Ninepoint Capital Launches Energy Interdependence ETF Amid Rising Trade Tensions

Canadian asset manager Ninepoint Capital has launched an exchange-traded fund (ETF) focused on the energy interdependence of the US and Canada. The Ninepoint North American Energy Independence ETF is listed in the US and offers cross-border exposure to the investment theme, according to co-CEO John Wilson.

The ETF aims to capitalize on the significant ties between the two countries' energy industries, which are deeply intertwined despite rising trade tensions. Wilson notes that more than 90% of Canadian crude oil exports go to the US market, with many US refineries relying heavily on Canadian heavy crude.

Canada is also working to diversify its energy exports through liquefied natural gas (LNG) sales to Asian buyers and the Trans Mountain oil pipeline. However, Wilson emphasizes that this will not significantly alter the overall degree of integration in the immediate future.