Fidelity Investments’ clean energy ETF has seen strong recent performance, propelled by top holding GE Vernova (GEV).
The Fidelity Clean Energy ETF (FRNW ) is based on the Fidelity Clean Energy Index. The index is designed to reflect the performance of a global universe of companies across the market cap spectrum that distribute, produce, or provide technology or equipment to support the production of energy from solar, wind, hydrogen, and other renewable sources.
Fidelity’s clean energy ETF has handily outpaced the broad U.S. large-cap market this year. FRNW is up 16.18% year to date through June 27, 2025. Furthermore, the clean energy ETF has climbed 7.91% in the past one month, according to Y-Charts. FRNW’s top holding as of the end of May is GE Vernova (GEV), which has been a strong positive contributor to the ETF’s recent performance.
GE Vernova has performed exceptionally well since its spin-off from General Electric in April 2024, significantly outperforming the broader market. The company was purpose-built to address the global energy transition, specializing in providing cutting-edge natural gas turbines.
Growing global electricity demand, especially from data centers and AI, is a key growth driver for GE Vernova. GE Vernova offers strong solutions in critical areas: increased power generation, substantial grid modernization, and seamless renewable energy integration. This alignment with a mega trend—the shift towards cleaner, more sustainable energy—potentially positions the company for long-term growth.
FRNW: Well-Positioned for the Clean Energy Transition
Companies like GE Vernova are capitalizing on emerging clean energy opportunities. This means a clean energy ETF like FRNW may be well-positioned to benefit from the long-term mega-trend of decarbonization and electrification.
Additionally, FRNW includes companies involved in various subsectors of clean energy. The fund also consists of the technology and equipment supporting their production. This diversification may help mitigate risks or volatility associated with specific sub-sectors.
While the clean energy sector has faced headwinds in recent years, FRNW is potentially well-positioned for long-term growth as the energy transition picks up. The ETF’s exposure to companies like GE Vernova also provides a significant tailwind.
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Fidelity Investments® is an independent company unaffiliated with VettaFi LLC (“VettaFi”). These articles do not form any kind of legal partnership, agency affiliation, or similar relationship between VettaFi and Fidelity Investments, nor is such a relationship created or implied by the articles herein. VettaFi LLC is the author and owner of these articles.
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