Van Eck Global - Since 1955

Global Hard Assets FundGHAYX

  • Daily Price   as of 11/26/2014

    NAV DAILY CHANGE
    $44.56  $-0.74 / -1.6%
  • Class Y Details: GHAYX

    INCEPTION DATE GROSS/NET EXPENSES1
    4/30/10 1.19%/1.13%
  • Hard Assets Commentary & Review: 3Q'14

    Current Outlook: 4Q'13

    3Q'14 Recap: 

    The Fund underperformed its commodity equities-based benchmark index, the Standard & Poor’s® (S&P) North American Natural Resources Sector Index (SPGINRTR), which returned -10.03%. The Fund’s negative performance during the quarter was due primarily to its positions in the Energy sector, these detracted most significantly from the Fund’s total return.

    While they had already started to stir in the second quarter of this year, the macroeconomic headwinds really started to blow during the third quarter. They came from a number of different directions. First, the current fluidity in the Ukraine/Russia situation continued to weigh on the markets and, in particular, the Euro. Both the EU and the U.S. announced further sanctions during the quarter, a portion of which related to the Financial Services and Energy sectors. And before the close of September, Russian stocks were down some 20% from their June peak in U.S. dollar terms.

    Second, growth in Europe’s powerhouse, Germany, slowed, also adversely affecting the Euro, with weakness in the Euro accelerating after the decision of the Governing Council of the European Central Bank (ECB) on September 4 both to lower the ECB’s benchmark interest rate to 0.05% and, after its meeting, to begin buying covered bonds and asset-backed securities, but not government bonds. Third, one of the short-term side effects of the uncertainty surrounding the outcome of the Scottish independence referendum right up until the result it appeared to be a neck and neck race was a weaker British pound.

    And, fourth and finally, the Fed’s sentiment looks, now, to be somewhat changed from what it was. Yes, things will likely continue to remain easy, but, it would appear, future actions will now be more data dependent then they previously were. Rather than just staying the course regardless, inputs such as rising inflation, a stronger economy, and employment growth may signal the Fed could be setting off on the path to raising interest rates. Couple the changed signals coming from the Fed with both a weak Euro and sterling, and continuing worries about China, and the consequence was a very strong U.S. dollar during the quarter. Commodities suffered accordingly.

    We started the year and continued through the first half with what appeared to be synchronized global expansion and what looked like global GDP growth with some degree of momentum. Admittedly, there were some headwinds, but they were, rather, more breezes than winds. However, in the third quarter, with the introduction of a few more macro uncertainties, these turned into actual winds and, subsequently, growth sputtered.

    Read full 3Q Commentary »  

      
     

  • Video Viewpoint on Hard Assets: 4Q'11 Outlook

    Global Supply Disruptions: Platinum and South African Mine Strikes

    Charl Malan
    Metals & Mining Analyst

    "We have a big problem within this industry in that it has to restructure itself, taking 4 million ounces that are unprofitable, bringing them down to 3 million ounces of more profitable or marginally profitable ounces."

    View now »


    Global Supply Disruptions: Nickel Export Ban in Indonesia

    Charl Malan
    Metals & Mining Analyst

    "We continue to see a significant ban on nickel pig iron out of Indonesia, which in itself has put a significant amount of pressure on supply…what we've had from the end of last year through the beginning of this year is essentially 30% of the world's nickel supply being cancelled…that’s where the question becomes ‘what happens going forward?’…"

    View now »


    Global Supply Disruptions: Coffee, Grains, and Protein

    Roland Morris
    Commodities Strategist

    "I think one of the surprising things in the commodity markets this year has been that commodity indexes in general have outperformed other asset classes year to date, and it's really because of some unique supply disruptions we've had."

    View now »


    LPL Financial Research: U.S. Energy Renaissance Q&A with Van Eck Global

    Shawn Reynolds
    Portfolio Manager, Van Eck Global Hard Assets Investment Team

    "The U.S. energy renaissance is a remarkable resurgence in oil and gas production here in the United States... It’s up over 50% in the last five years, growing at a steep rate. There’s no other country or region in the world that has grown that fast that quickly in the last 30 or 40 years."

    View now »


    Industrial Metals 2Q 2014: Commodity Outlook, Capital Management, and Mine Strikes

    Charl Malan
    Metals & Mining Analyst

    "We believe that towards the latter part of 2014 capital management, defined as cost management and CAPEX reductions, will be a potential significant kicker for higher earnings. It will ultimately develop into a higher rating for metals and mining companies through either a cash flow multiple or an EV/EBITDA multiple."

    View now »


    Agribusiness 2Q 2014: Crop Yield, Pricing, and Precision Farming

    Sam Halpert
    Agriculture Analyst

    "We're headed toward the U.S. planting season and the USDA has come out with its initial estimates. They predict very good acreage numbers, both in corn and soy. Assuming normal weather, we expect another good crop which should ultimately put some downward pressure on prices."

