HARD VERSUS LOCAL CURRENCY

What is the difference between hard currency and local currency? There are a few ways of answering that question. The most basic difference is that in local currency the risk of actual default is not the primary concern. It is conceivable that countries can default in local currency, but the real risk is that they pay you back in a currency worth a lot less. In hard currency, a sovereign borrower cannot print dollars. They have to work hard to get those dollars. Therefore, there is actually a risk of default in those bonds. But if you pick your countries properly, the risk of default should be low, in my opinion.

Currently, in hard currency, it is hard for me to find a lot of value. I think spreads are low because hard currency bonds are simpler for most investors to understand and invest in. In a risk-on environment, which I think we are continuing to have, I see much more value in local currency. A final point I would make is that if we do have a risk-off period – whether for a day, a week, a month, or a quarter – one could make the case that the most basic manifestation of risk-off is buying U.S. dollars. When investors sell risky assets, the global plumbing is such that the U.S. dollar is still the global reserve currency, so they tend to buy dollars. This would put more downward pressure on local currency than on hard currency, in theory. Of course, I am making a blanket statement, but there are nuances, and things change over time. Those are, I would say, the biggest distinctions between hard currency and local currency risk.

A BIAS TOWARD LOCAL CURRENCY

Just because you like emerging markets does not mean you should be forced to buy hard currency debt, which has been the traditional way of accessing the market. Right now, Brazil’s five-year credit default swap (CDS) level is about 100 basis points over Treasuries. I was just in Brazil and I think there are some problems with the policy mix. Brazil’s institutions generally have respect for the authorities, but I think they are a bit confused right now. They are trying to figure out what policy will be, but the situation is clouded by a lot of corporate issuance in Brazil.

If, for whatever reason, there is a risk-off moment, and the exit from these corporate bonds begins, then the situation could change. I’m not predicting this will happen, and it probably won’t. But if it did, bond prices would gap, and investors would buy five-year Brazil CDS as credit protection, in my opinion. It is still relatively cheap at only 100 basis points over Treasuries. By definition, the market can only rally by a 100 basis points, but it could sell off by a lot more, and I can point to other similar examples. We are seeing a large number of emerging market hard currency credit spreads that are in this 100-over area, which by definition does not create much upside for the bond buyer. I think this is another advantage of an unconstrained approach, meaning we do not have to be in any given currency if we do not see value, and we do not have to be in every local currency market just because we think the global plumbing is going to support local currency markets. We can be selective.

 IMPORTANT DISCLOSURE

The views and opinions expressed are those of the speaker and are current as of the video's posting date. Video commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. All performance information is historical and is not a guarantee of future results. For more information about Van Eck Funds, Market Vectors ETFs or fund performance, visit vaneck.com. Any discussion of specific securities mentioned in the video commentaries is neither an offer to sell nor a solicitation to buy these securities. Fund holdings will vary. All indices mentioned are measures of common market sectors and performance. It is not possible to invest directly in an index. Information on holdings, performance and indices can be found at vaneck.com.

Please note that Van Eck Securities Corporation offers investment products that invest in the asset class(es) included in this video. Investments in emerging markets securities tend to be more volatile and less liquid than securities traded in developed countries. Emerging markets investments are subject to risks associated with investments in below investment grade securities, debt securities, derivatives, emerging markets securities, foreign currency transactions, foreign securities and investments in other investment companies.

Investing involves risk, including possible loss of principal. An investor should carefully consider investment objectives, risks, charges and expenses of the investment company before investing. Call 800.826.2333 or click below to obtain a prospectus and summary prospectus which contain this and other information. Please read the prospectus and summary prospectus carefully before investing.

No part of this material may be reproduced in any form, or referred to in any other publication, without express written permission of Van Eck Securities Corporation. © 2012 Van Eck Securities Corporation.

Van Eck Securities Corporation, Distributor
335 Madison Avenue, New York, NY 10017

YEAR-END VOLATILITY

JIM COLBY, PORTFOLIO MANAGER: What has occurred is pretty normal in terms of markets.  Market participants are normally used to seeing corrections, re-settings and re-balancings of opportunities in their markets. The same thing has just happened in the municipal marketplace. It’s a healthy thing. When people come back from their Christmas vacations, they're going to find yields and opportunities in municipals even more attractive than they were back in October and November. Such has been the correction that's occurred recently, but it is a healthy correction. Nothing fundamentally has changed, and credit quality remains at the very top of the spectrum relative to other asset classes.

STATES & MUNICIPALITIES

The outlook for states and municipalities in 2013 is improving.  There are many reasons to be optimistic about the recovery and the health of communities around the country. Although growth is not robust and we still face significant challenges, all evidence points to increased revenues and tax collections. States and municipalities must balance their budgets. Constitutionally, they need to produce balanced budgets every fiscal year, which leads to more proactive participation on the part of legislators to actually manage revenues and manage through difficult times. I would say the outlook continues to be fairly positive for all states and municipalities who are issuers of municipal bonds.

MEASURING IMPACTS OF PUERTO RICO DOWNGRADE

Recently, Moody's Investors Service downgraded the credit quality of Puerto Rico—the commonwealth's obligations as well as several other issuers in the commonwealth.  The impact of that right now may seem significant because we have had some price dislocation in the market.  Long term, I do think that Puerto Rico, as it is held collectively by almost every investment manager in this country in investment portfolios, will continue to be an important part of strategic allocation in those portfolios.  Now that the margin between investment grade and non-investment grade debt is much narrower than in past years, I think that Puerto Rico debt is going to force the new government that has recently been elected in Puerto Rico to address those questions and issues and put the commonwealth back on track to more robust growth and development.  While it might seem like Puerto Rico is under a great deal of pressure near term, I think the commonwealth will respond, and I think that investment managers will continue to--very carefully, as they always have done--monitor the creditworthiness of all Puerto Rico issuance.

U.S. FISCAL DEBATE

For munis in particular, there is a notion that there may be a cap on the benefit of the tax-exempt coupon.28% is a number that has been kicked around Washington and that certainly would have an impact and consequences. Also, there is a question as to whether the tax-exemption of the municipal coupon will continue as it is. In other words, will Congress say, “We have got to find ways to raise more revenue; we have got to balance the budget; we have got to lower the deficit?” One of the ways is to eliminate the deductibility, or the benefit of tax-free income. If that should happen, there would be untold consequences, one of which might be impacting state and local governments in a meaningful way; their access to the capital markets would be far more costly because these bonds and this access to the capital markets are no longer tax-exempt. The yields would no longer be at lower levels; they would be at higher levels and cost the states and municipalities more for their programs. One additional point that should not be lost in the debate and the discussion is the impact of taxing tax-free income means, in effect, an additional tax on taxpayers, the general taxpaying population across the country.  Many of those people don't even invest in municipal bonds.  Increasing the cost of capital for those municipalities will have a broader impact than perhaps most people are aware. The question remains: what is going to happen?  No one really knows. We're preparing for the worst and hoping for the best.

IMPORTANT DISCLOSURE

The views and opinions expressed are those of the speaker and are current as of the video’s posting date. Video commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. All performance information is historical and is not a guarantee of future results. For more information about Van Eck Funds, Market Vectors ETFs or fund performance, visit vaneck.com. Any discussion of specific securities mentioned in the video commentaries is neither an offer to sell nor a solicitation to buy these securities. Fund holdings will vary. All indices mentioned are measures of common market sectors and performance. It is not possible to invest directly in an index. Information on holdings, performance and indices can be found at vaneck.com.

Please note that Van Eck Securities Corporation offers investment products that invest in the asset class(es) included in this video. Debt securities carry interest rate and credit risk. Bonds and bond funds will decrease in value as interest rates rise. Debt securities carry interest rate and credit risk. Interest rate risk refers to the risk that bond prices generally fall as interest rates rise and vice versa. Credit risk is the risk of loss on an investment due to the deterioration of an issuer's financial health. High-yield and municipal securities have additional risks. The Funds' underlying securities may be subject to call risk, which may result in the Funds having to reinvest the proceeds at lower interest rates, resulting in a decline in the Funds' income.

Investing involves substantial risk and high volatility, including possible loss of principal. An investor should carefully consider the investment objective, risks, charges and expenses of the Fund before investing. To obtain a prospectus and summary prospectus, which contain this and other information, call 888.MKT.VCTR or visit vaneck.com/etf. Please read the prospectus and summary prospectus carefully before investing.

No part of this material may be reproduced in any form, or referred to in any other publication, without express written permission of Van Eck Securities Corporation. 

Van Eck Securities Corporation, Distributor
335 Madison Avenue
New York, NY 10017

 © 2012 Van Eck Securities Corporation. 

IMPACT OF QE3

FRAN RODILOSSO, PORTFOLIO MANAGER: QE3 has impacted international bond markets in the way that the Fed probably intended. It has forced people to move out on the risk curve. Higher-yielding assets, even investment-grade corporates, and certainly mortgages, which are the target of QE3, have all experienced renewed rounds of buying. On the other hand, if the goal of QE3 is to promote growth and higher employment, we are not necessarily seeing that as a follow-through. As far as the fourth quarter goes for fixed-income markets, because of QE3 things still set up fairly well for high yield and higher-yielding investment-grade markets. People do not have income alternatives that they've traditionally turned to in order to generate income in their portfolios. Barring a major event on the negative side out of Europe, the U.S., or China, people will be extending out the risk curve and high yield and other markets should do fairly well.

HIGH-YIELD BUBBLE?

The question of whether or not a bubble is forming in credit markets is certainly valid. However, so far, what we have seen are most borrowers taking advantage of lower interest rates to refinance debt more cheaply and for longer maturities, net and add a credit positive. We have also seen buyers of bonds that we haven't seen before. In other words, people who are not traditionally buyers of emerging markets or high-yield debt have moved out the quote-unquote risk curve in order to get yield. The difference between now and 2007, however, is that the buyers are not doing it on excessive leverage. In 2007, when the markets turned, we saw forced selling. I don't anticipate seeing that situation given where we are now, although it is something that bears watching.

RISKS TO CONSIDER

In terms of potential headwinds for emerging market high yield during the fourth quarter, I think there are three main ones on investors' minds. One is global growth. Two is new supply. And number three is interest rates. Of those three, I would say that growth would have the most direct impact on credit fundamentals. And it is not just Europe or the U.S., but also growth within emerging markets, particularly China, which is so important for global growth right now and demand for commodities. China is navigating a difficult road, in that it is trying to engineer a soft landing, while trying not to encourage a speculative property bubble. So far, they have been able to navigate it. A muddle-through scenario on growth, as we have seen in the first three quarters of this year, would actually be a positive for the market. In terms of supply, we are seeing record issuance out of emerging market borrowers for 2012, but the portion that has been high yield is actually lower than average. About fifteen percent of the 220-plus billion you have seen in new issuance this year has been from high-yield borrowers. Traditionally, we see 25-30% out of those borrowers. I think there could actually be a fairly positive technical situation there for high yield in the end. And the third potential headwind I mentioned is interest rates. For the next quarter or two and probably beyond, the major concern in the world is really deflation. Interest rates are less a concern right now for the market.

IMPORTANT DISCLOSURE

The views and opinions expressed are those of the speaker and are current as of the video’s posting date. Video commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. All performance information is historical and is not a guarantee of future results. For more information about Van Eck Funds, Market Vectors ETFs or fund performance, visit vaneck.com. Any discussion of specific securities mentioned in the video commentaries is neither an offer to sell nor a solicitation to buy these securities. Fund holdings will vary. All indices mentioned are measures of common market sectors and performance. It is not possible to invest directly in an index. Information on holdings, performance and indices can be found at vaneck.com.

Please note that Van Eck Securities Corporation offers investment products that invest in the asset class(es) included in this video. There are risks involved with investing in ETFs, including possible loss of money. Shares are not actively managed and are subject to risks similar to those of stocks, including those regarding short selling and margin maintenance requirements. Ordinary brokerage commissions apply. Debt securities carry interest rate and credit risk. Interest rate risk refers to the risk that bond prices generally fall as interest rates rise and vice versa. Credit risk is the risk of loss on an investment due to the deterioration of an issuer's financial health. High-yield and municipal securities have additional risks. The Funds' underlying securities may be subject to call risk, which may result in the Funds having to reinvest the proceeds at lower interest rates, resulting in a decline in the Funds' income.

