MOO Profile
The VanEck Agribusiness ETF is designed to provide investors with targeted exposure to the agribusiness sector by focusing on companies involved in various facets of agriculture and related industries. The fund commits at least 80% of its total assets to securities that constitute its benchmark index, which encompasses equity securities from companies engaged in agribusiness. This includes firms that derive a significant portion of their revenue from sectors such as agri-chemicals, animal health, fertilizers, seeds, and traits, as well as those involved in farm and irrigation equipment, farm machinery, aquaculture, fishing, livestock, cultivation, plantations, and agricultural trading.
The benchmark index for the VanEck Agribusiness ETF is carefully constructed to reflect the diverse elements of the agribusiness ecosystem. Companies included in the index are integral to the agricultural supply chain, from producing essential agricultural inputs like fertilizers and seeds to providing equipment for farming operations and engaging in the trading of agricultural commodities. This broad exposure allows the fund to capture opportunities across different segments of the agribusiness sector, benefiting from growth and advancements in the industry.
As a non-diversified fund, the VanEck Agribusiness ETF focuses its investments on a specific sector, concentrating on companies within the agribusiness domain. This concentrated investment strategy enables the fund to harness sector-specific trends and developments, potentially providing enhanced returns linked to the performance of the agribusiness industry. However, this approach also implies that the fund is subject to sector-specific risks, which are intrinsic to the agribusiness sector’s dynamics.
Overall, the VanEck Agribusiness ETF offers investors a specialized vehicle for gaining exposure to the agribusiness sector, leveraging a focused investment strategy to capitalize on opportunities within this critical industry. By targeting companies across a range of agribusiness activities, the fund aims to deliver performance aligned with sector growth and innovation, providing investors with a means to participate in the expanding agricultural market.
|
