VanEck has announced that its suite of UCITS ETFs is now registered for distribution in Denmark. Danish investors will have access to all fund information, research, investment themes, and other services relating to the VanEck UCITS ETFs.
Danish investors will henceforth have access to all fund information, research, investment themes, and other services relating to the VanEck UCITS ETFs.
Eduardo Escario, director, international business development at VanEck, commented: “We are committed to making our funds and services available to European investors, and registering our ETFs broadly allows us to respond to investors’ interests. Danish investors have been very interested in fixed income funds and we are particularly pleased to add our recently launched emerging markets fixed income UCITS ETF to the UCITS ETF line-up in Denmark.”
VanEck’s suite of UCITS ETFs includes an emerging markets bond ETF, two gold miners ETFs and a US equity ETF.
The VanEck Vectors JP Morgan EM Local Currency Bond UCITS ETF (EMLC) offers exposure to bonds issued in local currencies by emerging market governments. According to VanEck, emerging markets bonds tend to provide higher yields than developed markets while investing in bonds denominated in local currencies offers the potential for currency appreciation. The firm adds that local currency emerging markets bonds tend to have a lower correlation to the US dollar and help to diversify a portfolio. EMLC has assets under management (AUM) of $50 million and a total expense ratio (TER) of 0.44%.
The VanEck Vectors Gold Miners UCITS ETF (GDX) and the VanEck Vectors Junior Gold Miners UCITS ETF (GDXJ) provide access to the global gold mining sector. GDX covers a comprehensive portfolio of large-, mid-, and small-capitalisation global gold mining companies and currently has $115m in AUM and a TER of 0.53%. GDXJ invests in micro-, small-, and medium-capitalisation mining companies, called “juniors” because they are in an exploratory or early mining phase. The fund has $61m in AUM and a TER of 0.55%.
The VanEck Vectors Morningstar US Wide Moat UCITS ETF (MOAT) tracks the Morningstar Wide Moat Focus Index which consists of the most attractively priced companies (lowest ratios of stock price to fair value) with sustainable competitive advantages as determined by Morningstar. The term ‘economic moat’ was coined by Warren Buffett to classify firms which have established competitive advantages (through possible avenues such as brand loyalty, high switching costs, network effects, regulatory protection or economies of scale). The ETF has AUM of $18m and a TER of 0.49%.
The Morningstar Wide Moat Focus Index has outperformed the broader US equity market since its inception. Year to date, the index has outperformed the S&P 500 Index, returning 13.5% compared to 10.5% for the US bellwether index.
According to VanEck, the registration of its UCITS ETFs in Denmark marks the next step in the expansion of the firm’s ETF business in Europe. The firm recently started distributing its ETFs in Austria and Italy at the end of last year.