ETF fund shares are not individually redeemable and will be issued and redeemed at their NAV only through certain authorized broker-dealers in large, specified blocks of shares called "creation units" and otherwise can be bought and sold only through exchange trading. Creation units are issued and redeemed principally in kind. Shares may trade at a premium or discount to their NAV in the secondary market.

Investing involves substantial risk and high volatility, including possible loss of principal. Bonds and bond funds will decrease in value as interest rates rise. An investor should carefully consider the investment objective, risks, charges and expenses of the Fund before investing. To obtain a prospectus and summary prospectus , which contain this and other information, call call 888.MKT.VCTR or visit vaneck.com/etf. Please read the prospectus and summary prospectus carefully before investing.

No part of this material may be reproduced in any form, or referred to in any other publication, without express written permission of Van Eck Securities Corporation. © 2012 Van Eck Securities Corporation.

Van Eck Securities Corporation, Distributor
335 Madison Avenue, New York, NY 10017

MIDDLE EAST SENSITIVITY

SHAWN REYNOLDS, CO-PORTFOLIO MANAGER: I think, to put it all in context, you have to remember that there has been geopolitical risk in the oil industry, for the last 40 years. You go back to the very first Arab embargo in the early 1970s. There has always been a geopolitical risk premium built into the oil price. Is there some today? Absolutely, but again, it has always been there. It depends on the magnitude of how big it is. I would say that today it does not feel any more significant than it has been in other times in the recent past. Is it $10, is it $15? But it is not anything more significant than that and it is really probably not going to go away. Certainly, everything that we've seen in the Middle East heightens it a little bit, making you a little bit more sensitive and that might be fairly supportive in the short-term. But over the long-term, what we have seen in the oil price is supply and demand fundamentals are very, very supportive. That is what has been driving this oil price strength if you go back over the last ten years.

GLOBAL OIL DEMAND

I think it is important to point out that global demand growth is weakening, not global demand. It is not falling off. Now, if you concentrate just on the OECD and the western developed nations, then yes, demand is falling. But when you layer in the non-OECD and the emerging markets, overall, we are still very close to all-time record high consumption. Certainly when we look into 2013 even with a marginal outlook in terms of GDP growth for the globe, you are most likely going to see an increase in consumption and probably all-time record high demand for crude on a global basis. For quite some time now, we have had a price range, as we've often said, somewhere between $90 and $105 for WTI. We continue to think that is a nice, tight range for us to stick in. Are we going to go above it, below it? For periodic times, we do. But I think, longer-term, we are still sticking with $90 to $105.

NEAR-TERM OPPORTUNITIES

I think some of the key energy themes that we have been excited about for some time are still in place. There are three right now. The unconventional story – shale gas, shale oil in the United States – there is still a lot of value there, a lot of opportunity. And we think it is very compelling on a very selective basis. On that front, there are some names that have been in the portfolio for quite some time, like Pioneer, which is $105 stock. We think there is a lot more to go on that stock. Unconventional shale gas is less interesting, but we do think that we are getting very close to a bottom in natural gas prices. When we see us bottoming there, we might be rotating back into some shale gas themes that we have had success on historically. Mid-continent refining has been a theme that we have been pursuing for well over a year, and we continue to think that it is a real area of interest. They have been very good performers for us this year, and even last year, and we do not see that changing at all. And then finally, with oil prices kind of being fairly resilient in the $90 to $105 range, we really see the resurgence of international exploration pretty much across the globe. A lot of opportunities are popping up. And again, that is a theme that we have been in for some time, but we are actually starting to see a lot of interest outside of kind of a small group of investors. That is starting to get much broader, and that is obviously good for stock prices.

IMPORTANT DISCLOSURE

The views and opinions expressed are those of the speaker and are current as of the video’s posting date. Video commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. All performance information is historical and is not a guarantee of future results. For more information about Van Eck Funds, Market Vectors ETFs or fund performance, visit vaneck.com. Any discussion of specific securities mentioned in the video commentaries is neither an offer to sell nor a solicitation to buy these securities. Fund holdings will vary. All indices mentioned are measures of common market sectors and performance. It is not possible to invest directly in an index. Information on holdings, performance and indices can be found at vaneck.com.

Please note that Van Eck Securities Corporation offers investment products that invest in the asset class(es) included in this video. Investments in emerging markets securities tend to be more volatile and less liquid than securities traded in developed countries. Emerging markets investments are subject to risks associated with investments in: foreign, emerging markets and debt securities.

Investing involves risk, including possible loss of principal. An investor should carefully consider investment objectives, risks, charges and expenses of the investment company before investing. Call 800.826.2333 or click below to obtain a prospectus and summary prospectus which contain this and other information. Please read the prospectus and summary prospectus carefully before investing.

No part of this material may be reproduced in any form, or referred to in any other publication, without express written permission of Van Eck Securities Corporation. © 2012 Van Eck Securities Corporation.

Van Eck Securities Corporation, Distributor
335 Madison Avenue, New York, NY 10017

REACTIONS TO QE3

CHARLES CAMERON, CO-PORTFOLIO MANAGER: I think this round of quantitative easing is a little different than the first two. This is the more open-ended and should be more impactful going forward. The market did not really expect it -- they expected more asset purchases, but this time Bernanke has made it open-ended. Any kind of weakness in labor going forward is going to continue the process. There is no end to this one. This quantitative easing should be the most impactful going forward. There are still a lot of other problems in the world, but again, you've had Europe participate a little bit and China is easing a little bit. I think this will be the most meaningful monetary policy move going forward. Additionally, there was a lot of talk about mortgage-backed securities. The one sector of the economy that has done a little bit better has been housing; I think this is just reinforcing a stronger housing market. A lot of people own houses; it is important in the wealth effect and Bernanke clearly wants the wealth effect to take hold in the economy. Mortgage-backed securities seem to be a very good option.

FUTURE OF THE U.S. DOLLAR

I think with the Fed now printing faster than other central banks, the dollar will weaken. However, the Europeans don't want a stronger euro and the Japanese don't want a stronger yen. Therefore, the dollar will be the weaker currency going forward, simply because the Fed is printing faster than everywhere else. You will see responses from other central banks, but I do not think the dollar can weaken too dramatically in the short term.

OPPORTUNITIES IN HARD ASSETS

The two sectors that we are the most excited about is, first, the domestic oil exploration and production companies. We think the oil markets are still pretty tight. Crude oil is around $95, and we think that domestic E&P's are the way to play it. The other sector we are excited about is the gold sector. And again, this is because of this open-ended QE [round of quantitative easing.] There are going to be a lot of dollars around and, as a result, there is going to be currency weakness. Gold should clearly be the beneficiary in that environment.

IMPORTANT DISCLOSURE

The views and opinions expressed are those of the speaker and are current as of the video’s posting date. Video commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. All performance information is historical and is not a guarantee of future results. For more information about Van Eck Funds, Market Vectors ETFs or fund performance, visit vaneck.com. Any discussion of specific securities mentioned in the video commentaries is neither an offer to sell nor a solicitation to buy these securities. Fund holdings will vary. All indices mentioned are measures of common market sectors and performance. It is not possible to invest directly in an index. Information on holdings, performance and indices can be found at vaneck.com.

Please note that Van Eck Securities Corporation offers investment products that invest in the asset class(es) included in this video. Hard Assets investments are subject to risks associated with real estate, precious metals, natural resources and commodities and events related to these industries, foreign investments, illiquidity, credit, interest rate fluctuations, inflation, leverage, and non-diversification.

Investing involves risk, including possible loss of principal. An investor should consider investment objectives, risks, charges and expenses of the investment company carefully before investing. Call 800.826.2333 or click here to obtain a prospectus and summary prospectus contains, which contains this and other information. Please read the prospectus and summary prospectus carefully before investing.

No part of this material may be reproduced in any form, or referred to in any other publication, without express written permission of Van Eck Securities Corporation. © 2012 Van Eck Securities Corporation.

Van Eck Securities Corporation, Distributor
335 Madison Avenue, New York, NY 10017

LIQUIDITY OF EMERGING MARKETS CORPORATE DEBT MARKETS

FRAN RODILOSSO, PORTFOLIO MANAGER: There are several reasons why I think people tend to have a misperception about liquidity in emerging markets corporate debt. Three reasons have to do with the maturation of the market, transparency, and the level of competition among liquidity providers. Emerging markets corporate debt 10 – 15 years ago was very much a niche in the debt marketplace. Today, it's really come into its own as an asset class. There's almost $1 trillion outstanding in emerging markets corporate bonds. About $300 billion of that is high-yield debt. The market has taken off over the last five or six years. Issuance of corporate debt has outpaced issuance of sovereign debt in U.S. dollars. It's becoming the hard currency place to go, in a way, for a lot of investors. That's the maturation. As far as transparency goes, emerging markets debt has had live inter-dealer broker screens for twenty years. The U.S. high-yield market still doesn't have that. The European high-yield market did not have that. This sort of information leaks out into the market. It gives end buyers a chance to know where the markets are. Probably even more important is trace reporting. A vast majority of bonds traded in emerging markets corporates are trace-eligible, which means trades done in the United States have to be reported to FINRA, and these trades get published at the levels they traded and become readily available in the marketplace within minutes for people who can access FINRA data. This level of transparency gives investors an advantage. Finally: competition. There are U.S. broker-dealers, European broker-dealers and Japanese broker-dealers. These are the traditional players in credit markets. However, being emerging markets, with some very large banks and brokers having emerged over the last decade, there's a lot more competition coming from within the regions. A lot of these banks and brokers have become big players and big liquidity providers, adding to the overall competition, and resulting in, what I think, are tighter bid offer spreads on a lot of paper.

POTENTIAL VALUE OF FALLEN ANGELS

Fallen angel bonds —sub-investment-grade bonds which were originally issued as investment-grade bonds — have outperformed, from an annualized return perspective, broader high-yield indices over the last 5 – 10 years. I'm comparing the index that our Angel ETF follows, a Merrill Lynch fallen angel index versus the Merrill Lynch high-yield index, or even the Barclays very-liquid high-yield index. Another interesting aspect of fallen angels, set over the same time period, is that they've displayed a lower default rate than original-issue high-yield debt. Additionally, a higher percentage of angels over their lifetime make it back into investment grade than do original-issue high-yield bonds. All that being said, the last 5 and 10 years do not necessarily indicate where we're headed. But if we look at the Merrill Lynch angel index that we try to track and the Merrill Lynch high-yield index today it's interesting: the angel index has a low double-B rating, on average, while the high-yield index overall has a high single-B. So, by comparison, the angel index has a slightly better credit quality, per the ratings agencies.

GROWTH OF HIGH YIELD OUTSIDE OF THE U.S.

Currently, 35% of the high-yield universe is represented by issuers outside of the United States. Fifteen years ago, that number was just 11%. Even five years ago, it was less than 25%. Clearly, as the overall global high-yield universe has been expanding, it's been expanding even more rapidly outside the United States. There are three primary reasons for that. First is Europe. In Europe, borrowers are substituting bank loan financing with bond financing for a variety of reasons. Part is because of shrinking bank balance sheets, and part is because it gives them more freedom in terms of how to construct their balance sheets. Second is emerging markets. It's where the growth is in the world, but also, emerging markets private sector borrowers, even a decade ago, barely had access to international capital markets. This has really changed over the last five years. And it is the fastest growing part of the international high-yield universe. The third very important reason for the growth of the international high-yield component is investors themselves. We're in a period where people are looking for yield. There's demand for high-yielding products. But investors have seen other parts of the high-yield universe perform through the credit cycle, and in our opinion, investors are getting more comfortable. Investors demand for high-yield products is certainly high in this low interest rate environment. And the relative performance of European and emerging markets high yield through the credit cycle, in our opinion, has added confidence to the notion that these are mature and investable markets.

