Uranium ETFs: Your Gateway to Nuclear Energy's Clean Energy Boom

The global uranium market is heating up, and Kazakhstan’s recent tax policy overhaul is adding fuel to the fire. On July 10, the Kazakh government replaced its 6% flat-rate mineral extraction tax (MET) with a tiered structure—9% for 2025 and potentially reaching 20.5% by 2026. This move has sparked a rally in uranium stocks and created a compelling narrative for energy-focused investors: tightened supply at a time when nuclear power is experiencing a renaissance.

BMO analysts view this tax increase as a constraint on production growth, noting it “provides less incentive for Kazatomprom to increase production.” Combined with projected global uranium demand to surge 28% through 2030, the stage is set for uranium prices to remain supported. For investors seeking exposure without picking individual mining stocks, uranium ETFs offer a streamlined solution.

Why Uranium ETFs Matter Right Now

Three major trends converge to make uranium-focused exchange-traded funds increasingly attractive. First, geopolitical supply concerns—Kazakhstan supplies roughly 40% of global uranium. Second, the rising institutional embrace of nuclear energy as a clean power alternative. Third, the sheer diversification these funds provide across mining, processing, and nuclear utility companies.

Rather than betting on a single producer, ETFs let you capture the entire uranium ecosystem. Here’s what the leading players offer.

URA: The Largest Uranium ETF With Broad Market Exposure

Global X Uranium ETF (URA) commands $3.58 billion in assets, making it the sector’s heavyweight champion. The fund tracks the Solactive Global Uranium & Nuclear Components Total Return Index, casting a wide net across miners, explorers, and nuclear component manufacturers.

Performance speaks volumes. URA delivered 5.2% year-to-date returns, but zoom out to the full year and you see 33.2% gains—a clear market-beater. The fund’s top holding, Cameco Corp. (CCJ), represents 25.16% of assets. Following that lineup are Sprott Physical Uranium Trust Units (SRUUF) at 7.94%, Paladin Energy (PALAF) at 5.43%, NexGen Energy (NXE) at 5.23%, and Uranium Energy (UEC) at 4.23%.

Liquidity is a major strength here. With 2.5 million shares trading daily on average, you won’t struggle to enter or exit positions without slippage concerns. The expense ratio sits at 0.69%—reasonable for a specialized fund. What’s more, URA rewards patience with a 5.56% dividend yield, paying out $1.71 annually per share in two distributions.

NLR: Global Nuclear Energy Exposure Beyond Just Mining

VanEck Uranium & Nuclear Energy ETF (NLR) takes a broader approach with $241 million under management. Instead of focusing solely on uranium extraction, this fund invests across the entire nuclear ecosystem—mining, power generation, facility construction, and maintenance.

The geographic diversification is notable: 39.5% in the US, 17.1% in Canada, with the remainder spread across Europe and Asia. This global footprint captures opportunities wherever nuclear energy investment accelerates.

Performance-wise, NLR posted 12.6% year-to-date returns and 33.8% over 52 weeks. Holdings reflect a utility-heavy approach, with Public Service Enterprise Group (PEG) and Constellation Energy (CEG) leading positions, followed by Cameco. PG&E Corporation (PCG) and Finnish utility Fortum Oyj (FOJCF) round out the top five.

A cautionary note: with fewer than 100,000 shares trading daily, NLR suits long-term investors better than active traders. The 0.60% net expense ratio remains competitive, and the fund yields 3.89% annually—less generous than URA but still meaningful income.

URNM: Concentrated Uranium Mining Bet With Impressive Assets

Sprott Uranium Miners ETF (URNM) takes a laser-focused approach, dedicating at least 80% of its $1.71 billion portfolio to companies directly engaged in uranium mining, exploration, development, and production. This concentration strategy appeals to investors seeking pure-play exposure to the sector’s core drivers.

While URNM dipped slightly year-to-date, the fund soared 41.8% over the past year. The holding list reads like uranium industry royalty: Cameco dominates at 17.10%, followed by Kazatomprom (NATKY) itself at 14%, and Sprott Physical Uranium Trust (SRUUF) at 11.5%. CGN Mining (CGNMF) and Denison Mines (DNN) fill out the top five at 6.6% and 5%, respectively.

The fund maintains 38 securities and rebalances semi-annually in March and September, keeping allocations aligned with market shifts. Trading volume averages 400,000 shares daily, ensuring solid liquidity. The 0.85% expense ratio provides cost-effective access, and the 3.4% dividend yield ($1.75 annually per share) adds income to your position.

Choosing Your Uranium Etf Strategy

Each fund serves different investor appetites. URA offers the largest asset base and broadest exposure across the uranium supply chain. NLR provides geographic diversification and nuclear utility exposure beyond pure mining. URNM delivers concentrated uranium mining exposure with the highest year-over-year returns.

With Kazakhstan’s tax hike likely to constrain production and nuclear energy commanding renewed policy attention globally, these three uranium ETFs present distinct entry points into a market poised for structural tailwinds. Whether you prioritize diversification, global reach, or concentrated mining exposure, at least one of these vehicles can anchor a uranium allocation in your portfolio.