Green ETFs in South Korea have low rates of return unlike similar US and Chinese ETFs.
According to industry sources, those in the United States are seeing a rate of return of over 20% these days, and the top 10 most profitable ETFs on the market include multiple green ETFs. This is because US green stocks are recovering. For example, the current Tesla share price is above $ 1,200 and those of Plug Power and Enphase Energy have jumped over 60% in the past month.
Most of those in China also have a rate of return of over 10%. On the Chinese stock market, BYD and CATL stock prices rose about 20% in one month while that of EVE Energy rose more than 10%.
On the other hand, the monthly rates of return on South Korean green ETFs are around 1% in most cases. This is because market expectations regarding the South Korean government’s green policies are decreasing and the business performance of related companies is lower than expected. Global supply shortages and American tapering also affect them.