies (ORA), alongside Canadian names such as Brookfield Renewable Partners and Northland Power. I also checked this using Tickeron’s AI Screener to see how the stock compares to others in the industry.

Sector allocation is led by utilities and technology, followed by industrials, consumer cyclical, and basic materials. The fund is non-diversified, charges a net expense ratio of 0.55%, and was launched in June 2018 on NYSE Arca. This structure—broad but concentrated in capital-intensive clean energy businesses—explains the fund's sensitivity to financing costs and commodity-linked pricing.

The Broader Clean Energy Landscape

The clean energy investment universe continues to operate under a challenging macroeconomic backdrop. Higher-for-longer interest rates raise the cost of capital for renewable developers, which rely heavily on project financing, while also pressuring the valuations of utility and yield-oriented clean energy equities. Elevated discount rates have weighed on solar and wind project economics even as long-term electrification and decarbonization trends remain intact.

At the commodity level, lithium prices have remained subdued, a headwind for producers such as Albemarle, while solar-equipment makers face pricing competition and uneven global demand. Electric-vehicle adoption continues to grow, but the pace of growth has moderated in key markets, influencing sentiment toward Tesla and Rivian. Policy support remains a structural tailwind in the United States, yet political and regulatory uncertainty persists around the durability of clean energy incentives.

Performance and Positioning Snapshot

Over the last 30 days, ACES has been essentially flat, easing roughly 0.5% from about $27.61 to near $27.48. The modest move reflects offsetting forces across the portfolio: strength in select renewable infrastructure and utility names has largely countered weakness in electric-vehicle and materials-related holdings.

The trailing three-month trend has been softer, with the fund declining roughly 13% from around $31.40 in early August. That drawdown has been driven by persistent rate sensitivity, soft lithium and solar-equipment pricing, and mixed EV demand. Individual holdings have diverged sharply: renewable developers and infrastructure names have shown relative resilience, while Ormat Technologies, Tesla, Nextracker, and Rivian have each recorded notable declines over the period. This dispersion has kept near-term volatility elevated while muting the fund's overall 30-day change.

2026 Outlook and Key Factors to Monitor

Looking ahead, several structural factors are likely to shape ACES during 2026. The trajectory of interest rates and inflation will remain central, as any sustained easing could relieve pressure on project financing costs and lift valuations across utilities and renewable developers. Conversely, a prolonged higher-rate environment could keep capital-intensive clean energy names under pressure.

Investors should also monitor lithium and polysilicon pricing, solar and storage demand trends, and the pace of electric-vehicle adoption, all of which directly influence major holdings. Policy developments—including the durability of U.S. clean energy tax incentives and grid-interconnection reform—represent potential catalysts or risks. Finally, fund flows and competitive dynamics within the clean energy ETF category may influence the vehicle's asset base and trading liquidity. These themes, rather than any single data point, are likely to determine the fund's direction over the coming quarters.

Using Tickeron’s AI Screener in My Research

In my research process, Tickeron’s AI Screener serves as a practical way to scan holdings and compare momentum across clean energy names. It surfaces technical signals and patterns that help put fund performance in context without replacing broader fundamental analysis.

Disclaimer

The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.

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Contributor

Allana|Expert

Financial analyst and market blogger with expertise in equity research, fundamental analysis, and macroeconomic trends. I regularly publish coverage on individual stocks, ETFs, and sector developments — combining rigorous financial analysis with clear, engaging writing for a broad investment audience.

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