The fund’s ticker symbols, which include GHAAX for Class A shares and GHAIX for Class I shares, will remain the same. The version of this strategy made available in an insurance fund, the VanEck VIP Global Hard Assets Fund, will also see its name change accordingly.
"In the truest sense of the term, ‘hard assets’ accurately described the investment landscape at the time of the Strategy’s launch in 1994 and the environment that remained in place for roughly two decades thereafter. This often featured expensive, large scale projects with production-based business objectives,” said Shawn Reynolds, Portfolio Manager, VanEck. “However, we feel the term ‘resources’ reflects the key forward-looking themes that have developed more recently, including the acceleration of technological development that emphasizes process over production and the transformative application that many resource sectors will have as vital inputs to future growth in the global economy.”
The Funds’ management team, investment objective and stock selection process remain unchanged. However, the investable universe, and the opportunities within, continue to evolve in conjunction with the developing uses of natural resources more broadly. As an example, traditional energy companies (i.e., oil and gas producers) , which made up approximately 70% of the portfolio a decade ago, represented less than a quarter of the portfolio’s exposure at the end of 2020. Renewable and alternative energy and other associated industries, which had been minimal exposures 10 years ago, accounted for around a quarter of the portfolio’s exposure at yearend.
“Traditionally, commodities still underpin global GDP growth, but we find some of the more compelling opportunities to arise from the emerging technologies and the new, innovative applications of ‘resources,’ including those at the forefront of today’s sustainability imperatives,” said Mr. Reynolds.
More information on VanEck’s Global Resources strategy can be found here.
VanEck has a history of looking beyond the financial markets to identify trends that are likely to create impactful investment opportunities. We were one of the first U.S. asset managers to offer investors access to international markets. This set the tone for the firm’s drive to identify asset classes and trends – including gold investing in 1968, emerging markets in 1993, and exchange traded funds in 2006 – that subsequently shaped the investment management industry.
Today, VanEck offers active and passive strategies with compelling exposures supported by well-designed investment processes. As of March 31, 2021, VanEck managed approximately $71.2 billion in assets, including mutual funds, ETFs and institutional accounts. The firm’s capabilities range from core investment opportunities to more specialized exposures to enhance portfolio diversification. Our actively managed strategies are fueled by in-depth, bottom-up research and security selection from portfolio managers with direct experience in the sectors and regions in which they invest. Investability, liquidity, diversity, and transparency are key to the experienced decision-making around market and index selection underlying VanEck’s passive strategies.
Since our founding in 1955, putting our clients’ interests first, in all market environments, has been at the heart of the firm’s mission.
Please note that VanEck may offer investments products that invest in the asset class(es) or industries mentioned herein.
This is not an offer to buy or sell, or a recommendation to buy or sell any of the securities/financial instruments mentioned herein. The information presented does not involve the rendering of personalized investment, financial, legal, or tax advice. Certain statements contained herein may constitute projections, forecasts and other forward looking statements, which do not reflect actual results, are valid as of the date of this communication and subject to change without notice. Information provided by third party sources are believed to be reliable and have not been independently verified for accuracy or completeness and cannot be guaranteed. The information herein represents the opinion of the author(s), but not necessarily those of VanEck.
You can lose money by investing in the Fund. Any investment in the Fund should be part of an overall investment program, not a complete program. The Fund is subject to risks associated with concentrating its investments in Canadian issuers, commodities and commodity-linked derivatives, commodities and commodity-linked derivatives tax, derivatives, direct investments, emerging market securities, foreign currency transactions, foreign securities, global resources sector, other investment companies, management, market, operational, small- and medium-capitalization companies and special purpose acquisition companies.. The Fund’s investments in foreign securities involve risks related to adverse political and economic developments unique to a country or a region, currency fluctuations or controls, and the possibility of arbitrary action by foreign governments, including the takeover of property without adequate compensation or imposition of prohibitive taxation.
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