HANetf has launched an energy transition ETF on the London Stock Exchange.
The Sprott Energy Transition Materials Ucits ETF tracks the Nasdaq Sprott Energy Transition Materials Ex-Uranium Index and provides materials exposure in clean energy generation (rare earths and silver), transmission (copper) and storage (lithium, nickel, manganese, cobalt and graphite).
Since March 2022, global government spending to support clean energy increased by more than $500bn. However, the IEA suggests that clean energy investments may need to reach a yearly average of $4.2trn between 2026 and 2030 to meet net-zero targets.
John Ciampaglia, CEO of Sprott Asset Management, said: “2022 was a global wake-up call regarding the importance of energy transition and security.
“Certain critical minerals serve as raw materials that are required to meet the growing need for low-carbon energy, increased electrification, and the transition to electric vehicles. Due to years of underinvestment, demand for many energy transition materials now outstrips supply. Mining companies focused on energy transition minerals are well positioned to benefit from the significant investments that will be required over the coming decades.”
This is the second ETF HANetf has launched in partnership with Sprott Asset Management, following the launch of Sprott Uranium Miners UCITS ETF in May 2022.
Hector McNeil, co-CEO of HANetf, said: “We are delighted to once again be partnering with Sprott Asset Management to create a highly innovative ETF to capture this theme.”