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Nuclear Energy Is More Than AI

BY | ETF Database
7:27 am ET 05/19/26 | 15 VIEWS
Nuclear energy stocks and ETFs such as the ALPS Nautilus SMR, Nuclear & Technology ETF (SMRF) are garnering increased attention (and delivering for investors). That’s due in large part to the energy source’s relationship with artificial intelligence (AI).As has been widely documented, AI needs power, and lots of it. That’s spurring a nuclear renaissance — one benefiting SMRF holdings — because nuclear energy is clean, cost-effective and dependable. Those are boxes hyperscalers need to check, leading nuclear to scale in significant fashion. “As part of the DOE’s new Pathways to Commercial Liftoff report, the department found that U.S. domestic nuclear capacity has the potential to scale from nearly 100 gigawatts in 2023 to approximately 300 gigawatts by 2050, driven by the deployment of advanced nuclear technologies,” according to the Nuclear Energy Institute (NEI). For long-term investors, there are other potential sources of allure with SMRF, which came to market in February.Nuclear Enjoys Significant Political SupportOf note to investors evaluating SMRF, there’s the element of political support. Last October, the White House released the Fusion Science and Technology Roadmap, confirming the Trump administration is pushing for advancements in domestic nuclear prowess. “But the Trump administration and its Energy Department are giving fusion a push from the federal government. Trump has issued executive orders to support the fusion industry and, in addition to providing its fusion road map, the Trump administration in November established an elevated Office of Fusion,” reported MarketWatch. Prospective SMRF investors should also note the sizable scale at which nuclear companies are investing to support rising demand. A recent McKinsey report indicated that it takes $105 billion to $170 billion to add 300 gigawatts of nuclear energy to domestic supplies. Plus, the global nature of increasing nuclear adoption adds to the case for SMRF. “A growing, fast‑paced world economy, rapid urbanisation, and the electrification of industry, transport and buildings are converging on a single challenge: delivering reliable, low‑carbon power at scale. As the International Energy Agency (IEA) projects an additional 3,500 TWh of electricity consumption over the next three years—the equivalent of Japan’s annual electricity use—nuclear power is emerging as a cornerstone of the sustainable energy transition,” noted BNP Paribas. For more news, information, and analysis, visit the ETF Building Blocks Content Hub. VettaFi LLC (“VettaFi”) is the index provider for SMRF, for which it receives an index licensing fee. However, SMRF are not issued, sponsored, endorsed, or sold by VettaFi, and VettaFi has no obligation or liability in connection with the issuance, administration, marketing, or trading of SMRF.

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