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In our past articles, we've covered the List of Coal ETF, but they were primarily for the US and other international markets. Here, in this article, we provide a List of Coal ETF available in UK and also check their historical performance over a sample period of time.
UK Coal ETF List
Coal has once again emerged as one of the reliable and sought after energy sources after the problems in Japan. Although having a limited availability since it is a fossil based fuel source, it has time and again come back to be one of the most sought after energy sources which is not only safe, but available easily across the globe.At this time when the world has seen the dangers and accidents that nuclear energy setups are prone to, the focus is again shifting back to convesntional energy sources and coal is the top sought after energy source. It is estmated that in an attempt to rebuild Japan from the current effects, it will require massive energy sources and it will become the largest importer of coal from across the globe. Hence, market experts believe that coal investments will give a very fruitful return in the coming time.
Below we list the Coal Based ETF's available for trading and investment in United Kingdom. Although there are not many options available for investments in coal through demat accounts or exchange traded funds route (that too country specific), there are still a few options to check.
ETFX Russell Global Coal Mining Fund:
This is the Exchange traded fund available in UK which is focussed on coal. It tracks the underlying index called the Russell Global Coal Index. This index actually is a sub-index of a larger index called the Russell Global Index and this coal based sub-index tracks the overall sector performance of all coal based securities. At the time of writing this article, this index has around 52 coal based securities from around 17 different countries from across the globe.
This makes the coal based index and hence the coal based ETF truely international or global in nature.
The companies included are top coal companies which are in the business of mining, exploration, extraction, marketing and thernal energy generation from coal.
Geographically, the companies included are from countries like China, USA, Australia, Indonesia, HongKong, etc. and span over 17 different countries, making this a truely global coal based index.
One important thing to note here is that this Coal based ETF is listed on London Stock Exchange and provide trading in two currencies - USD and GBP (GBX). The corresponding Exchange Ticker coal for USD based ETF is COAL and that for GBX based coal ETF is COAP. Hence, this gives traders as well as investors a good option to make investment in Coal based ETF in the currency of their choice.
Another important thing to note is that the underlying Index is having currency as USD. However, that should not matter for GBX traders, as being an ETF this tracks the underlying % wise with every price movement.
So how about the performance of this ETF and the underlying index over the recent times, as compared to other prominent market indicators? Here is a snapshot sourced from the official PDF factsheet from the fund house:
As can be observed, the coal based etf (and the index) seem to have outperformed rest of the other indices. However, this is sourced from the fund house document as available on the date of writing this article. Past returns cannot be guaranteed for the future.
Apart from the above 2 Coal based ETF's available for trading in UK, there are other similar coal based funds available in other countries and exchanges. Below are their tickers and exchanges:
ETFX DAX global Coal Mining Fund:
- KOAL.IR - ISE
- ETLI.IR - ISE
- COAL.MI - Milan
- ETLW.DE - Germany
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