Europe’s largest uranium Miners ETF soars past $200m AUM as US calls for world’s nuclear capacity to triple

24 November 2023

  • URNM launched in May of last year, in partnership with uranium experts Sprott Asset Management, and has experienced rapid growth – it is the largest uranium ETF in Europe based on AUM.
  • URNM provides exposure to the growth of nuclear power via uranium miners, and also invests in physical uranium through investment trusts.  

When you Invest in ETFs your capital is at risk.

 

November 2023, London

HANetf, Europe’s first and only independent white-label UCITS ETF and ETC platform , and leading provider of digital asset ETPs, is delighted to announce that Sprott Uranium Miners UCITS ETF (URNM) has reached $206.21 million assets under management (AUM), having surpassed $100 million AUM less than three months ago. URNM is the largest uranium ETF in Europe.

Uranium miners are expected to have an essential role in the energy transition. The urgent need to achieve net-zero targets has forced global leaders to explore alternative sources of clean energy, and nuclear is viewed as efficient, safe and clean – especially given it has fewer CO2 emissions per GWh than wind, solar, and hydro energy.

Most recently, news emerged that the US intends to call for the world’s nuclear capacity to triple by 2050 at the upcoming COP28 summit in Dubai. The declaration will call on international financial institutions, such as the World Bank, to include nuclear energy in their lending policies. It is expected that the UK, France, Sweden, Finland, and South Korea will join the pledge.

Meanwhile, in September, Japan restarted its 12th nuclear power plant since the end of 2015, having shut down all its plants following the Fukushima incident of 2011.

We are witnessing something of a “nuclear renaissance”, with power plants being constructed rapidly around the globe. But, industry voices project a 66-million-pound uranium supply deficit by the end of this year – in order to support this nuclear renaissance, uranium miners will need to ramp up production to meet demand.

URNM, which tracks the North Shore Sprott Uranium Miners Index, was launched in May of 2022 and provides exposure to the growth of nuclear power through uranium miners. Alongside uranium mining equities, URNM also invests in uranium via physical trusts – the ETF currently has around 16% direct uranium exposure.

The ETF was launched in partnership with uranium experts Sprott Asset Management, which oversee a US-listed sister uranium miners ETF with $1.6 billion AUM and a physical uranium trust with over $5 billion AUM. Additionally, the ETF also has exposure to physical uranium.

HANetf also launched Sprott Energy Transition Materials UCITS ETF (SETM) in March of this year, which provides exposure to the companies that are providing the critical materials needed for the global clean energy transition, such as rare earths, silver, copper, lithium, nickel, manganese, cobalt, and graphite.

 

 Hector McNeil, Co-Founder and Co-CEO of HANetf comments:"URNM has seen tremendous growth this year, becoming the largest uranium ETF in Europe. We are delighted to see it reach $206.21 million AUM so quickly. The US call to triple the world’s nuclear capacity is in our view demonstrative of a growing realisation that nuclear is an essential and necessary part of the net-zero transition.

“Sprott Uranium Miners UCITS ETF (URNM) offers exposure to the growth of nuclear power through uranium miners, which have been historically underrepresented in the energy sector, posing upside potential.”

 Tom Bailey, Head of ETF Research at HANetf comments:“The world is waking up to the vital role nuclear energy will play in the energy transition, including investors, as evidenced by the surge of inflows into URNM. While renewable energy is growing at an encouragingly fast clip, it may not be enough to meet world energy demands. To meet net-zero in less than three decades, we will need to fuel a more than doubled economy with a significantly larger population, with hydrocarbons dropping to around 20 per cent of the total energy mix. Nuclear is vital to achieving this.  

  

When you invest in ETFs your capital is at risk. 

Sign Up to Insights

Tell us how we can help