More From VanEck
Why Randgold Shareholders Deserve More from the Barrick Deal
Although most of Randgold’s mines are located in Africa, Barrick Gold’s (ABX) mines are primarily located in safer jurisdictions, including the Americas.
Are Tougher Days ahead for Global Equities?
The IMF revealed that emerging Asia is expected to grow ~6.5% in 2018 and 2019.
Where Is the Energy Sector Heading?
VAN ECK: For energy, let’s follow up on that. You talk about the business model of shale companies. Shale is a new phenomenon, so the investors in the industry are still trying to figure out their operating structure, right? Where are they in that process and where do you think the successful ones will end […]
Investment Opportunities in This Environment
VanEck CEO, Jan Van Eck, joins me today to discuss his macroeconomic outlook and also to talk about investment opportunities that he finds most interesting in the current environment.
Why International Moat Stocks Could Start Outperforming
Germany and Australia were the top contributors to index performance in July from a country perspective, and telecom, industrials, and financials were the top contributing sectors.
Why Some Exposure to VanEck’s Gaming ETF Is Prudent
The VanEck Vectors Video Gaming and eSports ETF (ESPO) provides exposure to gaming and related industries.
Gaining Exposure to the Fast-Growing eSports Space
We believe the video game and esports industry may present an exciting investment opportunity.
Gold Prices Have Slumped in 2018 on the Dollar’s Strength
The robust U.S. dollar has weighed on gold since May, and in August the U.S. Dollar Index (DXY)1 again reached new yearly highs.
How to Invest in Global Wide Moat Stocks
The Morningstar Global Wide Moat Focus Index has global exposure, unlike the Morningstar International Moat Index (MOTI).
Can Management Changes Break Gold’s Price Ceiling?
The gold mining industry is on a track to reverse its traditional method of mining to generate better shareholder returns.
How You Can Get Exposure to the Burgeoning Gaming Sector
The global esports audience has surged over the years, and it’s expected to continue to rise over the next few years.
The Benefits of Real Asset Investing
In essence one of the things we have accomplished with these three products is to reduce the volatility inherent in all markets, and in particular very volatile markets like the real asset sectors.
The Rapid Rise of Video Gaming and eSports
But what exactly is esports, and what does its growth portend for the video game industry overall? Collectively, the term “esports” refers to professional competitive gaming.
How the Video Gaming Industry Has Flourished
Upon the release in 1970 of the very first home video game console, the Magnavox Odyssey, few would have guessed that its arrival heralded the birth of a multibillion dollar industry.
Mounting Evidence of Inflation Firming Up
The U.S. Commerce Department reported retail sales fell in February for the third month in a row, while the University of Michigan Consumer Sentiment Index jumped to a 14-year high…
Why the US Moat Index Beat the S&P 500 Index in July
Domestic moat companies, as represented by the Morningstar® Wide Moat Focus IndexSM (MWMFTR, or “U.S. Moat Index”), once again posted strong results in July.
How Gold Stocks Have Performed This Year
Gold and gold miners didn’t start off the year on a good note.
Is China Opening Doors to Its Bond Market?
But the exit door needs to appear open as well in order for foreign investors to explore relatively untested pathways to mainland exchanges.
How Gold Mining Industry Has Revived Itself
The last ten years have been a roller coaster ride for the gold (GLD) (GDXJ) (GDX) mining industry.
Why the RAAX Fund Is Bullish on Gold
Let’s take a look at some of the reasons why RAAX maintains a bullish or bearish position on certain asset classes.
Moat Index: Dramatic Sector Allocation Shift in 2018
The healthcare sector dominated the sector weighting for the Morningstar Wide Moat Index in 2018. The sector returned ~5% in 2018.
Are ‘Fallen Angels’ a Threat to the Bond Market in 2019?
We believe the indexer has exercised discretion with regard to the index rules in a thoughtful and prudent manner.
What Could Help China’s Economic Growth in 2019?
China (FXI) (CNXT) has always favored state-owned enterprises despite the strain they put on the country’s private sector and despite the US’s continuous pressure on China to trim its support for SOEs.
How Is Economic Growth Looking for China in 2019?
After China (FXI) (CNXT) shifted its focus from an export-driven, low-cost manufacturing economy to a consumer-led growth economy, its economic growth was expected to boom.
Advice for 2019: Don’t Fight the People’s Bank of China
“Don’t fight the Fed” is an old investing mantra, suggesting that investments should align with the Federal Reserve’s monetary policies instead of against them.
Why Investors May Want to Consider FLTR
Floating rate notes (or FRNs) act as cushions during periods of rising interest rates.