IMPORTANT DISCLOSURE

The views and opinions expressed are those of the speaker and are current as of the video’s posting date. Video commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. All performance information is historical and is not a guarantee of future results. For more information about Van Eck Funds, Market Vectors ETFs or fund performance, visit vaneck.com. Any discussion of specific securities mentioned in the video commentaries is neither an offer to sell nor a solicitation to buy these securities. Fund holdings will vary. All indices mentioned are measures of common market sectors and performance. It is not possible to invest directly in an index. Information on holdings, performance and indices can be found at vaneck.com.

Please note that Van Eck Securities Corporation offers investment products that invest in the asset class(es) included in this video. There are risks involved with investing in ETFs, including possible loss of money. Shares are not actively managed and are subject to risks similar to those of stocks, including those regarding short selling and margin maintenance requirements. Ordinary brokerage commissions apply. Debt securities carry interest rate and credit risk. Interest rate risk refers to the risk that bond prices generally fall as interest rates rise and vice versa. Credit risk is the risk of loss on an investment due to the deterioration of an issuer's financial health. High-yield and municipal securities have additional risks. The Funds' underlying securities may be subject to call risk, which may result in the Funds having to reinvest the proceeds at lower interest rates, resulting in a decline in the Funds' income.

ETF fund shares are not individually redeemable and will be issued and redeemed at their NAV only through certain authorized broker-dealers in large, specified blocks of shares called "creation units" and otherwise can be bought and sold only through exchange trading. Creation units are issued and redeemed principally in kind. Shares may trade at a premium or discount to their NAV in the secondary market.

Investing involves substantial risk and high volatility, including possible loss of principal. Bonds and bond funds will decrease in value as interest rates rise. An investor should carefully consider the investment objective, risks, charges and expenses of the Fund before investing. To obtain a prospectus and summary prospectus , which contain this and other information, call call 888.MKT.VCTR or visit vaneck.com/etf. Please read the prospectus and summary prospectus carefully before investing.

No part of this material may be reproduced in any form, or referred to in any other publication, without express written permission of Van Eck Securities Corporation. © 2012 Van Eck Securities Corporation.

Van Eck Securities Corporation, Distributor
335 Madison Avenue, New York, NY 10017

EMERGING MARKET GROWTH

CHARL MALAN, SENIOR ANALYST: How is the perceived slowdown in emerging markets impacting base metal prices and equities? I think you need to look at both the equities and the commodities to really understand. The commodity prices have held up incredibly well. I think it's been driven more by supply shocks than actual lack of demand in emerging economies. We think emerging economies are looking pretty strong. The perceived impact of emerging economies has actually impacted the equities significantly more, especially where equities have been significantly more volatile in selling down on periods of negative news regarding a slowdown in emerging economies.

RISING COST OF PRODUCTION

Rising energy costs have had an impact on base and industrial metal companies, but a number of other issues have also had an impact on the cost of production of base industrial commodities. The things I normally look at more closely, because they have a bigger impact, are things such as grade and, something we've seen a lot in the last quarter, labor actions and labor going on strike — negotiating for higher prices and higher wages. Something we’ve seen over the last number of years is that the incentive price for copper has moved from about $2.30 five years ago, to $2.50 a couple of years ago; and at the moment, it’s closer to $3. Most of that upward move has been because of input costs rising.

CAPITAL MANAGEMENT

The area that I'm most excited about is something I spoke about in the end of 2011 — companies are clearly defining their capital management programs significantly more than before. So far this year, we've seen both Rio Tinto and Cliffs Natural Resources returning a substantial amount of their free cash flow to shareholders, and both those stocks have comfortably outperformed in 2012 relative to its peer group [Rio Tinto and Cliffs Natural Resources represented 0.6% and 2.5% of Van Eck Global Hard Assets Fund’s net assets as of 3/31/12]. In the end of 2012, the anticipation of better capital management and return of shareholders' money to shareholders could be a potential driver for outperformance. That's probably the area I'm the most excited about within the base industrial metal space.

LABOR NEGOTIATIONS

The area that I'm most concerned about is labor. We've had a significant amount of labor negotiations and failures of re-negotiation of contracts over the last three months. At the end of this year, about 10% of the world's copper supply will be undergoing labor negotiations. I think we sit at the risk where commodity prices could be well supported because of labor negotiations, and the lack of settling on new prices might mean a slower supply of that commodity, and that, to the inverse, will have a significant negative impact on the companies' earnings as well as on their cost base. This is most probably the area I'm the most concerned about.

IMPORTANT DISCLOSURE

The views and opinions expressed are those of the speaker and are current as of the video’s posting date. Video commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. All performance information is historical and is not a guarantee of future results. For more information about Van Eck Global, Market Vectors or fund performance, visit vaneck.com. Any discussion of specific securities mentioned in the commentaries is neither an offer to sell nor a solicitation to buy these securities. Fund holdings will vary. All indexes mentioned are measures of common market sectors and performance. It is not possible to invest directly in an index. www.vaneck.com provides for more information on holdings, performance and indices

Please note that Van Eck Securities Corporation offers investment products that invest in the asset class(es) included in this video. Hard Assets investments are subject to risks associated with real estate, precious metals, natural resources and commodities and events related to these industries, foreign investments, illiquidity, credit, interest rate fluctuations, inflation, leverage, and non-diversification.

Investing involves risk, including possible loss of principal. An investor should consider investment objectives, risks, charges and expenses of the investment company carefully before investing. Call 800.826.2333 or visit vaneck.com to obtain a prospectus and summary prospectus contains, which contains this and other information. Please read the prospectus and summary prospectus carefully before investing.

No part of this material may be reproduced in any form, or referred to in any other publication, without express written permission of Van Eck Securities Corporation. ©2012 Van Eck Securities Corporation.

Van Eck Securities Corporation, Distributor

335 Madison Avenue, New York, NY 10017

DISSECTING PRICES AT THE PUMP

GEOFF KING, ENERGY ANALYST: There are four main factors that affect the price at the pump. The main one, about 60% of it, is the price of crude, and that can vary widely, depending on what type of crude you're using. Since it's a worldwide market, crude is going to trade on whatever the international benchmark is, and that currently is Brent Crude. The second factor is the Crack Spread — the profit earned for refining a barrel of crude and turning it into the products we use on the road today: diesel, gasoline, and the like. The third part is the transportation costs of bringing gasoline to the retail station. And the last part is your taxes which have varied widely. There’s been lots of talk in Washington D.C. about reducing some of the taxes on gasoline; however, we don't see that as highly likely in any meaningful way. Those are the four main factors that determine gasoline prices at the pump.

GEOGRAPHIC PRICE VARIATIONS

There are varying reasons for the difference in gasoline prices from region to region within the U.S. If you compare California to Houston, the major difference is environmental regulations. They have CARB [California Air Resources Board] gasoline in California, which has very low particulate matter, but is very difficult to make. The second factor is location. It's very difficult to make this gasoline in California as it's a bit of an island when it comes to refining capacity. There's very little that can come into that region, so they're net short capacity.

If you look at other regions, such as Houston and areas like that, they don't have the capacity issue and they have less environmental regulations. Therefore, they pay less at the pump. The price is also connected with the location to the refiner. For example, if you live in a very remote region like Montana, you’re going to pay for the cost to transport the gasoline from the refinery gate to wherever the terminal is, where it then gets distributed to the retail locations. If that's hundreds of miles away, you have to pay for the incremental transportation cost to truck the crude to that location. If we look internationally, you’ll see that the U.S. price varies a lot compared to Europe. In Europe, the price is much higher, largely because of taxes. That's about 90% of it. Europe is a little bit more environmentally stringent, but in general, the majority of that has to do with tax regime.

GAS PRICE CEILING
You're already seeing this in the U.S. Gasoline demand remains low, and, I would argue, that is has less to do with the price at the pump. Obviously that is a factor for your marginal consumer. However, for the most part, once you get to a certain level, gasoline demand is pretty inelastic — people still have to get to work; it becomes an employment issue. But when you look at areas where gasoline demand is weak — places like California — you’ll see a high unemployment rate. Demand has a lot more to do with unemployment than the price of oil. You hear a lot of analysts citing numbers like $125 a barrel as the price level where demand destruction sets in. Those regressions, we believe, have some spurious correlations to the two unique events that occurred when crude prices were at these levels —in 2008, the housing crisis, and last year, the crisis in Europe. These were quite unique events and not likely to be repeatable. These events are influencing those regressions and spitting out a number — that $125 a barrel is where demand destruction has set in. We haven't seen too much regression this year even though crude has been at these prices. I think we’re fine if we stay steady at these levels. It's not ideal. An ideal environment would be anywhere from around $90 to $110 a barrel, but in general, we see stable crude demand.

IMPORTANT DISCLOSURE

The views and opinions expressed are those of the speaker and are current as of the video’s posting date. Video commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. All performance information is historical and is not a guarantee of future results. For more information about Van Eck Global, Market Vectors or fund performance, visit vaneck.com. Any discussion of specific securities mentioned in the commentaries is neither an offer to sell nor a solicitation to buy these securities. Fund holdings will vary. All indexes mentioned are measures of common market sectors and performance. It is not possible to invest directly in an index. www.vaneck.com provides for more information on holdings, performance and indices

Please note that Van Eck Securities Corporation offers investment products that invest in the asset class(es) included in this video. Hard Assets investments are subject to risks associated with real estate, precious metals, natural resources and commodities and events related to these industries, foreign investments, illiquidity, credit, interest rate fluctuations, inflation, leverage, and non-diversification.

Investing involves risk, including possible loss of principal. An investor should carefully consider investment objectives, risks, charges and expenses of the investment company before investing. Call 800.826.2333 or click below to obtain a prospectus and summary prospectus which contain this and other information. Please read the prospectus and summary prospectus carefully before investing.

No part of this material may be reproduced in any form, or referred to in any other publication, without express written permission of Van Eck Securities Corporation. ©2012 Van Eck Securities Corporation.

Van Eck Securities Corporation, Distributor

335 Madison Avenue, New York, NY 10017

CATALYSTS FOR RISING CRUDE PRICES

SHAWN REYNOLDS, CO-PORTFOLIO MANAGER: There are four things that we think have been driving crude oil prices over the last quarter, and for the last several years: supply and demand — two fundamental issues; geopolitical risk, which is always part of the equation; and the liquidity that comes from fiscal monetary stimulus around the world. The first two, supply and demand, are things we always focus on. Very interesting thoughts on non-OPEC supply are that we're going to see a very large increase this year. Our original estimates were up almost a million barrels a day. That has now been cut by half. Currently, non-OPEC supply is thought to be up only around 500 thousand barrels a day. That's a big ding to expectations around supply. With regards to demand, demand pull, there's a lot of concern because we see lower demand in the United States, certainly of petroleum products and particularly gasoline. However, on a global basis, we pointed out many, many times, we're at all-time record highs in global crude oil consumption. Interestingly, the U.S. has now become a net exporter of crude oil products, mostly driven by diesel. This emphasizes how the rest of the world, particularly the non-OECD nations, is still ravenous in their consumption. For most non-OECD nations, their primary transportation fuel is diesel. We're now exporting that from the Gulf Coast. Gasoline demand is falling here in the United States — it has been for a number of years — but that's not enough to offset what we're seeing in the rest of the world. A common question people ask is, “what is the geopolitical risk premium built into the oil price today?” We often point out that the geopolitical risk premium has been part of the oil price for the last forty years; in the modern petroleum era, there's always been a geopolitical risk premium built in. It widens, it shrinks, but it's always there. I would say today, it's fairly wide. Is it ten bucks, is it fifteen bucks? It's hard to be very precise, but it is significant, and it's because we're seeing significant tensions around the world, starting last year with the Arab Spring, and now, of course, what's going on with Syria, and more importantly, between Israel and Iran. So it is real, but it's not going to go away.

