Exchange-traded funds (ETFs) in the energy sector have performed remarkably in 2026, particularly due to rising oil and gas prices and high energy demand from artificial intelligence data centers. According to statistics, the S&P 500 has yielded a return of 11.8 percent since the beginning of this year, but the energy sector, with a return of 37.4 percent, is recognized as the best-performing sector in the market.
Breakwave Tanker Shipping ETF
The Breakwave Tanker Shipping ETF (BWET), launched in 2023, is considered the most successful energy ETF this year, with assets under management of $190.2 million and a return of 4,050 percent. This fund holds futures contracts for leasing oil tankers instead of buying shares of transportation companies, and therefore, is directly affected by tanker rental rates. Due to the sharp increase in tanker rental rates caused by recent tensions in the Middle East, this fund has benefited from rising prices.
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United States Gasoline Fund
The United States Gasoline Fund (UGA), with a return of 147.9 percent, is another one of the most successful ETFs in 2026. This fund directly tracks U.S. gasoline prices and, with assets under management of $190.2 million, has gained significant returns from global price fluctuations. Instead of relying on refining margins, this fund profits directly from price increases, resulting in much better performance compared to investments in refiners like Valero and Marathon Petroleum.
United States Brent Oil Fund
The United States Brent Oil Fund (BNO), with assets under management of $645.8 million and a return of 121.3 percent, provides investors with direct investment opportunities in Brent crude oil. This fund primarily holds futures contracts for Brent oil and is directly linked to global prices. Price volatility due to the Iran war and disruptions in Gulf exports has significantly contributed to the growth of this fund, highlighting the importance of the oil market in energy investments.
The performance of these funds reflects the significant impacts that global developments, particularly in the Middle East, have on the energy market. Given the rising prices and demand, this trend is expected to continue, although there are also risks in this market that could affect the performance of these funds.
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