How to Gain Uranium Market Exposure: A Comparison of Three Major Mining ETFs

The global uranium landscape shifted dramatically when Kazakhstan, the world’s largest uranium producer, implemented a major tax restructuring. Starting in 2025, the country raised its mineral extraction tax from a flat 6% to 9%, with plans to introduce a two-tier system in 2026 that could climb as high as 20.5%. This policy change has immediate implications for supply dynamics and investor sentiment.

Financial analysts at BMO highlight that the new tax regime reduces production incentives for major operators like Kazatomprom. Specifically, the framework penalizes increased output less than it rewards higher uranium prices, potentially supporting price appreciation. Combined with accelerating demand—global uranium consumption is projected to grow 28% between 2023 and 2030—this creates a favorable backdrop for nuclear energy investors.

For portfolio managers seeking systematic exposure to this trend without the complexity of individual stock selection, uranium ETFs present an efficient solution. These funds provide diversified access to mining operations, fuel processing, and nuclear power infrastructure companies.

URA: The Largest Uranium ETF Option

The Global X Uranium ETF commands $3.58 billion in assets and tracks the Solactive Global Uranium & Nuclear Components Total Return Index. This broad mandate encompasses mining, exploration, and nuclear component manufacturing.

Recent performance has been noteworthy. URA delivered 5.2% returns year-to-date and 33.2% over the trailing twelve months. The fund maintains healthy trading liquidity, averaging 2.5 million shares daily—a significant advantage for institutional and retail investors alike.

Portfolio composition reveals concentrated exposure to sector leaders. Cameco Corporation represents the largest position at 25.16% of assets, followed by the Sprott Physical Uranium Trust at 7.94% and Paladin Energy at 5.43%. The remaining top-five holdings include NexGen Energy and Uranium Energy at 5.23% and 4.23% respectively.

From a cost perspective, URA charges 0.69% in annual expenses. The fund distributes dividends semi-annually, yielding 5.56% annually with a per-share payout of $1.71.

NLR: Global Exposure to Nuclear Energy Infrastructure

VanEck’s Uranium & Nuclear Energy ETF manages $241 million and indexes the MVIS Global Uranium & Nuclear Energy Index. Unlike purely mining-focused funds, NLR encompasses broader nuclear infrastructure—from fuel sourcing to reactor maintenance and facility construction.

Performance metrics show 12.6% YTD gains and 33.8% twelve-month returns. Geographic diversification characterizes the fund’s strategy: 39.5% allocated to U.S. equities, 17.1% to Canadian exposure, with meaningful positions across European and Asian markets.

Top holdings emphasize utility and energy companies alongside traditional uranium miners. Public Service Enterprise Group and Constellation Energy lead the portfolio, trailed by Cameco, PG&E, and Finnish utility Fortum Oyj. This composition provides investors access to both supply-side and demand-side drivers of nuclear energy adoption.

Trading activity runs lighter than larger peers, with average daily volume below 100,000 shares. Investors should account for wider bid-ask spreads when establishing positions. The expense ratio totals 0.60% net, making it competitively priced for a specialized fund. Annual dividend yield reaches approximately 3.89%.

URNM: Concentrated Uranium Mining Exposure

Sprott’s Uranium Miners ETF deploys a laser-focused strategy, allocating at least 80% of its $1.71 billion portfolio to the North Shore Global Uranium Mining Index. The fund’s mandate emphasizes pure-play uranium operators, encompassing mining, exploration, development, production activities, and physical uranium holdings.

Year-to-date performance shows marginal weakness, but the fund rebounded strongly with 41.8% twelve-month gains. URNM’s portfolio includes 38 distinct securities, rebalanced semi-annually in March and September to maintain alignment with market dynamics.

Cameco dominates holdings at 17.10%, followed by Kazatomprom at 14% and Sprott Physical Uranium Trust at 11.5%. Hong Kong-based CGN Mining and Denison Mines complete the top five at 6.6% and 5% respectively. Average daily trading volume of 400,000 shares ensures adequate liquidity for position entry and exit.

The 0.85% expense ratio represents reasonable compensation for specialized sector exposure. Income-focused investors benefit from a 3.4% dividend yield, translating to $1.75 annual per-share distributions.

Strategic Considerations for Uranium ETF Investors

Each fund serves distinct portfolio objectives. URA provides the broadest sector exposure through its largest asset base and diversified holdings across the entire uranium supply chain. NLR appeals to investors seeking infrastructure plays beyond pure mining, with geographic diversification reducing single-country risk. URNM delivers concentrated uranium mining exposure for those confident in sector fundamentals.

Kazakhstan’s tax policy shift reduces near-term supply expansion potential precisely when global uranium demand accelerates. This supply-demand imbalance, reinforced by nuclear energy’s expanding role in decarbonization strategies, positions uranium ETFs as compelling additions to growth-oriented portfolios. Investors can select the vehicle matching their risk tolerance, geographic preferences, and income requirements.