Nuclear energy is set for a “renaissance” that will be accelerated by backing from U.S. President Donald Trump’s administration.
That’s according to Yuri Khodjamirian, chief information officer at Tema ETFs, who noted that the Trump administration is “very, very interested in backing this technology.’ However, he also warned investors that developing this energy source is “going to take time.”
New nuclear technology approvals take “10 years to get done,” Khodjamirian said, but added that the nuclear re-emergence will likely be accelerated under the new Trump administration.
Speaking to CNBC’s Silvia Amaro on Tuesday’s “Squawk Box Europe,” Khodjamirian said his investment fund has its eyes on firms with a history of developing nuclear technology, such as U.S.-based BWX Technologies, which builds nuclear reactors for military carriers and submarines.
Khodjamirian said Tema is being “very selective in a new technology called small scale modular reactors.”
Small scale modular reactors (SMRs) are advanced nuclear reactors with the ability to provide around one-third of the generating capacity of traditional nuclear power reactors, according to the International Atomic Energy Agency.
SMRs take up less physical space compared to conventional reactors and produce a large amount of low-carbon electricity.
“There’s a lot of excitement there, and equally, a lot of loss-making companies that have unproven technologies, and we’re going for companies that have projects that are approved,” Khodjamirian said.
The nuclear energy renaissance is partly driven by a wave of people that are “realizing that it’s a stable, clean source of energy,” the chief investment officer said, adding that he believes that “there is a need for extra investment” in nuclear, alongside green energy sources that are variable in their electricity production.
“Renewables are good. They can be put up to speed quickly, but they require battery storage,” he said.
Trump has moved quickly on his energy agenda since his return to the White House. The U.S. Senate on Monday confirmed Chris Wright, a fracking executive and a Trump ally, as energy secretary.
Wright is a known nuclear energy supporter, having previously served on the board of advanced reactor company Oklo, as well as having held the position of chief executive at Liberty Energy. The energy firm has since appointed a new CEO following Wright’s confirmation as U.S. secretary of energy.
In 2023, Wright signed a letter supporting nuclear energy.
Digital borders
Khodjamirian is also closely monitoring artificial intelligence volatility, after the emergence of China’s Open AI model DeepSeek sparked concerns over how much money big tech companies will invest in AI.
European nations have voiced security concerns over DeepSeek.
Italy was the first country to block DeepSeek on data protection concerns. France’s privacy watchdog has expressed concerns and South Korea’s industry ministry has temporarily restricted employee access to the Chinese startup’s AI model.
Taiwan, meanwhile, banned state departments from using the Beijing-based chatbot, wary of potential security threats from Beijing.
The international pushback shows that “no one really knows exactly how to defend digital borders,” according to Khodjamirian.
Global concern will “limit the growth of this model, because it’s coming out of China, but it’s clearly showing you that the West needs to be aware that there’s a lot of technical development,” he said.
“[But] I do think it redraws some of the lines, and it’ll be interesting to see how the U.S. in particular reacts,” he added.