NATURAL GAS

Natural gas prices in the United States, are at a ten-year low and heading lower. It's very likely that we're going to see gas prices head into the $1 range, with a $1 handle on it. The reason for this is that we've had one of the warmest winters on record — 16% warmer than the last ten-year average. This has led to a huge decrease in demand, and a corresponding increase in storage or the remnant of storage. We drew all year, all through the winter, but that draw from storage was much smaller than historical levels. As we now enter into the injection season, we're very likely to hit full storage much earlier than we normally do, which is usually sometime in September or October. We may see full storage as early as July or August, and when you see full storage, you start getting gas-on-gas competition which drives down prices very low, very sharply. Now, there will be an industry response to that. What will that response be? They will lay down rigs, and they may shut in gas supply, but typically there's a delayed reaction to the supply side. It's a tough road out there for natural gas for the next six to maybe even twelve months. It's going to be weather dependent. We’re probably not going to see the weather change that dramatically this summer. It's going to have to be extremely hot for it to impact prices dramatically. We have to wait until next winter for it to make a difference.

OUTLOOK FOR CRUDE OIL

We think that the oil outlook is driven by a number of things that keep it quite tight. Supply and demand is the ultimate that we look at. And we don't see that letting up at all over the next 12 months or so. Can we see the geopolitical risk premium start to dissipate a little bit? Yes, but it's not going to take us down to sub-$90 on crude oil. And as long as we're in that plus-90 range, we think it's a very good situation for the industry overall, and we are well-positioned to take advantage of that. Our biggest position right now as a theme is the unconventional oil plays here in North America, looking at things primarily in West Texas and the Permian Basin, they're all oil or liquids exposed. We also have exposure to the oil service industry, but the deep-water drillers and the onshore pressure pumpers and servicemen are involved in the unconventional oil story. So that's our biggest exposure and we feel pretty good about that looking forward over the next 6–12 months.

IMPORTANT DISCLOSURE

The views and opinions expressed are those of the speaker and are current as of the video’s posting date. Video commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. All performance information is historical and is not a guarantee of future results. For more information about Van Eck Global, Market Vectors or fund performance, visit vaneck.com. Any discussion of specific securities mentioned in the commentaries is neither an offer to sell nor a solicitation to buy these securities. Fund holdings will vary. All indexes mentioned are measures of common market sectors and performance. It is not possible to invest directly in an index. www.vaneck.com provides for more information on holdings, performance and indices

Please note that Van Eck Securities Corporation offers investment products that invest in the asset class(es) included in this video. Hard Assets investments are subject to risks associated with real estate, precious metals, natural resources and commodities and events related to these industries, foreign investments, illiquidity, credit, interest rate fluctuations, inflation, leverage, and non-diversification.

Investing involves risk, including possible loss of principal. An investor should carefully consider investment objectives, risks, charges and expenses of the investment company before investing. Call 800.826.2333 or click below to obtain a prospectus and summary prospectus which contain this and other information. Please read the prospectus and summary prospectus carefully before investing.

No part of this material may be reproduced in any form, or referred to in any other publication, without express written permission of Van Eck Securities Corporation. ©2012 Van Eck Securities Corporation.

Van Eck Securities Corporation, Distributor

335 Madison Avenue, New York, NY 10017

EU DEBT CRISIS

CHARLIE CAMERON, CO-PORTFOLIO MANAGER, HARD ASSETS INVESTMENT TEAM: The European debt crisis up until now has really slowed down global growth. It's cut financing for a lot of commodity firms, and has made everybody unsure. Everybody experienced 2008 when Lehman went bankrupt. People are worried about that risk again. There are plenty of outcomes for the European debt crisis. Markets clearly are focusing more on the negative ones right now, and we continue to monitor very closely. However, it's going to be a political football going forward, and we're paying attention to the political machinations of it.

STRONG DOLLAR AS THEME

The dollar has strengthened, and I think it's partially because of a weaker Euro, and partially because the U.S. economy has done better in the second half of the year. I think the dollar strengthened because the U.S. economy is doing better — is fine. It's not the Euro collapsing, so the dollar de facto is strengthening. The dollar has strengthened about four or five percent, I think over the past couple months, and the S&P has rallied about 11%. You have seen a little bit decoupling a strong dollar meaning poor asset prices.

DECREASED CHINESE GROWTH

I think China will still be a big factor in the commodity markets. They are the marginal buyer of most commodities. China engineered a slowdown in 2011. They were concerned about high inflation. Inflation looked like it peaked at almost 6.5% in 2011. We think the inflation numbers have started to decelerate, and will continue to do so. So China has the ability to ease. Growth will clearly be slower, but it's not going to be a hard landing that many people are fearing.

2012 Outlook

The U.S. economy seems to have really improved over the last three or four months. We think it will continue to improve. However, growth is not going to be great in the U.S. I think emerging markets will do better this year than they did last year, so that will be positive for hard assets. And the main risk is Europe, and again, that was heightened in the second half of last year. There are still a lot of question marks about it. And that's the situation we're monitoring from the risk side. Europe is really the wild card. Most people are pointing to a negative outcome, but we're monitoring these events to see if they will be a little better than expected. The ECB has eased a little bit in the past two or three months. They've also provided financing for the banks, so the real tightness in the credit quality and the credit curve has slacked off a little bit right now. Again, the situation's a little better, but hardly ideal.

IMPORTANT DISCLOSURE

The views and opinions expressed are those of Van Eck Global and are current as of February 2012. Fund manager commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. All performance information is historical and is not a guarantee of future results. Investments returns and the principal value of a fund will fluctuate with market conditions. You may have more or less than the original amount invested when you sell. For more information about Van Eck Funds or fund performance, visit vaneck.com. Any discussion of specific securities mentioned in the commentaries is neither an offer to sell nor a solicitation to buy these securities. Fund holdings will vary. All indices mentioned are measures of common market sectors and performance. It is not possible to invest directly in an index. The Van Eck Web site provides for more information on holdings, performance and indices.

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 hard assets and the hard assets sector, including real estate, precious metals and natural resources, and can be significantly affected by events relating to these industries, including international political and economic developments, inflation, and other factors. The Fund’s portfolio securities may experience substantial price fluctuations as a result of these factors, and may move independently of the trends of industrialized 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. The Fund is subject to risks associated with investments in debt securities, derivatives, commodity-linked instruments, illiquid securities, asset-backed securities and CMOs. The Fund is also subject to inflation risk, short-sales risk, market risk, non-diversification risk, leverage risk, credit risk and counterparty risk. Please see the prospectus and summary prospectus for information on these and other risk considerations.

Investing involves risk, including possible loss of principal. An investor should consider investment objectives, risks, charges and expenses of the investment company carefully before investing. Call 800.826.2333 or click here to obtain a prospectus and summary prospectus contains, which contains this and other information. Please read the prospectus and summary prospectus carefully before investing.

Van Eck Securities Corporation, Distributor

335 Madison Avenue, New York, NY 10017

BASE METALS EQUITIES

CHARL MALAN, SENIOR ANALYST, HARD ASSETS INVESTMENT TEAM: 2011 was a really tough year for base and industrial metal equities. Not only did a lot of the commodity prices collapse, such as copper, but also, and most probably more importantly, we had a significant derating or contraction of multiples. Overall, the sector was down somewhere around 23-25%, and I would say a majority of that could be ascribed to a multiple derating rather than a collapse in commodity prices overall.

RE-RATING

Do I see a re-rating of industrial and base metals in 2012? I think there are three things that stand out in order for this to happen. First, macroeconomic risks are still pretty much the driving factor, as it was in 2011. What happens in Europe is critical, I think for global equity markets, not just for base and industrial equities. Some resolve of that will be the first catalyst to a re-rating. The second will be what we see in China regarding an easing of its policies or monetary policies, and we have seen some very positive and encouraging signs that they will be easing on the monetary side. And the third, specifically regarding companies, will have to do with volume growth, meeting volume numbers, and cost management. But I think the most important thing will be companies' abilities and clear policies of returning free cash flow to shareholders, either through dividends or special dividends. I think if you have those three things combined, you will definitely see a re-rating in 2012. Maybe not back to the historical levels, but definitely somewhere in the mid-range of what we've seen historically.

2012 OUTLOOK

The commodity that I'm the most excited about in base and industrial metals for 2012 is definitely a combination of iron ore, where I do see significant recovery and purchases. In the fourth quarter of last year, we have about 160 million tons of slowdown in demand, and I anticipate that in the first quarter of this year, we will have an increase of about 130 million tons in demand. So with prices bottoming at about $120 a ton, I can easily see them rallying back to $160 a ton. Secondly, I'm positive on copper which has a very marginal balance between supply and demand. The two commodities that I probably am most excited about are zinc and lead. Both those commodities are trading against marginal cost of production, as I have said. Based on the third and fourth quarters’ production numbers from companies, we are seeing significant rest in production growth in 2012. I think it's something that consensus did not anticipate, and therefore we're seeing inventories being drawn down significantly more than what consensus is currently estimating. And that in itself will be a very strong underpin for commodity prices, specifically zinc and lead.

CONCERNS

The thing I'm most concerned about in 2012 is obviously on the macro front, specifically Europe. On equity-specific levels, I'm very concerned about cost of inflation and specifically with labor as labor contracts will be renegotiated this year. Just to give you some evidence, in the end of 2012, Freeport had a three-month-long strike at its biggest mine, called Grasberg, where it lost somewhere around 200,000 tons of copper production. In 2012, we anticipate that nearly 10% of the world's copper supply will go through some type of a labor negotiation. I do not think all 10% will come out of the supply chain, but clearly this is a significant risk, and based on what I have seen over the last quarter or two, I do anticipate some significant labor unrests, specifically in the copper market.

IMPORTANT DISCLOSURE

The views and opinions expressed are those of Van Eck Global and are current as of February 2012. Fund manager commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. All performance information is historical and is not a guarantee of future results. Investments returns and the principal value of a fund will fluctuate with market conditions. You may have more or less than the original amount invested when you sell. For more information about Van Eck Funds or fund performance, visit vaneck.com. Any discussion of specific securities mentioned in the commentaries is neither an offer to sell nor a solicitation to buy these securities. Fund holdings will vary. All indexes mentioned are measures of common market sectors and performance. It is not possible to invest directly in an index. The Van Eck Web site provides for more information on holdings, performance and indexes.

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 hard assets and the hard assets sector, including real estate, precious metals and natural resources, and can be significantly affected by events relating to these industries, including international political and economic developments, inflation, and other factors. The Fund’s portfolio securities may experience substantial price fluctuations as a result of these factors, and may move independently of the trends of industrialized 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. The Fund is subject to risks associated with investments in debt securities, derivatives, commodity-linked instruments, illiquid securities, asset-backed securities and CMOs. The Fund is also subject to inflation risk, short-sales risk, market risk, non-diversification risk, leverage risk, credit risk and counterparty risk. Please see the prospectus and summary prospectus for information on these and other risk considerations.

Investing involves risk, including possible loss of principal. An investor should consider investment objectives, risks, charges and expenses of the investment company carefully before investing. Call 800.826.2333 or click here to obtain a prospectus and summary prospectus contains, which contains this and other information. Please read the prospectus and summary prospectus carefully before investing.

Van Eck Securities Corporation, Distributor

335 Madison Avenue, New York, NY 10017

MUNICIPAL BONDS: OUTLOOK 2012

JIM COLBY, SENIOR MUNICIPAL STRATEGIST/PORTFOLIO MANAGER: 2011 was a terrific year for municipals, much to the surprise of many of its participants, given the way it began. I think that 2012 will again surprise participants, not for the magnitude necessarily of returns that we saw in 2011, but more for the stability, the credit quality, and modest returns for municipals and fixed income. I think this is what everybody is hoping for, if not counting on.

EQUITY MARKET OUTPERFORMANCE

Going through the last quarter of 2011, we began to see strong returns emerge in equities. We had a terrifically strong performance quarter at the end of 2011 for fixed income and municipals in particular. That's continuing into the first quarter, at least the first month of 2012. This may mean that investors who had shunned the equity market for fears of nonperformance — given the fact that the underlying economy was weak, given the fact that economies overseas were not supportive of the efforts on behalf of central banks and the Federal Reserve in particular to reflate the world economies — may in fact take a little bit of the tradeoff from the municipal sector. We had great inflows coming into our space at the end of 2011. Very solid inflows during the first month of 2012. I wouldn't be surprised to see that abate somewhat as institutional investors refocus their efforts, perhaps, in the equity sector. But it doesn't bode ill for returns in the long-term for municipal assets.

