HAP Profile
VanEck Natural Resources ETF is an exchange-traded fund designed to provide investors with broad exposure to the natural resources sector. Under normal market conditions, the fund invests at least 80% of its total assets in securities that are components of its benchmark index. This index includes publicly traded companies that derive a substantial portion of their revenueâ€over 50%â€from activities related to the production and distribution of commodities and commodity-related products and services.
The ETF’s benchmark index encompasses a diverse range of sectors within the natural resources domain. These sectors include Agriculture, which involves companies engaged in the production and processing of crops and livestock; Alternatives, which covers Water and Alternative Energy sources; Base and Industrial Metals, including firms involved in the extraction and processing of essential metals; Energy, which focuses on traditional and renewable energy sources; Forest Products, relating to the production and management of timber and related products; and Precious Metals, involving companies dealing with gold, silver, and other precious metals.
VanEck Natural Resources ETF is designed to capture the performance of these sectors by investing in companies that are at the forefront of commodity production and distribution. The fund aims to provide investors with a comprehensive exposure to the entire spectrum of natural resources, reflecting the economic and industrial demand for these essential materials. The diversified nature of the index helps to mitigate risks associated with fluctuations in any single commodity or sector.
The ETF’s investment approach aligns with VanEck’s strategy of offering specialized exposure to key sectors of the economy. By focusing on companies with significant involvement in natural resources, the fund seeks to benefit from trends and developments in global commodity markets. Investors in the VanEck Natural Resources ETF can gain access to a wide array of resource-related investments, contributing to a well-rounded portfolio with potential growth driven by global demand for natural resources.
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