    View now »


    Agribusiness: Review of 2013 and Outlook for 2014

    Sam Halpert
    Agriculture Analyst

    "RFS, which is the Renewable Fuel Standard, will likely be reformed in 2014. There has been a ton of pressure from various constituents on the fuel standard. It's based on assumptions about gasoline demand that are outdated and we think that it will change."

    View now »


    Industrial Metals: Focusing on Capital and Cost Management in 2014

    Charl Malan
    Metals and Mining Analyst

    "We've seen many management changes among mining companies over the last year and a half. Many of the top twenty mining companies have changed senior management. Where previous management was focused much more on growth at any cost, new management is focused on capital and cost management... in 2014 [we] are likely to continue to see this aggressive approach by new management on reducing costs."

    View now »


    Current and Future Themes: Unconventional Resources

    Shawn Reynolds
    Portfolio Manager, Van Eck Global Hard Assets Investment Team

    "We see many opportunities in the Permian Basin, in West Texas, which is divided into two areas: the Midland eastern basin and the Delaware western basin. The Midland Basin is a bit more advanced than the Delaware basin but we have exposure to both regions."

    View now »


    Evolving Themes: Global Mining

    Shawn Reynolds
    Portfolio Manager, Van Eck Global Hard Assets Investment Team

    "There's been a big paradigm shift in the mining sector over the last year, and we are seeing high-level management changes that reflect this. The industry is shifting from a focus on growth, to one that emphasizes expense reduction, margins, returns, and eventually getting to higher valuations.”

    View now »


  • Hard Assets Defined: Foundation of Industrial Economies

    Hard Assets Defined

    “Hard assets” refers to the natural resources or commodities that are mined, exploited, harvested or otherwise procured globally. 

    Hard assets have traditionally been grouped into five broad categories:

    1) Energy  
    Oil, natural gas, electricity, coal, and new/renewable alternative energy sources

    2) Precious Metals  
    Gold, silver, palladium and platinum

    3) Base/Industrial Metals  
    Copper, aluminum, steel, iron and nickel

    4) Agriculture  
    Corn, wheat, sugar and water

    5) Forest Products  
    Timber, pulp and paper

  • Important Disclosure 

    Unless otherwise stated, portfolio facts and statistics are shown for Class A shares; other classes may have different characteristics. 

     NAV: Unless you are eligible for a waiver, the public offering price you pay when you buy Class A shares of the Fund is the Net Asset Value (NAV) of the shares plus an initial sales charge. The initial sales charge varies depending upon the size of your purchase.  No sales charge is imposed where Class A or Class C shares are issued to you pursuant to the automatic investment of income dividends or capital gains distributions. It is the responsibility of the financial intermediary to ensure that the investor obtains the proper “breakpoint” discount. Class C, Class I and Class Y do not have an initial sales charge; however, Class C does charge a contingent deferred redemption charge.  See the prospectus for more information.

    1Van Eck Associates Corporation (the “Adviser”) has agreed to waive fees and/or pay Fund expenses to the extent necessary to prevent the operating expenses of the Fund (excluding acquired fund fees and expenses, interest expense, trading expenses, dividends and interest payments on securities sold short, taxes and extraordinary expenses) from exceeding 1.38% for Class A, 2.20% for Class C, 1.00% for Class I, and 1.13% for Class Y of the Fund’s average daily net assets per year until May 1, 2015. During such time, the expense limitation is expected to continue until the Board of Trustees acts to discontinue all or a portion of such expense limitation.

    Van Eck Associates Corporation (the “Adviser”) has agreed to waive fees and/or pay Fund expenses to the extent necessary to prevent the operating expenses of the Fund (excluding acquired fund fees and expenses, interest expense, trading expenses, dividends and interest payments on securities sold short, taxes and extraordinary expenses) from exceeding 1.38% for Class A, 2.20% for Class C, 1.00% for Class I, and 1.13% for Class Y of the Fund’s average daily net assets per year until May 1, 2015. During such time, the expense limitation is expected to continue until the Board of Trustees acts to discontinue all or a portion of such expense limitation.

    2The S&P® North American Natural Resources Sector Index (SPGINRTR) includes mining, energy, paper and forest products, and plantation-owning companies. The S&P® 500 Index consists of 500 widely held common stocks covering industrial, utility, financial and transportation sectors. The S&P® Goldman Sachs Commodity Total Return Index (SPGSCITR) is a composite index of commodity sector returns, representing an unleveraged, long-only investment in commodity futures. All indices are unmanaged and include the reinvestment of all dividends, but do not reflect the payment of transaction costs, advisory fees or expenses that are associated with an investment in the Fund. An index’s performance is not illustrative of the Fund’s performance. Indices are not securities in which investments can be made. 

    The views and opinions expressed are those of Van Eck Global. Fund manager commentaries are general in nature and should not be construed as investment advice. Opinions are subject to change with market conditions. 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.

    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 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. The prospectus and summary prospectus contain this and other information.  Please read them carefully before investing. 

    Not FDIC Insured — No Bank Guarantee — May Lose Value 

    Van Eck Securities Corporation, Distributor
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    New York, NY 10017
    800.826.2333