ETF.com 2026 Awards Honor Top Performers in Energy and Defense ETFs

The ETF.com 2026 Awards unveiled the top-performing exchange-traded funds across key sectors, with a strong emphasis on energy and defense. Among the honorees, the Global Clean Energy ETF (ticker: GCEL) posted a 34.7% return in 2025, driven by increased investment in offshore wind and battery storage infrastructure. The Defense Innovation Fund (ticker: DIFD) rose 29.3% over the same period, benefiting from expanded U.S. military spending and supply chain diversification initiatives. The awards recognize funds that demonstrated not only strong returns but also structural resilience and strategic alignment with long-term market trends. GCEL achieved its gains despite a 12.2% decline in crude oil prices during the first half of 2025, as measured by CL=F, highlighting the growing divergence between fossil fuels and clean energy assets. Meanwhile, DIFD maintained steady inflows totaling $1.8 billion in 2025, with assets under management reaching $8.3 billion by year-end. Market indicators suggest a shift in investor sentiment toward mission-critical sectors. The S&P 500 Energy Sector Index rose 14.5% in 2025, while the broader market, as represented by the S&P 500 (SPX), gained 11.3%. However, the VIX index averaged 18.4 during the year—down from 22.1 in 2024—indicating reduced equity volatility despite geopolitical headwinds. Investors and fund managers alike view the awards as a validation of sector-specific strategies in uncertain macroeconomic conditions. The recognition may influence future capital allocation, particularly for ETFs focused on national security and energy transition, with momentum expected to continue into 2026.