Nuclear power, long reviled as a dangerous source of energy, is on the verge of a comeback. That's because a growing body of scientists, politicians and environmental activists see atomic energy as part of the solution for global warming and our ever-growing dependence on foreign oil, much of it from nations that, if not downright hostile toward us, certainly don't share our values.
Investors who want to ride nuclear's revival without betting on individual stocks have a new option. Invesco PowerShares last month launched an exchange-traded fund called the Global Nuclear Energy Portfolio (symbol PKN). The ETF tracks the performance of the World Nuclear Association (WNA) Energy Index, which contains 64 companies that design, construct and operate nuclear power reactors. The shares closed at $27.08 on May 8.
I wouldn't worry about missing the boat on this one. Nuclear power plants take a long time to get approved and permitted. If nuclear does make a comeback it will be years before the profits are realized.