NEGATIVE OUTLOOK FROM THE FED

Recent Fed testimony as to the state of the economy has painted a continuingly bleak picture, and it has stated fairly unequivocally that rates are going to remain low for a long time, maybe well into 2014. If that continues, then the outlook for munis is likely to follow Treasuries. The movement in treasuries will often dictate the movement in municipal bonds in terms of price and yield. Not to the exact lockstep or magnitude, but following a similar pattern. If treasuries stay at these low yields, supported by the view from the Fed, then we can expect municipal performance to move accordingly and provide relatively stable returns throughout this period.

PERFORMANCE OPPORTUNITIES

We have just talked a little bit about the outlook for fixed income and municipal bonds through 2012, and that being of modest return opportunities. However, there are two areas where I think returns are going to at least have an opportunity to show performance greater than the mean, or greater than the average. The first is in triple-B, or the low, investment-grade credit quality issues. Given that the ETFs that we run capture the credit quality in the spectrum of triple-B to triple-A, bodes well for the potential performance of those ETFs because the spread differential between the triple-B and triple-A rated credits is still well above the long-term mean, to the tune of perhaps as much as a full percentage point higher than the long-term averages. That's one area of opportunity.

Another area of opportunity still resides in high yield, and I know we've mentioned before that high-yield remains attractive; the long-term average relationship between high-yield and investment-grade is still over a hundred basis points above the long-term mean. Again, representing an opportunity if spreads contract, if the economy improves, at least the municipal marketplace is no better a place to achieve the similar effect of the improvement in the economy than in municipal high-yield.

IMPORTANT DISCLOSURE

The views and opinions expressed are those of Van Eck Global and are current as of February 2012. Fund manager commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. All performance information is historical and is not a guarantee of future results. Investments returns and the principal value of a fund will fluctuate with market conditions. You may have more or less than the original amount invested when you sell. For more information about Van Eck Funds or fund performance, visit vaneck.com. Any discussion of specific securities mentioned in the commentaries is neither an offer to sell nor a solicitation to buy these securities. Fund holdings will vary. All indexes mentioned are measures of common market sectors and performance. It is not possible to invest directly in an index. The Van Eck Web site provides more information on holdings, performance and indexes.

Municipal bonds are subject to risks related to litigation, legislation, political change, conditions in underlying sectors or in local business communities and economies, bankruptcy or other changes in the issuer’s financial condition, and/or the discontinuance of taxes supporting the project or assets or the inability to collect revenues for the project or from the assets. Bonds and bond funds will decrease in value as interest rates rise. Additional risks include credit, interest rate, call, reinvestment, tax, market and lease obligation risk. High-yield municipal bonds are subject to greater risk of loss of income and principal than higher-rated securities, and are likely to be more sensitive to adverse economic changes or individual municipal developments than those of higher-rated securities. Interest and principal payments for pre-refunded bonds are funded from securities in an escrow account. The escrowed securities do not guarantee the price of these bonds. Municipal bonds may be less liquid than taxable bonds. There is no guarantee that the Fund’s income will be exempt from federal or state income taxes, and changes in those tax rates or in alternative minimum tax rates or in the tax treatment of municipal bonds may make them less attractive as investments and cause them to lose value. Capital gains, if any, are subject to capital gains tax. For a more complete description of these and other risks, please refer to each Fund’s prospectus.

ETF fund shares are not individually redeemable and will be issued and redeemed at their NAV only through certain authorized broker-dealers in large, specified blocks of shares called “creation units” and otherwise can be bought and sold only through exchange trading. Creation units are issued and redeemed principally in kind. Shares may trade at a premium or discount to their NAV in the secondary market.

Investing involves risk, including possible loss of principal. Bonds and bond funds will decrease in value as interest rates rise. An investor should consider investment objectives, risks, charges and expenses of the investment company carefully before investing. To obtain a prospectus and summary prospectus , which contains this and other information, call 800.MKT.VCTR or visit vaneck.com/etf. Please read the prospectus and summary prospectus carefully before investing.

Van Eck Securities Corporation, Distributor
335 Madison Avenue
New York, NY 10017

UNCONVENTIONAL OIL & GAS

SHAWN REYNOLDS, CO-PORTFOLIO MANAGER: I think it's important to understand initially what conventional oil and gas is. When you think about a conventional reservoir, you have to think of a very finite and discrete container. There are several elements that make up a conventional reservoir and lead to the accumulation of oil and gas. First, you need to have a source rock—this is where all the organic material is contained, heated up and pressurized over time, which creates the oil and gas; that migrates into a reservoir rock, which is a permeable and porous medium, usually a sandstone or a limestone. Then, on top of that reservoir rock, you need to have a cap or a seal—something that's impermeable. Then all that needs to be contained into a trap. Of course all of this needs to be laid down and migrated in a certain time sequence so it all comes together. This results in very limited areal extent in terms of the reservoir.

When we think about unconventional, we think about the organic material, the hydrocarbons that are embedded in that source rock. That source rock tends to be a shale—impermeable, nonporous rock—and tends to be very areal. How do you release those hydrocarbon molecules, be it natural gas or petroleum? You apply some of these new technologies we've all been hearing about: massive hydraulic fracturing and extended-reach horizontal drilling. You access this impermeable and nonporous shale that is very rich in hydrocarbons by fracturing it, and you gain a lot of access to it via the horizontal drilling. That releases an economic volume of the oil or natural gas, and now you have a new, unconventional play.

NATURAL GAS PRODUCTION

We've seen a very important impact to overall natural gas production in this country and in North America due to these unconventional resource plays. To put it in context, in 2004/2005, when we really started to get some momentum and impetus behind some of these resource plays, we produced around 18 trillion cubic feet of gas per year in the United States. That number in 2011 was approximately 23 TCF. You're talking about a very significant improvement in natural gas. That's within the context of relatively flat production for over a decade; now you see a very strong 25 - 30% increase. Looking back at 2004/2005, it was not unusual to see $10 per MCF for natural gas. Today, we're looking at something more in the low $2 range.

I believe that, in terms of natural gas, the unconventional story is still in the early or maybe if you want to be less optimistic, middle innings. There's a lot more to come. Many of the resource plays that we've identified already—Haynesville, Marcellus, Barnett—we are still in very early stages of tapping these resources, let alone all the unconventional plays that we've yet to identify on the natural gas side.

THE OIL SIDE OF THE STORY

One of the really interesting things about unconventional energy is the opportunity for the industry to now move into oil plays. It's very exciting for the industry and it's becoming very profitable. They are opening up these vast new areas that have been untapped for a number of decades. Companies that can access the technology (and most of them can right now) and use geology (i.e. old time prospecting) can go after it.

Within the North American E&P (exploration and production) sector, one can observe natural gas companies moving in a big migration towards liquids and oil right now. Virtually every E&P company is pursuing liquids and oil.

UNCONVENTIONAL GOING GLOBAL?

There's no doubt that unconventional is going global. It's happening a bit slower than what we've seen in terms of technology advances here in the United States. But undoubtedly, it's happening globally.

It's gaining a little bit of momentum. You're actually seeing some larger companies expand production globally. Exxon, in its most recent quarterly results, is talking about drilling in Argentina. In fact, we are seeing a lot of activity in places like Australia and Poland, and even in China. A few years ago, there was no discussion at all about shale gas in China, and now it's very much part of China’s focus, particularly among some national oil companies.

THE IMPACT OF LOWER GAS PRICES

We are seeing this migration and evolution into unconventional oil resource plays, and there is a gas component to that. In fact, you can even argue that a lot of the gas that is being produced today is coming from the associated part of the oil stream. What we’re seeing is almost a waste product, that's how natural gas is being treated. That's one of the reasons why we see this strong supply response and also why we see weak prices. A lot of these combined wells have oil, natural gas liquids, as well as dry gas in them. They're still very, very economic, even though the natural gas itself is getting a weak price. We don't see that slowing down dramatically anytime soon. As long as we continue to have oil prices at these levels (somewhere between $80 and $100), we would expect to see a fair amount of natural gas being produced.

ENVIRONMENTAL CHALLENGES

There's no doubt that fracking and the environmental issues around it are very important and very obvious right now. I think the industry has done a very good job of self-regulating. That doesn't mean that we're not going to see more regulations on the state as well as the federal side. That’s probably not a bad idea. One thing to be clear, though, I think the idea of banning fracking is really ridiculous, and it's really not on the table. However, in terms of regulating at the surface, where there's a lot of handling of fluids and water—it’s natural to think that there needs to be some regulations. But that's something that the industry can easily handle. It's just like any other industrial activity, it will be regulated, and it will probably be a good thing.

E&P VERSUS CONVENTIONAL

The difference between a traditional, conventional E&P play, and an unconventional resource play is that with the traditional resource there is a very finite, constrained container. And when you're drilling for it, you either find it, or you don't; you either have a discovery, or you have a dry hole. You have geologic risk. In unconventional resource plays, your geologic risk is virtually nil. You know there's hydrocarbons down there. What you don't know is if you can drill it cheaply enough to make it economical. With an investment in an E&P play that may be conventional and unconventional, you're taking on some geologic risk and operating risk. As an investor, you have to ask yourself if you want to invest in a company that's taking on geologic risk—as well as commercial risk, geopolitical risk, and weather risk—or do you want to invest in another company that has one of the biggest risk components removed (i.e. geologic risk) but has the rest of the issues as well. It depends on your risk tolerance. In theory, the conventional company’s successes should offset their dry holes. But that's a different risk profile than a purely unconventional play.

IMPORTANT DISCLOSURE

The views and opinions expressed are those of Van Eck Global and are current as of February 2012. Fund manager commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. All performance information is historical and is not a guarantee of future results. Investments returns and the principal value of a fund will fluctuate with market conditions. You may have more or less than the original amount invested when you sell. For more information about Van Eck Funds or fund performance, visit vaneck.com. Any discussion of specific securities mentioned in the commentaries is neither an offer to sell nor a solicitation to buy these securities. Fund holdings will vary. All indexes mentioned are measures of common market sectors and performance. It is not possible to invest directly in an index. The vaneck website provides more information on holdings, performance and indexes.

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 hard assets and the hard assets sector, including real estate, precious metals and natural resources, and can be significantly affected by events relating to these industries, including international political and economic developments, inflation, and other factors. The Fund’s portfolio securities may experience substantial price fluctuations as a result of these factors, and may move independently of the trends of industrialized 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. The Fund is subject to risks associated with investments in debt securities, derivatives, commodity-linked instruments, illiquid securities, asset-backed securities and CMOs. The Fund is also subject to inflation risk, short-sales risk, market risk, non-diversification risk, leverage risk, credit risk and counterparty risk. Please see the prospectus and summary prospectus for information on these and other risk considerations.

Investments in the unconventional oil and gas sector are exposed to certain risks which include, among others, volatility of energy prices, exploration and production spending, operating hazards, limited production history, royalty interests, liens and other burdens, third party pipeline availability and capacity, and an evolving regulatory environment. Additionally, the Fund is subject to changes in economic and political conditions, foreign currency fluctuations, changes in foreign regulations and other risks inherent to international investing. Investors should be willing to accept a high degree of volatility and the potential of significant loss. The Fund may loan its securities, which may subject it to additional credit and counterparty risk. See the Fund’s prospectus and summary prospectus for more complete information regarding investment risks.

ETF fund shares are not individually redeemable and will be issued and redeemed at their NAV only through certain authorized broker-dealers in large, specified blocks of shares called "creation units" and otherwise can be bought and sold only through exchange trading. Creation units are issued and redeemed principally in kind. Shares may trade at a premium or discount to their NAV in the secondary market.

This material must be accompanied or preceded by a prospectus. Investing involves risk, including possible loss of principal. An investor should consider investment objectives, risks, charges and expenses of the investment company carefully before investing. To obtain a prospectus, which contains this and other information, call 800.826.2333 or visit vaneck.com. Please read the prospectus carefully before investing.