Bank Loans or Floating Rate Notes: Which Should You Consider?
Investment-grade corporate floaters in particular not only benefit investors when short-term interest rates rise but also carry lower credit risk.
How Floating Rate Notes Act as Cushions When Rates Rise
Rising interest rates usually cause fear in the fixed income market, as market interest rates and bond prices move in the opposite direction.
Opportunities for Investors in China in 2019
In a new report, we examine the growing opportunities for investors to gain exposure to China’s equity and bond markets, from key policy changes to their inclusion in equity and fixed income benchmarks.
Moat Stocks Continue to Outperform Broader Markets
The Morningstar US Wide Moat Focus Index continued to perform better than the US market in November.
How Gold Mining Exposure Can Hedge Your Portfolio
The gold mining industry hasn’t seen a very positive trend in the last ten years.
What Could Help Gold Get Its Shine Back?
During market distress, when other asset classes suffer, gold is often the only asset class that flourishes.
Why eSports Are Here to Stay
Incredibly, the 2017 League of Legends World Championship attracted more viewers than the deciding games of the MLB World Series, the NBA Finals, and the NHL Stanley Cup that same year.
These Mid-Tier Gold Miners Have Been Outperforming since 2015
The Kibali mine produced a whopping ~202,000 ounces of gold in Q2 2018, up 17.0% sequentially and up 43.0% from Q2 2017.
Gold Miners Have Been Able to Control Costs
Barrick Gold (ABX) has one of the best AISCs among the senior developers.
Gold and Gold Miners Have Recovered in October
Gold and gold miners have recovered in October after consolidating in September. However, gold and gold miners have declined year-to-date.
How Tencent Has Gained from PUBG and Fortnite
Bluehole’s PlayerUnknown’s Battlegrounds (or PUBG) and Epic Games’ Fortnite are two of the most popular online games at the moment.
How Nintendo Transformed Gaming
Many companies across the world are realizing the potential of esports and discovering that a lot of money can be made in the esports market.
Why Morningstar Is Overweight on Healthcare
As the third graph shows, the Morningstar US Wide Moat Focus Index has over a 30% weight in healthcare, while the S&P 500 Index has only a 15% weight in the sector.
How Moat Indexes Have Performed Recently
The S&P 500 Index has gained 38.1% in the last five years, while the Morningstar US Wide Moat Focus Index has jumped 42% during the same period.
How Performance and Positioning Matter in a Portfolio
Investing in real assets provides diversification benefits, protects against inflation risk, and acts as a storage of value.
How Real Asset Investing Could Boost Portfolio Returns
Volatility in stocks and bonds shifts investors’ attention from a traditional stock-bond portfolio to another asset class called real assets.
Why Some Gold Stocks Look Promising
Most gold companies have ample flexibility to weather a slump in gold prices. Debt has been reduced to levels that are manageable at lower gold prices and many companies have no net debt.
Why Gold Prices Could Increase in the Short Term
The Vanguard Group announced that its $2.3 billion Precious Metals and Mining Fund will change focus in late September to a more diversified mandate that features telecommunications, utilities, materials, and natural resources.
Gold Faces the Headwind of Additional Rate Hikes
The gold price in U.S. dollar terms has not responded to the Turkish crisis because, at this time, it poses virtually no immediate threat to either the U.S. economy or global financial system.
Why Gold Stocks Have Fallen More than Gold this Year
The gold price weakness caused gold stocks to fall in August as the NYSE Arca Gold Miners Index (GDMNTR)2 and the MVIS Global Junior Gold Miners Index (MVGDXJTR)3 both declined 12.5%.
Interested in a Moat for Your Castle?
Morningstar provides investors a choice to include moat stocks in their portfolios with the Morningstar Wide Moat Focus Index or the U.S. Moat Index (MOAT).
Why Consider Moat Stocks?
At VanEck we are big fans of Morningstar’s Equity Research—not only because their analysis informs moat-oriented indices that underlie the moat mutual fund and ETFs that we offer globally.
The International Moat Index’s Best Performer in July
Grupo Aeroportuario del Centro Norte (OMAB MM, 15.31%), which operates 13 airports in Mexico and handles roughly 15% of domestic air travel according to Morningstar, was the top contributor to International Moat Index returns in July.
US Moat Index Outperforms S&P 500 despite IT Underweight
The U.S. Moat Index posted strong performance again in July, and by the end of the month, its year-to-date results overtook the S&P 500 Index despite being underweight to the information technology sector.
Implementing a Diversified Real Asset Strategy
Real assets such as commodities show occasional volatility but have the ability to generate higher risk-adjusted returns in inflationary periods.
