Market Wake-Up Call: Diversify Your Core Equity Exposure
16 April 2025
Marketing Communication
The volatility and bouts of de-risking we’ve experienced in 2025 serve as a reminder of how valuable diversification can be in a portfolio. With continued uncertainty around inflation and growth expectations, diversification away from broad growth and tech stocks and emotion-free stock selection might become even more critical to equity allocations.
With its focus on quality and attractive valuations independent of style or sector, Morningstar’s moat investing philosophy offers investors a contrarian approach that could provide a high-conviction complement to core equity allocations. Hear directly from Morningstar’s equity research team for their perspective on market trends and the companies they cover. We’ll highlight:
- Current portfolio characteristics that set the moat suite apart in today’s choppy markets
- Moat companies’ investment thesis and current valuations
- Q&A with Morningstar’s equity research team
Investors should keep in mind the risks associated to VanEck’s moat product suite and that past performance is not indicative of future results. You may lose money up to the total loss of your investment due to Equity Market Risk and Concentration Risk as described in the Main Risk Factors, KID (MOTU/MOAT/SMOT/GOAT) and prospectus.
This webinar was pre-recorded on April 9, 11:00 a.m. ET.
This is a marketing communication. Please refer to the Prospectus of the funds and to the KIDs before making any final investment decisions.
IMPORTANT INFORMATION
This is marketing communication. Please refer to the prospectus of the UCITS and to the KID/KIID before making any final investment decisions. These documents are available in English and the KIDs/KIIDs in local languages and can be obtained free of charge at www.vaneck.com, from VanEck Asset Management B.V. (the “Management Company”) or, where applicable, from the relevant appointed facility agent for your country.
For investors in Switzerland: VanEck Switzerland AG, with registered office in Genferstrasse 21, 8002 Zurich, Switzerland, has been appointed as distributor of VanEck´s products in Switzerland by the Management Company. A copy of the latest prospectus, the Articles, the Key Information Document, the annual report and semi-annual report can be found on our website www.vaneck.com or can be obtained free of charge from the representative in Switzerland: Zeidler Regulatory Services (Switzerland) AG, Neudtadtgasse 1a, 8400 Winterthur, Switzerland. Swiss paying agent: Helvetische Bank AG, Seefeldstrasse 215, CH-8008 Zürich.
For investors in the UK: This is a marketing communication targeted to FCA regulated financial intermediaries. Retail clients should not rely on any of the information provided and should seek assistance from an IFA for all investment guidance and advice. VanEck Securities UK Limited (FRN: 1002854) is an Appointed Representative of Sturgeon Ventures LLP (FRN: 452811), which is authorised and regulated by the Financial Conduct Authority (FCA) in the UK, to distribute VanEck´s products to FCA regulated firms such as Independent Financial Advisors (IFAs) and Wealth Managers.
This information originates from VanEck (Europe) GmbH, which is authorized as an EEA investment firm under MiFID under the Markets in Financial Instruments Directive (“MiFiD). VanEck (Europe) GmbH has its registered address at Kreuznacher Str. 30, 60486 Frankfurt, Germany, and has been appointed as distributor of VanEck products in Europe by the Management Company. The Management Company is incorporated under Dutch law and registered with the Dutch Authority for the Financial Markets (AFM).
This material is only intended for general and preliminary information and shall not be construed as investment, legal or tax advice. VanEck (Europe) GmbH and its associated and affiliated companies (together “VanEck”) assume no liability with regards to any investment, divestment or retention decision on the basis of this information. The views and opinions expressed are those of the author(s) but not necessarily those of VanEck. Opinions are current as of the publication date and are subject to change with market conditions. Information provided by third party sources is believed to be reliable and have not been independently verified for accuracy or completeness and cannot be guaranteed.
VanEck Morningstar US Wide Moat UCITS ETF, VanEck Morningstar US SMID Moat UCITS, VanEck Morningstar US ESG Wide Moat UCITS, VanEck Morningstar Global Wide Moat UCITS ETF (the "ETFs") are sub-funds of VanEck UCITS ETFs plc, an open-ended variable capital umbrella investment company with limited liability between sub-funds. The ETFs are registered with the Central Bank of Ireland, passively managed and track equity indexes. Investing in the ETFs should be interpreted as acquiring shares of the ETFs and not the underlying assets.
The Morningstar® US Sustainability Moat Focus Index, Morningstar® Wide Moat Focus IndexSMand Morningstar® US Small-Mid Cap Moat Focus IndexSMare trade marks of Morningstar Inc. and have been licensed for use for certain purposes by VanEck. VanEck’s ETFs are not sponsored, endorsed, sold or promoted by Morningstar and Morningstar makes no representation regarding the advisability in VanEck’s ETF.
Effective December 15, 2023 the carbon risk rating screen was removed from the Morningstar® US Sustainability Moat Focus Index. Effective December 17, 2021 the Morningstar® Wide Moat Focus IndexTM has been replaced with the Morningstar® US Sustainability Moat Focus Index. Effective June 20, 2016, Morningstar implemented several changes to the Morningstar Wide Moat Focus Index construction rules. Among other changes, the index increased its constituent count from 20 stocks to at least 40 stocks and modified its rebalance and reconstitution methodology. These changes may result in more diversified exposure, lower turnover and longer holding periods for index constituents than under the rules in effect prior to this date. This webinar was pre-recorded on April 9, 11:00 a.m. ET.
The Morningstar® Global Wide Moat Focus IndexSM was created and is maintained by Morningstar, Inc. Morningstar, Inc. does not sponsor, endorse, issue, sell, or promote the VanEck’s ETFs and bears no liability with respect to that ETF or any security. Morningstar is a registered trademark of Morningstar, Inc. Morningstar Global Wide Moat Focus Index is a service mark of Morningstar, Inc.
It is not possible to invest directly in an index.
Performance quoted represents past performance. Current performance may be lower or higher than average annual returns shown. Performance data for the Irish domiciled ETFs is displayed on a Net Asset Value basis, in Base Currency terms, with net income reinvested, net of fees. Returns may increase or decrease as a result of currency fluctuations. Investors must be aware that, due to market fluctuations and other factors, the performance of the ETFs may vary over time and should consider a medium/long-term perspective when evaluating the performance of ETFs.
Investing is subject to risk, including the possible loss of principal. Investors must buy and sell units of the UCITS on the secondary market via a an intermediary (e.g. a broker) and cannot usually be sold directly back to the UCITS. Brokerage fees may incur. The buying price may exceed, or the selling price may be lower than the current net asset value. The indicative net asset value (iNAV) of the UCITS is available on Bloomberg. The Management Company may terminate the marketing of the UCITS in one or more jurisdictions. The summary of the investor rights is available in English at: complaints-procedure.pdf (vaneck.com). For any unfamiliar technical terms, please refer to ETF Glossary | VanEck.
No part of this material may be reproduced in any form, or referred to in any other publication, without express written permission of VanEck.
© VanEck (Europe) GmbH ©VanEck Switzerland AG © VanEck Securities UK Limited
