What Is QCLN? First Trust NASDAQ Clean Edge Green Energy Index Fund

QCLN is the First Trust NASDAQ Clean Edge Green Energy Index Fund, an ETF designed to give investors single-ticker exposure to the clean-energy transition. It tracks the NASDAQ Clean Edge Green Energy Index, a modified market-cap-weighted benchmark of US-listed companies involved in the manufacturing, development, distribution, and installation of clean-energy technologies. That includes solar photovoltaics, wind power, advanced batteries, fuel cells, and electric vehicles.

Launched in February 2007, QCLN is one of the longest-running clean-energy ETFs available to US investors. It is issued by First Trust Advisors and carries a ~0.59% expense ratio. With roughly $740 million in assets as of mid-2026, it is a sizable but still thematic fund, meant to complement rather than replace a diversified core portfolio.

Approximate weights as of mid-2026; refresh quarterly from First Trust Advisors's fund page. Each ticker links to its individual stock guide in Walnut.

QCLN holds roughly 55 to 60 US-listed stocks weighted by market capitalization, with caps that limit any single name from dominating. As of mid-2026, top positions include Bloom Energy (~9.2%), Tesla (~8.4%), Monolithic Power Systems (~7.7%), ON Semiconductor (~6.8%), and First Solar (~6.7%), followed by Rivian, Advanced Energy Industries, Allegro MicroSystems, Vicor, and Acuity Brands. The top 10 make up roughly 60% of the fund.

One nuance worth understanding: a meaningful share of QCLN sits in power and analog semiconductor companies that enable clean-energy systems, alongside pure-play solar, battery, and EV names. This gives the fund a partial technology character and means its performance is not driven by renewables alone.

The most common comparison is with ICLN, the iShares Global Clean Energy ETF, which is the largest clean-energy fund and takes a global approach at a lower ~0.4% fee. QCLN is more US-focused, more concentrated in its top holdings, and leans into EV makers and power semiconductors that ICLN weights differently. At ~0.59%, QCLN is somewhat pricier.

Other alternatives include TAN, which focuses specifically on solar, and PBW, First Trust's own broader clean-energy fund. Each slices the theme differently. QCLN's edge is its blend of established US clean-energy leaders with the semiconductor supply chain behind them, though that same concentration can amplify both gains and losses.

QCLN has a long and cyclical history. It rallied dramatically during the 2020 to 2021 clean-energy boom, then fell through a multi-year drawdown as interest rates rose and clean-energy valuations compressed. Because many holdings are growth-oriented and rate-sensitive, QCLN tends to move sharply on macro shifts, policy headlines, and commodity swings in areas like lithium and polysilicon.

The forward outlook hinges on factors largely outside any single company's control: the trajectory of interest rates, the durability of tax credits and subsidies, trade policy on solar and batteries, and the pace of EV adoption. Investors bullish on the long-term energy transition may see the current environment as an entry point, while others may view the policy and rate risks as reasons for caution. Past performance does not predict future results.

This is not investment advice, and whether QCLN fits depends on your goals, time horizon, and tolerance for volatility. QCLN is a concentrated, thematic fund tied to a sector that can swing far more than the broad market. Most investors who own it treat it as a small satellite position expressing a specific view on clean energy, not as a core holding.

If you value broad diversification and low costs above thematic conviction, a total-market or sector-neutral fund may suit you better. If you want deliberate exposure to solar, batteries, EVs, and the power technology behind them, QCLN packages that into one ticker. Consider how it interacts with the rest of your portfolio and do your own research before buying.

QCLN trades on US exchanges like any stock, so you can buy it through brokers such as Robinhood, Fidelity, Schwab, or Public during market hours. Many of these support fractional shares, letting you invest a fixed dollar amount rather than buying whole shares, which makes it easy to size a modest thematic position precisely.

If you want to track QCLN as part of a broader strategy, you can connect your existing brokerage to Walnut and place it inside a thematic basket alongside your other holdings. That lets you monitor how your clean-energy exposure fits your overall targets while your trades and custody stay with your broker.

ETFs are passive bundles; thematic baskets in Walnut let you concentrate within them. If you hold QCLN as a core position, these are the themes you might layer on as satellites.

QCLN gives concentrated, US-tilted exposure to the clean-energy value chain at a ~0.59% fee, richer than ICLN's ~0.4%. It is a satellite or thematic position, not a core holding: the sector is volatile and rate-sensitive. Fit depends on your conviction in the energy transition and your tolerance for swings.

Whether QCLN is worth buying today depends more on your time horizon and what you already hold than on any single call. We walk through valuation, concentration, and what would have to be true for it to outperform from here in is QCLN a buy?

QCLN yields ~0.9% as of mid-2026, paid by passing through the dividends of its underlying holdings. For the payout schedule, history, and how the distributions are taxed, see QCLN dividend: yield and schedule.