Are Real Assets in the Goldilocks Zone?
According to the IMF (International Monetary Fund), the world economy grew 3.8% in 2017, the fastest since 2011.
Aggregated Approach to Emerging Markets: Can It Ease Volatility?
While local currency has better advantages to hard currency corporate and sovereign, a blended approach could provide optimal returns.
Hard Currency Debt Allocation: Better Choice in Volatile Market?
In the emerging market debt space, local currency debt has always been a favorite since it provides higher positive yields.
RAAX ETF: Capturing Real Benefits of Real Assets
RAAX’s allocation process provides exposure to segments with better returns profiles while managing overall portfolio risk.
Did Fed Rate Hikes Impinge on Gold Prices?
Since December 2015, the Federal Reserve has increased interest rates as a result of rising inflation and strong job numbers in the US.
Current Economic Tailwinds Are Powering Real Assets
The shifting of the global policy stance from monetary stimulus to fiscal stimulus could benefit real assets.
Shifting Economic Winds Could Be Good for Real Assets
Solid economic growth, supply bottlenecks, and rising commodity prices have pushed up inflation in the United States.
Can Trade and Tariff Policies Brighten the Outlook for Gold?
In March this year, President Trump announced a 25% tariff on imported steel and a 10% tariff on imported aluminum.
Stronger Dollar Hampered Gold’s Performance in June
The dollar index is up 3.2% this year, while gold (GLD) is down ~6.0% year-to-date.
Real Asset Companies Are on the Cusp of an Earnings Revival
Despite rising concerns about a trade war, the IMF maintained its growth forecasts for the global economy for 2018.
How Much Longer Can the Economy Keep Growing?
Many indicators continue to tell us the economy is very late in the cycle. The current economic expansion is now the second longest on record, surpassed only by the tech boom of the 1990s.
Tobacco Bonds Have Flourished This Year
Tobacco bonds are one of the largest, most liquid, and highest-yielding segments in the municipal bond space (HYD) (ITM) (SMB).
The RAAX ETF: When to Invest in Real Assets
We were fully invested in April. This was the right call as real asset investments rallied. RAAX begins to raise a cash position when five or more assets become bearish.
The RAAX ETF: What to Own in Real Assets
The aphorism “a rising tide lifts all boats” is appropriate here. April was a great month to invest in real assets.
Why Rising Oil Prices Should Boost Oil Services Companies
Research conducted here at VanEck has identified that oil price and the S&P 500 Index can be used to explain most of the performance of oil services stocks historically.
The RAAX Fund’s April Performance: Must-Knows
The VanEck Vectors Real Asset Allocation ETF (RAAX) launched, on April 9, into a period of strong performance for real assets.
A Look at the Credit Quality of Floating Rate Notes
The index maintains near-zero duration and offers a higher yield compared to its counterparts.
Where Does Hope Lie in the Fixed Income Market?
A few key themes have emerged in 2018 which are divergent in some ways and could be an indication of what’s to come over the next 12 to 18 months.
Will Gold Stocks Rebound from Their Current Levels?
If we are right in our late-cycle assessment, gold and gold stocks stand to benefit if the current market, characterized by confidence and complacency, transitions to one filled with risks and volatility.
Broader-Market Correction Failed to Boost Gold Equities
Investors viewed the general market sell-off as an overdue correction, rather than the reemergence of systemic risks.
Are Gold Miners’ Cost Concerns Overblown?
Several companies have guided to higher all-in mining costs in 2018 and we have seen some press and research that suggests costs are beginning to rise.
Why Markets Are Ignoring Gold Equities
While volatility has returned to markets this year, it has yet to reach worrying levels that might motivate investors to hedge their exposure.
What Fed Rate Hikes Mean for Gold
Gold’s price action in March was very constructive, even though it only advanced $6.62 (0.5%).
Emerging Markets Offer Attractive Opportunities
Over the past decade, EM (emerging market) debt has delivered stellar returns compared to other fixed income categories, except high yields.
Understanding Commodities’ Performance these Last Few Years
JAN VAN ECK: Hello. My name is Jan van Eck; I’m CEO of VanEck. I’m here today with Shawn Reynolds who is the Portfolio Manager of our Global Hard Assets Fund. Shawn, welcome, it’s exciting to talk about commodities in 2018. SHAWN REYNOLDS: Thanks. VAN ECK: We as a firm thought that commodities were bottoming […]
What Should Base Metal Companies Focus On?
The presidential election proved beneficial to the commodities market—especially the base metal asset class.