Clean energy is the future, but stocks aren’t acting like it. Here’s why.

• Clean energy stocks are some of the worst performing stocks this year, as high interest rates choke growth.
• The S&P Global Clean Energy ETF is down 34% year-to-date and companies like SolarEdge are down 70%.
• Still, clean energy investments continue to grow and investors expect performance to improve.

Despite growing calls for an accelerated global shift to clean energy, stocks in the sector are vastly underperforming the broader market. In fact, they’re some of the worst performers this year. 

Funds that track clean energy stocks are down broadly in 2023. The S&P Global Clean Energy ETF and the iShares Global Clean Energy ETF are down more than 30% since January. Companies like SolarEdge and Enphase Energy, meanwhile, are down 73% and 67%, respectively.