Van Eck Securities Corporation, Distributor

335 Madison Avenue, New York, NY 10017

EMERGING MARKETS: 2012 STRATEGY

DAVID SEMPLE, PORTFOLIO MANAGER: Our approach to emerging market equities in 2012 is the same as it always has been. We are focusing on what we call emerging growth within emerging markets. We're looking at areas that are different from the old-fashioned mercantilist model of emerging markets where you sell cheap goods to developed markets’ consumers. Instead, we're looking at domestic demand. We're looking at value-added in manufacturing, because as currencies appreciate in emerging markets, it forces exporters into adding more value to their processes. In our opinion, this is a very productive part of our investment. So we look for stocks within that realm that are relatively undiscovered, and, hopefully, we'll find as many of those in 2012 as we have in the past, and it will be a very profitable year for our investors.

SMALL- AND MID-CAPS

The small- and mid-cap space is an area where we obviously invest a lot, and in an environment of risk-off globally, the small- and mid-cap space tends to be disproportionately affected. It's not that the businesses underlying the stock prices are affected. It's simply that people don't want to be in these types of stocks. But what we've seen time and again — whether it's after the Asian crisis, after 2000, in 2003, or 2009 — when there has been a risk-off situation, is that small- and mid-caps have bounced back very strongly. We feel we're very well positioned for an improvement in risk appetite in emerging markets.

MANAGING RISK

We have a number of ways of managing risk in the portfolio. Obviously, we construct the portfolio looking for stocks that have characteristics which, as a portfolio, mitigate risk. Specifically, in cyclical risk-off times like these, or in 2011, we focus on certain quality factors that certain stocks have, such as high and sustainable return on equity and high dividend yield. And we migrate a little bit up the market cap curve as well. We still believe in buying the small- and mid-cap emerging growth stocks, which are facing the best part of emerging markets: the emerging growth part of emerging markets. But, nevertheless, we certainly are careful about which stocks we have in the portfolio, because there is obviously a higher specific risk with each individual stock in smaller capitalization land. But as a portfolio, the risk profile is not really substantially different from a large-cap portfolio. Because a lot of the large caps are basically global cyclicals, so we'll get domestic demand stocks, and I think that that's really going to be a very profitable place to be for 2012.

IMPORTANT DISCLOSURE

The views and opinions expressed are those of Van Eck Global and are current as of February 2012. Fund manager commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. All performance information is historical and is not a guarantee of future results. Investments returns and the principal value of a fund will fluctuate with market conditions. You may have more or less than the original amount invested when you sell. For more information about Van Eck Funds or fund performance, visit vaneck.com. Any discussion of specific securities mentioned in the commentaries is neither an offer to sell nor a solicitation to buy these securities. Fund holdings will vary. All indices mentioned are measures of common market sectors and performance. It is not possible to invest directly in an index. The Van Eck Web site provides for more information on holdings, performance and indices.

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 the risks associated with its investments in emerging market securities, which tend to be more volatile and less liquid than securities traded in developed countries. 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. The Fund is subject to risks associated with investments in debt securities, derivatives, commodity-linked instruments, illiquid securities, asset-backed securities, CMOs and small- or mid-cap companies. The Fund is also subject to inflation risk, short-sales risk, market risk, non-diversification risk, leverage risk, credit risk and counterparty risk. Please see the prospectus and summary prospectus for information on these and other risk considerations.

Investing involves risk, including possible loss of principal. An investor should consider investment objectives, risks, charges and expenses of the investment company carefully before investing. Call 800.826.2333 or click here to obtain a prospectus and summary prospectus contains, which contains this and other information. Please read the prospectus and summary prospectus carefully before investing.

Van Eck Securities Corporation, Distributor

335 Madison Avenue, New York, NY 10017

GIVEN MARKET INSTABILITY AND THE POSSIBILITY OF A RECESSION IN THE U.S., WHAT IS YOUR OUTLOOK FOR THE FOURTH QUARTER?

CHARLIE CAMERON, CO-PORTFOLIO MANAGER, HARD ASSETS INVESTMENT TEAM: We've definitely seen a slowdown in the third quarter, globally. I think the fourth quarter in the U.S. will probably remain slow. Growth is likely to be in the 1.5-2% range. It is going to feel very muted, because emerging markets are slowing down a bit, as is Europe's. Our outlook is for muted growth, which is a continuation of the same path we've followed in the first half of the year.

HOW IS THE EUROPEAN DEBT CRISIS AFFECTING COMMODITIES? ARE SUPPLY AND DEMAND FUNDAMENTALS STILL INTACT?

I think the European debt crisis has not really had a direct effect on commodities. However, it has had a knock-on effect, in that we are worried about growth in the U.S. We are worried about the sovereign crisis and a banking crisis. It's also slowing down emerging market growth. That's where the real effect is on commodities. Any slowdown in emerging market growth will impact commodities. China has slowed a little in the third quarter and, we expect that to continue. This will not be a hard landing, but a soft landing. This has affected commodity demand a little. I think what has really affected commodities is positioning. I think a lot of people were long on commodities coming into it, expecting strong commodities throughout the year, and because risk has been taken off in the third quarter and starting the fourth quarter, commodity prices have come down. The supply and demand fundamentals still look decent to us going forward however for right now, it's more positioning risk.

IMPORTANT DISCLOSURE

The views and opinions expressed are those of Van Eck Global and are current as of November 2010. Fund manager commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. All performance information is historical and is not a guarantee of future results. Investments returns and the principal value of a fund will fluctuate with market conditions. You may have more or less than the original amount invested when you sell. For more information about Van Eck Funds or fund performance, visit vaneck.com. Any discussion of specific securities mentioned in the commentaries is neither an offer to sell nor a solicitation to buy these securities. Fund holdings will vary. All indices mentioned are measures of common market sectors and performance. It is not possible to invest directly in an index. The Van Eck Web site provides for more information on holdings, performance and indices.

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 hard assets and the hard assets sector, including real estate, precious metals and natural resources, and can be significantly affected by events relating to these industries, including international political and economic developments, inflation, and other factors. The Fund’s portfolio securities may experience substantial price fluctuations as a result of these factors, and may move independently of the trends of industrialized 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. The Fund is subject to risks associated with investments in debt securities, derivatives, commodity-linked instruments, illiquid securities, asset-backed securities and CMOs. The Fund is also subject to inflation risk, short-sales risk, market risk, non-diversification risk, leverage risk, credit risk and counterparty risk. Please see the prospectus and summary prospectus for information on these and other risk considerations.

Investing involves risk, including possible loss of principal. An investor should consider investment objectives, risks, charges and expenses of the investment company carefully before investing. Call 800.826.2333 or click here to obtain a prospectus and summary prospectus contains, which contains this and other information. Please read the prospectus and summary prospectus carefully before investing.

Van Eck Securities Corporation, Distributor

335 Madison Avenue, New York, NY 10017

GOLD PRICES CONTRACTED CONSIDERABLY IN MID TO LATE SEPTEMBER. IS GOLD'S SAFE HAVEN STILL VALID FOR THE SHORT TERM?

JOE FOSTER, SENIOR GOLD STRATEGIST, PORTFOLIO MANAGER OF VAN ECK INTERNATIONAL INVESTORS GOLD FUND: In the short term, I don't know if you can call anything a safe haven these days, with all the volatility and uncertainty in the market. There are a couple things that markets are looking at that they're very uncertain about and one would be the outlook for the economy. A lot of people are coming to the conclusion that we are indeed heading into a global recession and, if that's the case, then we will probably see more volatility and selling going forward. The second thing is the sovereign debt crisis in Europe. There's no clarity as to what the ultimate outcome will be for that, as well. Therefore, until we get more resolution on what the outlook is for these critical issues, I don't know that you can call anything a safe haven. I think that we're in a situation where we're going to see more selling, margin calls and other things like that in an unsettled market. This is what we have to look forward to in the short term.

HOW HAVE GOLD EQUITIES RESPONDED TO THE VOLATILITY RELATIVE TO GOLD?

We've seen volatility in the gold market and that translates to a bit more volatility for gold equities. Historically, the equities tend to outpace gold on the upside and under-perform gold on the downside. We're seeing that with the recent volatility; the violent sell-off in gold has resulted in a sell-off in gold equities as well, as we would expect.

AS THE MARKETS CONTINUE TO REACT TO THE EU CRISIS, HOW WILL GOLD RESPOND?

In the near term, the sovereign debt crisis in Europe is creating instability across all markets, really. I think as we look out in the longer term, I think all of this will benefit gold in the longer term. There are no easy solutions for the sovereign debt crisis, especially in Greece. It looks to us like there needs to be some sort of a default in Greece, and the sooner they can engineer an organized default, the better -- versus allowing the markets to dictate a hard or a forceful default. In other words, the sooner there's clarity on that front, the better. However, with that clarity comes additional risk to the financial system, and I think that will benefit gold in the long term.

IMPORTANT DISCLOSURE

The views and opinions expressed are those of Van Eck Global and are current as of November 2011. Fund manager commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. All performance information is historical and is not a guarantee of future results. Investments returns and the principal value of a fund will fluctuate with market conditions. You may have more or less than the original amount invested when you sell. For more information about Van Eck Funds or fund performance, visit vaneck.com. Any discussion of specific securities mentioned in the commentaries is neither an offer to sell nor a solicitation to buy these securities. Fund holdings will vary. All indexes mentioned are measures of common market sectors and performance. It is not possible to invest directly in an index. www.vaneck.com provides for more information on holdings, performance and indexes.

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 hard assets and the hard assets sector, including real estate, precious metals and natural resources, and can be significantly affected by events relating to these industries, including international political and economic developments, inflation, and other factors. The Fund’s portfolio securities may experience substantial price fluctuations as a result of these factors, and may move independently of the trends of industrialized 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. The Fund is subject to risks associated with investments in debt securities, derivatives, commodity-linked instruments, illiquid securities, asset-backed securities and CMOs. The Fund is also subject to inflation risk, short-sales risk, market risk, non-diversification risk, leverage risk, credit risk and counterparty risk. Please see the prospectus and summary prospectus for information on these and other risk considerations.

Investing involves risk, including possible loss of principal. An investor should consider investment objectives, risks, charges and expenses of the investment company carefully before investing. Call 800.826.2333 or click here to obtain a prospectus and summary prospectus contains, which contains this and other information. Please read the prospectus and summary prospectus carefully before investing.

Van Eck Securities Corporation, Distributor

335 Madison Avenue, New York, NY 10017

HOW DO EMERGING ECONOMIES DIFFER FROM EU COUNTRIES INVOLVED IN THE DEBT CRISIS?

DAVID SEMPLE, PORTFOLIO MANAGER, VAN ECK EMERGING MARKETS FUND: There is a very different setup for emerging markets in aggregate in terms of their debt profile. Quite clearly, the focus is on unsustainable debt on the periphery of Europe. While you can certainly point to some countries on the periphery of emerging markets that have a huge debt burden, this is not a common occurrence in the rest of the emerging markets. There is a link to developed markets' performance, particularly in the external sector within emerging markets. While it should not be over-exaggerated, a slowdown in developed markets, which has been priced in and what most people expect, quite frankly -- this will have an impact on emerging markets. By and large, they are currently in particularly good condition in terms of their balance sheets -- generating free cash flow, government debt is low, household debt is low, and corporate balance sheets are, by and large, in very good shape.

HOW HAVE EMERGING MARKET EQUITIES PERFORMED GIVEN THE RECENT VOLATILITY?

They have been struggling, quite frankly. It has been a difficult environment for emerging markets to outperform, because they are still regarded as a risk trade in the global equities context. There are improvements in terms of their risk profile, but for the moment people are sell first and ask questions later. Some of these questions, quite frankly, are not really very germane to what you should be asking in emerging markets. The question you should be asking is, "is this an opportunity?" Quite frankly, yes, it is. There are some phenomenal values out there. What the markets are pricing in, just to get back to average valuations, is a recession -- and no bones about it, a recession in the developed markets. Now, that may not be the central case for most people. If it isn't, then, quite frankly, there is a huge amount of value within emerging markets, looking at an earnings downgrade of fifty percent plus in some places, just to bring valuations back to average. So we think there's tremendous opportunity.

