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Investment Trends in Clean Energy: Despite President Trump's reduction in clean energy funding, investments in the sector remain strong due to rising AI-driven electricity demand and decreasing renewable costs, with the S&P Global Clean Energy Transition Index up significantly this year.
Market Dynamics and Forecasts: The International Energy Agency has lowered its growth forecasts for U.S. wind and solar energy, yet investment funds continue to be attracted to U.S. renewables, driven by the need to modernize the power grid and the falling costs of solar and wind technologies.
Growing Demand for Clean Energy: The surge in AI demand and the expansion of data centers are increasing U.S. power demand, with forecasts indicating a growth of 2.5% in 2025 and 2.7% in 2026, further fueling interest in clean energy investments.
ETFs and Investment Opportunities: Several clean energy ETFs, such as iShares Global Clean Energy ETF and First Trust NASDAQ Clean Edge Green Energy Index Fund, have shown strong performance, making them attractive options for investors looking to increase their exposure to the clean energy sector.
U.S./China Rare Earth Deal: A one-year agreement between the U.S. and China aims to ensure stable supplies of rare earth elements, crucial for the clean energy sector, potentially alleviating supply chain issues and reducing price volatility for manufacturers.
Dependence on Chinese Minerals: The U.S. heavily relies on China for rare earth imports, with China accounting for 70% of U.S. imports from 2020 to 2023, creating uncertainty for the U.S. clean energy industry amid ongoing trade tensions.
Impact on Clean Energy ETFs: Following the trade agreement, clean energy ETFs are expected to attract renewed investor interest, as the deal may enhance supply chain resilience and improve profit margins for U.S. clean energy companies.
Featured Clean Energy ETFs: Notable ETFs highlighted include iShares Global Clean Energy ETF (ICLN), First Trust Nasdaq Clean Edge Green Energy ETF (QCLN), ALPS Clean Energy ETF (ACES), and Invesco WilderHill Clean Energy ETF (PBW), all showing significant year-to-date gains.

Clean Power Revolution: Global solar and wind generation has surpassed electricity demand growth for the first time, with renewables generating more power than coal, indicating a significant shift towards clean energy.
U.S. Renewable Sector Challenges: The U.S. clean energy industry is facing a downturn, with significant declines in solar and wind installations attributed to policy changes and regulatory uncertainty, particularly under the current administration.
Global Demand Resilience: Despite challenges in the U.S., strong demand for renewable energy persists globally, driven by falling costs and the increasing energy needs of sectors like AI, suggesting a robust long-term outlook for clean energy.
Investment Opportunities: Clean energy ETFs, such as ICLN and PBW, are highlighted as potential investment opportunities, reflecting strong year-to-date performance and capturing growth across diverse renewable markets.
Lucid Group's Upcoming Showcase: Lucid Group's shares rose as the company prepares for Monterey Car Week 2025, where it will unveil a new Gravity SUV concept and offer public test drives of its Air sedan and Gravity model at the Pebble Beach Concours d'Elegance.
Financial Performance and Production Update: In its second-quarter report, Lucid missed revenue estimates with $259.4 million and reported a loss of 24 cents per share, while lowering its production forecast for 2025 to between 18,000 and 20,000 vehicles.
Lucid Group's Marketing Strategy: Lucid Group has appointed actor Timothée Chalamet as its first global brand ambassador to enhance its brand appeal and promote the upcoming luxury SUV, Lucid Gravity, amidst increasing competition in the EV market.
Stock Performance and Market Competition: Despite the marketing push, Lucid's stock has declined by over 25% in the past year, reflecting investor concerns about intensifying competition in the autonomous vehicle sector, highlighted by partnerships from other companies like Avis and Waymo.
Overview of VSTL ETF: The Defiance Daily Target 2X Long VST ETF (VSTL) aims to deliver double the daily performance of Vistra Corp. (VST), focusing on clean energy, but carries higher risks due to its leveraged and concentrated nature.
Investment Strategy: Unlike traditional diversified clean energy ETFs, VSTL resets its leverage daily, making it suitable for tactical traders rather than long-term investors, as it is designed to capitalize on short-term price movements rather than broader trends.








