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First Trust Global Wind Energy ETF (FAN) Sharpe Ratio: 1.50

ETF · Currency in USD · Last updated Jul 14, 2026

FAN is a passive ETF by First Trust tracking the investment results of the ISE Clean Edge Global Wind Energy Index. FAN launched on Jun 16, 2008 and has a 0.62% expense ratio.

FAN's Sharpe Ratio of 1.50 indicates that for each unit of volatility, it generates 1.50 units of excess return above the risk-free rate. The ratio is calculated using historical daily returns over the past 12 months (as of Jul 14, 2026).

Sharpe uses total volatility (standard deviation) which includes both upside and downside price movements, making it useful for comparing risk-adjusted returns across different assets. For how to read this number and when it can mislead, see Sharpe Ratio Explained.

FAN Sharpe Ratio Rank

FAN Sharpe Ratio Rank: 55.455
Average

FAN ranks above 55.4% of all investments in our database based on Sharpe Ratio over the past 12 months, showing balanced returns relative to total risk taken. Securities are ranked from 0 (worst) to 100 (best).

What moves the rank

  • Strong returns with low total volatility → Higher rank
  • High volatility (both upside and downside) → Lower rank
  • Consistent returns → Higher rank than volatile returns of same magnitude
  • Sharp drawdowns increase volatility → Lower rank

What you can do with this information

  • Returns are proportional to volatility—neither strong nor weak
  • Evaluate whether the volatility profile aligns with your risk tolerance
  • Review higher-ranked alternatives in the same category
  • Monitor rank direction to identify improving or deteriorating trends

FAN Sharpe Ratio Market Positioning

The chart shows FAN's Sharpe Ratio relative to all ETFs on our platform, with color zones indicating percentile rankings. Higher ratios indicate better risk-adjusted returns.

  • Red zone (bottom 25%): 0.73 or lower
  • Yellow zone (middle 50%): 0.73 to 1.91
  • Green zone (top 25%): 1.91 or higher
  • Top 1%: 6.50+
  • Median: 1.39 — half of all investments score higher

How it compares to other similar ETFs

The table compares First Trust Global Wind Energy ETF's Sharpe Ratio with other ETFs in the Alternative Energy Equities category across multiple time periods, showing how FAN's risk-adjusted performance compares to similar funds.

Data shows 1-, 5-, and 10-year periods, plus each fund's all-time average, as of Jul 14, 2026.

SymbolName1Y Sharpe Ratio5Y Sharpe Ratio10Y Sharpe RatioAll Time Sharpe Ratio
IBATiShares Energy Storage & Materials ETF2.66
PWERMacquarie Energy Transition ETF1.85
PBDInvesco Global Clean Energy ETF1.61
HYDRGlobal X Hydrogen ETF1.58
FANFirst Trust Global Wind Energy ETF1.50
GRIDFirst Trust NASDAQ Clean Edge Smart Grid Infrastructure Index Fund1.48
FRNWFidelity Clean Energy ETF1.46
QCLNFirst Trust NASDAQ Clean Edge Green Energy Index Fund1.41
CNRGSPDR S&P Kensho Clean Power ETF1.41
CTEXProShares S&P Kensho Cleantech ETF1.39

S&P 500 Index

How to choose period

Historical Sharpe Ratio

The chart shows FAN's rolling Sharpe ratio over time compared to your chosen benchmark. Rising trends indicate improving returns relative to total volatility, while declining trends may signal deteriorating risk-adjusted performance or increased volatility. Use multiple timeframes to distinguish short-term fluctuations from long-term patterns.

Identify market cycles by observing when FAN consistently outperforms (line above benchmark), underperforms (below benchmark), or aligns with the benchmark.

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Sharpe Ratio Calculator

How does FAN fit in your portfolio?

Add your other holdings to see your portfolio's Sharpe Ratio and find out.

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