MUCH HAS BEEN SAID ABOUT A SLOWDOWN FROM CHINA. HOW COULD THIS AFFECT THE GLOBAL ECONOMY AS A WHOLE?

This is something that I could certainly spend a lot of time on, but the bottom line is that there is a slowdown in China. The lurid stories of the underground lending market and property crashes are simply wide of the mark. They just don't make any sense to anybody who has spent more than five minutes in China. There is a slowdown, though, and it will impact the economy because certain parts need to calm down. That's the government policy, and that's likely to continue to be the case into the fourth quarter. At some stage, we expect some mild fiscal stimulus. It won't be on the scale of 2008 and 2009, when the Chinese government stepped in with some pretty massive stimulus. They have the ability to do this. At the end of the day, some of the issues that China faces are, essentially, questions of government solvency, and with fiscal deficit in the low single digits, they have ample room for re-stimulating their economy, and I think they will. This will take a little while, and a little patience.

IMPORTANT DISCLOSURE

The views and opinions expressed are those of Van Eck Global and are current as of November 2011. Fund manager commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. All performance information is historical and is not a guarantee of future results. Investments returns and the principal value of a fund will fluctuate with market conditions. You may have more or less than the original amount invested when you sell. For more information about Van Eck Funds or fund performance, visit vaneck.com. Any discussion of specific securities mentioned in the commentaries is neither an offer to sell nor a solicitation to buy these securities. Fund holdings will vary. All indices mentioned are measures of common market sectors and performance. It is not possible to invest directly in an index. The Van Eck Web site provides for more information on holdings, performance and indices.

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 the risks associated with its investments in emerging market securities, which tend to be more volatile and less liquid than securities traded in developed countries. 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. The Fund is subject to risks associated with investments in debt securities, derivatives, commodity-linked instruments, illiquid securities, asset-backed securities, CMOs and small- or mid-cap companies. The Fund is also subject to inflation risk, short-sales risk, market risk, non-diversification risk, leverage risk, credit risk and counterparty risk. Please see the prospectus and summary prospectus for information on these and other risk considerations.

Investing involves risk, including possible loss of principal. An investor should consider investment objectives, risks, charges and expenses of the investment company carefully before investing. Call 800.826.2333 or click here to obtain a prospectus and summary prospectus contains, which contains this and other information. Please read the prospectus and summary prospectus carefully before investing.

Van Eck Securities Corporation, Distributor

335 Madison Avenue, New York, NY 10017

JIM COLBY, SENIOR MUNICIPAL STRATEGIST: ONE YEAR AGO, COMMENTS ABOUT BILLIONS IN LOOMING DEFAULTS FROM MUNICIPAL BONDS FROM MEREDITH WHITNEY HELPED SEND MARKETS SHARPLY LOWER GOING INTO YEAR END. WHAT HAS HAPPENED TO THE MUNI MARKET ONE YEAR LATER?

One year late and the municipal bond market has proven to be as resilient as ever. On the heels of comments and predictions by Meredith Whitney for billions of dollars of defaults and credit impairments in our marketplace, the market itself has proven its worth. The muni market is up in general terms [nearly 8.5% as of 10/31/11] year to date. Only one-half of the number of defaults that occurred in 2010 have come to roost in 2011. In addition, liquidity is as promising as it ever has been in the municipal marketplace, which means bonds are trading regularly, and certainly not without the looming specter of negative suggestions made by Meredith Whitney and others.

WHAT IS YOUR OUTLOOK FOR Q4 AND BEYOND?

The fourth quarter in the municipal marketplace could be a challenging one. I say that because we have a couple of particularly perplexing issues facing municipal investors. One of them, which perhaps holds the most significance, is the Jobs Act offered by President Obama. It calls into question whether or not bonds issued in the municipal marketplace will retain their tax-exempt status. This is not the first time that there's been a tax upon the municipal market by various forms of legislation. But, given the seriousness of this recession, and the potential for an extended recession, you have to give this legislation a little more weight. Overall, prospects are somewhat hazy, given what's happened in the municipal market. Year to date, I'd say we're in for a steady if not unspectacular finish to the calendar year.

WHAT SECTORS FOR MATURITY CONSIDERATIONS SHOULD BE PART OF TACTICAL CONSIDERATIONS BY MUNI INVESTORS?

Going into the fourth quarter, I would say that investors don't need to be told that caution will reign, but there are sectors of the marketplace that offer comfort of some degree to investors. An example would be: water and sewer, which are fee-based, revenue-based projects and programs. In addition, hospitals have proven to be a strong source of return and income for muni investors so far in 2011. But of course all that is built into the structure of a diversified portfolio. If you include those sectors in an appropriate mix, then I think you will find comfort in that structure. Finally, I think the theme of the fourth quarter is going to be: clip the coupon. Don't expect great returns for the muni market, but you certainly can expect a lot less volatility than other asset classes, and if you're earning that coupon return, then you'll have some measure of success.

IMPORTANT DISCLOSURE

The views and opinions expressed are those of Van Eck Global and are current as of November 2011. Fund manager commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. All performance information is historical and is not a guarantee of future results. Investments returns and the principal value of a fund will fluctuate with market conditions. You may have more or less than the original amount invested when you sell. For more information about Van Eck Funds or fund performance, visit vaneck.com. Any discussion of specific securities mentioned in the commentaries is neither an offer to sell nor a solicitation to buy these securities. Fund holdings will vary. All indexes mentioned are measures of common market sectors and performance. It is not possible to invest directly in an index. The Van Eck Web site provides more information on holdings, performance and indexes.

Municipal bonds are subject to risks related to litigation, legislation, political change, conditions in underlying sectors or in local business communities and economies, bankruptcy or other changes in the issuer’s financial condition, and/or the discontinuance of taxes supporting the project or assets or the inability to collect revenues for the project or from the assets. Bonds and bond funds will decrease in value as interest rates rise. Additional risks include credit, interest rate, call, reinvestment, tax, market and lease obligation risk. High-yield municipal bonds are subject to greater risk of loss of income and principal than higher-rated securities, and are likely to be more sensitive to adverse economic changes or individual municipal developments than those of higher-rated securities. Interest and principal payments for pre-refunded bonds are funded from securities in an escrow account. The escrowed securities do not guarantee the price of these bonds. Municipal bonds may be less liquid than taxable bonds. There is no guarantee that the Fund’s income will be exempt from federal or state income taxes, and changes in those tax rates or in alternative minimum tax rates or in the tax treatment of municipal bonds may make them less attractive as investments and cause them to lose value. Capital gains, if any, are subject to capital gains tax. For a more complete description of these and other risks, please refer to each Fund’s prospectus.

ETF fund shares are not individually redeemable and will be issued and redeemed at their NAV only through certain authorized broker-dealers in large, specified blocks of shares called “creation units” and otherwise can be bought and sold only through exchange trading. Creation units are issued and redeemed principally in kind. Shares may trade at a premium or discount to their NAV in the secondary market.

Investing involves risk, including possible loss of principal. Bonds and bond funds will decrease in value as interest rates rise. An investor should consider investment objectives, risks, charges and expenses of the investment company carefully before investing. To obtain a prospectus and summary prospectus , which contains this and other information, call 800.MKT.VCTR or visit vaneck.com/etf. Please read the prospectus and summary prospectus carefully before investing.

Van Eck Securities Corporation, Distributor
335 Madison Avenue
New York, NY 10017

WHAT FACTORS HAVE CONTRIBUTED TO GOLD'S RECENT HIGHS?

JOE FOSTER, SENIOR GOLD STRATEGIST, PORTFOLIO MANAGER OF VAN ECK INTERNATIONAL INVESTORS GOLD FUND: There have been a number of factors recently that have contributed to gold's rise. There are three factors that I see as most important. First of all, the Fed has said that it's going to keep interest rates at 0% into 2013. I believe the wording was, "through the first half of 2013." That implies that real interest rates will remain negative for a prolonged period. Historically, negative real interest rates have provided a positive environment for gold. This is one of the supporting factors of gold now and, I believe, into the future. The second thing was the ECB's [European Central Bank’s] decision to buy Spanish and Italian bonds. In other words, investors are refusing to buy those bonds, so the ECB is stepping in as an investor of last resort. This is the ECB's way of quantitative easing, and this is very positive for gold. The third factor is that the Swiss had decided to try to devalue the Swiss franc. The Swiss franc is a safe haven, or at least it was. This potential devaluation added even more momentum to the gold story.

WHERE DO YOU SEE THE CEILING?

It is tough to predict where the top will be in the gold market. All I can say is that I believe we are somewhere in the middle of a bull market. I don't think we're near the end, given what's going on in the global economies and with monetary and fiscal responses. Everything that is happening is very supportive of gold. I used to say that perhaps we could reach $2000 per ounce in the next two to three years. After what's gone on in the past month, it wouldn't surprise me to see $2000 in the next twelve months.

IMPORTANT DISCLOSURE

The views and opinions expressed are those of Van Eck Global and are current as of August 2011. Fund manager commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. All performance information is historical and is not a guarantee of future results. Investments returns and the principal value of a fund will fluctuate with market conditions. You may have more or less than the original amount invested when you sell. For more information about Van Eck Funds or fund performance, visit vaneck.com. Any discussion of specific securities mentioned in the commentaries is neither an offer to sell nor a solicitation to buy these securities. Fund holdings will vary. All indexes mentioned are measures of common market sectors and performance. It is not possible to invest directly in an index. www.vaneck.com provides for more information on holdings, performance and indexes.

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 hard assets and the hard assets sector, including real estate, precious metals and natural resources, and can be significantly affected by events relating to these industries, including international political and economic developments, inflation, and other factors. The Fund’s portfolio securities may experience substantial price fluctuations as a result of these factors, and may move independently of the trends of industrialized 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. The Fund is subject to risks associated with investments in debt securities, derivatives, commodity-linked instruments, illiquid securities, asset-backed securities and CMOs. The Fund is also subject to inflation risk, short-sales risk, market risk, non-diversification risk, leverage risk, credit risk and counterparty risk. Please see the prospectus and summary prospectus for information on these and other risk considerations.

Investing involves risk, including possible loss of principal. An investor should consider investment objectives, risks, charges and expenses of the investment company carefully before investing. Call 800.826.2333 or click here to obtain a prospectus and summary prospectus contains, which contains this and other information. Please read the prospectus and summary prospectus carefully before investing.

Van Eck Securities Corporation, Distributor

335 Madison Avenue, New York, NY 10017

HOW HAVE HEIGHTENED RECESSIONARY CONCERNS AFFECTED OIL PRICES AND ENERGY COMPANIES, AND WHAT SCENARIO IS NECESSARY FOR OIL PRICES TO RECOVER AND RETURN TO NEW HIGHS?

SHAWN REYNOLDS, CO-PORTFOLIO MANAGER, HARD ASSETS INVESTMENT TEAM: We don't think there is anything specific or fundamental to the correction in crude prices and equities that we saw over the last week or so [mid August]. It was really just like the rest of the market, a very visceral reaction to the U.S. credit downgrade, continued concerns about Europe, as well as a slowdown in the emerging markets. In reality, crude oil corrected basically in line with the market, depending on whether you look at WTI or Brent; both were down basically in line.

Energy equities are a little bit more leveraged to the perceptions of global growth. With the idea that the market is pricing in a global recession, energy equities took it on the chin a little bit harder. We expect there to be a subdued outlook for energy equities until there is more clarity around global growth. Nevertheless, as we've consistently said for many years here at Van Eck, is that we think that the fundamentals of consistent emerging market consumption growth combined with struggling supply, and higher cost supply, are very supportive to both crude oil prices and energy equities. We don't see any change in that in the long term.

People often lose sight of the fact that it's really the emerging markets, the non-OECD nations, that are in control of the global crude oil market now. If you look back to 2004, 2005, the OECD, Western Europe and the U.S. were in charge. We were 60% of the total consumption. Today, it's almost fifty-fifty, with OECD demand at approximately 53% and non-OECD at 47%. The more important question is: Where is all the growth coming from? It's all coming from non-OECD emerging markets. Looking back from 2007 to today, you're talking about a 3.5 million barrels a day decrease in OECD consumption. By contrast, non-OECD consumption is up 6.5 million barrels a day. All the growth during that very volatile period came from the emerging markets. That has led us to the point today where we have, on a global basis, demand at an all-time record high, with demand being supported by the emerging markets.

