It’s been less than a month since the ETFS Hydrogen ETF (ASX: HGEN) made its debut on the ASX. But even though this exchange-traded fund (ETF) only floated back on 7 October, it’s already made quite the splash. Last week, we covered how this Hydrogen ETF was up almost 12% from where it started life on the ASX. As we said at the time, not a bad return for two weeks’ effort.
So how is HGEN going as it rapidly approaches the one-month mark?
HGEN: The most explosive hydrogen investment since the Hindenburg?
Well, as this ETF stands today, it’s trading at $11.98 per unit, up 0.25%. Since this ETF floated at a unit price of roughly $10.09, this means that the HGEN ETF is now up an impressive more than 18% since its ASX debut just 3 weeks ago. If this ETF continues at the current pace (for the record, unlikely), its investors will become very rich very quickly.
Let’s check out the underlying companies that are responsible for these rapid gains. So according to the fund provider, HGEN invests in a “concentrated portfolio of hydrogen companies with a focus on pure plays”.
The fund tracks the Solactive Global Hydrogen ESG Index, which presently holds 30 companies within it. As it stands today, the 5 largest of these holdings are Plug Power Inc (NASDAQ: PLUG), Ballard Power Systems Inc (NASDAQ: BLDP), ITM Power plc (LON: ITM), Bloom Energy Corp (NYSE: BE) and Doosan Fuel Cell Co Ltd (KRK: 336260).
Since this ETF’s ASX float, Plug Power shares are up 31.9%. Ballard Power Systems shares have risen by roughly 19%, while ITM Power is up 24.9%. Bloom Energy has appreciated by 44.1% while Doosan is up 13.9%.
Looking at these numbers, and it’s fairly easy to see why HGEN has had such a successful first 3 weeks on the ASX.
The ETFS Hydrogen ETF charges a management fee of 0.69% per annum, or $69 per year for every $10,000 invested.