The emerging markets demand story, combined with the overall depressed market environment, is resulting in compelling opportunities now on the investment side. We have $86 oil today. Where do we see it going? Likely somewhere between this and $95 for the rest of the year. That's very good for energy equities that are pricing in something more like $70 to $75, maybe even lower. Given all this, we are seeing some compelling opportunities in the energy space right now.

IMPORTANT DISCLOSURE

The views and opinions expressed are those of Van Eck Global and are current as of August 2011. Fund manager commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. All performance information is historical and is not a guarantee of future results. Investments returns and the principal value of a fund will fluctuate with market conditions. You may have more or less than the original amount invested when you sell. For more information about Van Eck Funds or fund performance, visit vaneck.com. Any discussion of specific securities mentioned in the commentaries is neither an offer to sell nor a solicitation to buy these securities. Fund holdings will vary. All indexes mentioned are measures of common market sectors and performance. It is not possible to invest directly in an index. www.vaneck.com provides for more information on holdings, performance and indexes.

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 hard assets and the hard assets sector, including real estate, precious metals and natural resources, and can be significantly affected by events relating to these industries, including international political and economic developments, inflation, and other factors. The Fund’s portfolio securities may experience substantial price fluctuations as a result of these factors, and may move independently of the trends of industrialized 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. The Fund is subject to risks associated with investments in debt securities, derivatives, commodity-linked instruments, illiquid securities, asset-backed securities and CMOs. The Fund is also subject to inflation risk, short-sales risk, market risk, non-diversification risk, leverage risk, credit risk and counterparty risk. Please see the prospectus and summary prospectus for information on these and other risk considerations.

Investing involves risk, including possible loss of principal. An investor should consider investment objectives, risks, charges and expenses of the investment company carefully before investing. Call 800.826.2333 or click here to obtain a prospectus and summary prospectus contains, which contains this and other information. Please read the prospectus and summary prospectus carefully before investing.

Van Eck Securities Corporation, Distributor

335 Madison Avenue, New York, NY 10017

JOE FOSTER, PORTFOLIO MANAGER: I recently had the opportunity to visit some gold properties in Colombia. Mining is starting to take off in Colombia. It's becoming quite a destination. There's a lot of untapped potential in Colombia. Through the Civil War [1964 – present], there was no modern exploration or development. And it was a long war, so they missed out on the mining boom that we've seen in places like Chile, Peru and Argentina. There is tremendous potential, and now companies are going into areas that have been mined by traditional Colombian small-scale miners, or small Colombian companies. They are acquiring properties, and looking to develop them into much larger, possibly world-class operations. The potential for gold mining is huge in Colombia, like several other Latin American countries, and we're very excited about the country's future.

WHAT OBSTACLES OR CHALLENGES DO YOU SEE THESE MINERS FACING IN THE FUTURE?

I suppose the most obvious challenge, or perceived challenge, is security in a country like Colombia. I've been to the country twice in the last three years, and while we had security everywhere we went, I'm not sure it was necessary. When you're walking the streets of Bogotá or Medellin, everyone is very friendly, and it is very easy to get around. We never felt threatened or unsafe in any way. When a company — I'm talking about mining companies here — go to the more remote parts of the country, people in the country know where to go and where not to go. And if a company's looking to acquire properties in remote areas where there are still rebel strongholds, it is not uncommon to see the military come in for assistance, clear out an area, and establish a presence there so that it is safe for a company to operate.

IMPORTANT DISCLOSURE for Van Eck Global Hard Assets Fund and Van Eck International Investors Gold Fund

The views and opinions expressed are those of Van Eck Global and are current as of May 2011. Fund manager commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. All performance information is historical and is not a guarantee of future results. Investments returns and the principal value of a fund will fluctuate with market conditions. You may have more or less than the original amount invested when you sell. For more information about Van Eck Funds or fund performance, visit vaneck.com. Any discussion of specific securities mentioned in the commentaries is neither an offer to sell nor a solicitation to buy these securities. Fund holdings will vary. All indexes mentioned are measures of common market sectors and performance. It is not possible to invest directly in an index. www.vaneck.com provides for more information on holdings, performance and indexes.

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 hard assets and the hard assets sector, including real estate, precious metals and natural resources, and can be significantly affected by events relating to these industries, including international political and economic developments, inflation, and other factors. The Fund’s portfolio securities may experience substantial price fluctuations as a result of these factors, and may move independently of the trends of industrialized 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. The Fund is subject to risks associated with investments in debt securities, derivatives, commodity-linked instruments, illiquid securities, asset-backed securities and CMOs. The Fund is also subject to inflation risk, short-sales risk, market risk, non-diversification risk, leverage risk, credit risk and counterparty risk. Please see the prospectus and summary prospectus for information on these and other risk considerations.

Investing involves risk, including possible loss of principal. An investor should consider investment objectives, risks, charges and expenses of the investment company carefully before investing. Call 800.826.2333 or click here to obtain a prospectus and summary prospectus contains, which contains this and other information. Please read the prospectus and summary prospectus carefully before investing.

IMPORTANT DISCLOSURE for COLX Market Vectors Colombia ETF

Investors should be willing to accept a high degree of volatility and the potential of significant loss. The Fund is subject to risks associated with investments in derivatives and foreign securities. In particular, Colombian investments are subject to elevated risks, which include, among others, high interest rates, economic volatility, inflation, currency devaluations, high unemployment rates, commodity price volatility, and adverse economic events in other South American countries. In general, foreign investments are subject to greater market volatility, less reliable financial information, higher transactional costs, taxation, decreased liquidity, political risks, and currency risk. The Fund may loan its securities, which may subject it to additional credit and counterparty risk.

Market Vectors Colombia Index (the “Index”) is the exclusive property of 4asset-management GmbH, which has contracted with Structured Solutions AG to maintain and calculate the Index. Structured Solutions AG uses its best efforts to ensure that the Index is calculated correctly. Irrespective of its obligations towards 4asset-management GmbH, Structured Solutions AG has no obligation to point out errors in the Index to third parties.

4asset-management GmbH does not sponsor, endorse or promote Market Vectors Colombia ETF and makes no representation regarding the advisability of investing in the Fund.

Index returns are not Fund returns and do not reflect any management fees or brokerage expenses. Investors can not invest directly in the Index. Returns for actual Fund investors may differ from what is shown because of differences in timing, the amount invested and fees and expenses. Index returns assume that dividends have been reinvested.

The “Net Asset Value” (NAV) of a Market Vectors Exchange Traded Fund (ETF) is determined at the close of each business day, and represents the dollar value of one share of the fund; it is calculated by taking the total assets of the fund, subtracting total liabilities, and dividing by the total number of shares outstanding. The NAV is not necessarily the same as the ETF’s intraday trading value. Market Vectors ETF investors should not expect to buy or sell shares at NAV.

Fund shares are not individually redeemable and will be issued and redeemed at their NAV only through certain authorized broker-dealers in large, specified blocks of shares called "creation units" and otherwise can be bought and sold only through exchange trading. Creation units are issued and redeemed principally in cash. Shares may trade at a premium or discount to their NAV in the secondary market. You will incur brokerage expenses when trading Fund shares in the secondary market. Past performance is no guarantee of future results. Returns for actual Fund investments may differ from what is shown because of differences in timing, the amount invested, and fees and expenses.

Investing involves risk, including possible loss of principal. An investor should consider investment objectives, risks, charges and expenses of the investment company carefully before investing. Call 800.826.2333 or click here to obtain a prospectus and summary prospectus contains, which contains this and other information. Please read the prospectus and summary prospectus carefully before investing.

Van Eck Securities Corporation, Distributor

335 Madison Avenue, New York, NY 10017

An Overview of Van Eck Multi-Manager Alternatives Fund (VMAAX)

STEPHEN SCOTT, PORTFOLIO MANAGER: History has shown us that diversification into alternative investments such as long/short equity and fixed income, global macro and arbitrage can potentially reduce risk and improve returns. Such hedge-style strategies have historically offered investors reduced correlation to traditional asset classes while taking on less market exposure. Yet investing in alternatives using traditional hedge funds can pose some disadvantages for the typical retail clients:

• Item one
• High net worth/income requirements
• High investment minimums
• High management fee + performance fee
• Lack of liquidity and transparency
• K-1 tax reporting

Now there’s a more accessible and cost effective way to pursue the potential rewards of alternatives investing from Van Eck Global: Introducing the Van Eck Multi-Manager Alternatives Fund (VMAAX). It's not a hedge fund, but a hedge-style mutual fund with transparency and daily liquidity that allocates assets across multiple managers employing various alternative strategies.

Van Eck Multi-Manager Alternatives Fund is currently the only registered mutual fund that invests in a portfolio of BOTH top independent hedge fund managers, which are typically unavailable to retail investors and prominent hedge-style and traditional mutual funds. With just one investment, your clients can gain access to a wide range of renowned managers. All carefully selected and monitored by Van Eck’s alternatives experts. It’s a one-step alternatives solution for client portfolios. And, because the Van Eck Multi-Manager Alternatives Fund (VMAAX) is a mutual fund, not a hedge fund, your clients will enjoy the following benefits (as compared to many unregistered hedge funds):

• Lower investment minimums
• Lower management fees, no performance-based fees
• Daily liquidity
• A greater degree of transparency
• Risk management and oversight
• Easier tax reporting process (1099 vs. K1)

Van Eck Multi-Manager Alternatives Fund (VMAAX) is a new alternative for mutual fund investors. At Van Eck, we’ve been managing hedge-style strategies since 2003. Now you can benefit from our expertise as we manage the managers for you.

IMPORTANT DISCLOSURE

The views and opinions expressed are those of Van Eck Global and are current as of March 2010. Fund manager commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. All performance information is historical and is not a guarantee of future results. Investments returns and the principal value of a fund will fluctuate with market conditions. You may have more or less than the original amount invested when you sell. For more information about Van Eck Funds or fund performance, visit www.vaneck.com. Links are provided for more information on holdings, performance and indexes. The discussion of specific securities mentioned in the commentaries is neither an offer to sell nor a solicitation to buy these securities. Fund holdings will vary. All indexes mentioned are measures of common market sectors and performance. It is not possible to invest directly in an index.

You can lose money by investing in the Van Eck Multi-Manager Alternatives Fund. Any investment in the Fund should be part of an overall investment program rather than a complete program. Because the Fund implements a fund-of-funds strategy, an investor in the Fund will bear the operating expenses of the “Underlying Funds” in which the Fund invests. The total expenses borne by an investor in the Fund will be higher than if the investor invested directly in the Underlying Funds, and the returns may therefore be lower. The Fund, the Sub-Advisers and the Underlying Funds may use aggressive investment strategies, including absolute return strategies, which are riskier than those used by typical mutual funds. If the Fund and Sub-Advisers are unsuccessful in applying these investment strategies, the Fund and you may lose more money than if you had invested in another fund that did not invest aggressively. The Fund is subject to risks associated with the Sub-Advisers making trading decisions independently, investing in other investment companies, using a particular style or set of styles, basing investment decisions on historical relationships and correlations, trading frequently, using leverage, making short sales, being non-diversified and investing in securities with low correlation to the market. The Fund is also subject to risks associated with investments in foreign markets, emerging market securities, small-cap companies, debt securities, derivatives, commodity-linked instruments, illiquid securities, asset-backed securities and CMOs. Please see the prospectus for information on these and other risk considerations. The Fund employs aggressive investment strategies and techniques and may concentrate its investments in certain sectors and geographical regions that may be considered risky, and may not be suitable for all investors.

This material must be accompanied or preceded by a prospectus . Investing involves risk, including possible loss of principal. An investor should consider investment objectives, risks, charges and expenses of the investment company carefully before investing. To obtain a prospectus , which contains this and other information, call 800.826.2333 or visit vaneck.com. Please read the prospectus carefully before investing.

Van Eck Securities Corporation, Distributor

335 Madison Avenue, New York, NY 10017