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CBON
VanEck Vectors ChinaAMC China Bond ETF

  • Fund Description

    The VanEck Vectors® ChinaAMC China Bond ETF (CBON®) seeks to replicate as closely as possible, before fees and expenses, the price and yield performance of the ChinaBond China High Quality Bond Index (CDHATRID), which is comprised of fixed-rate, Renminbi ("RMB")-denominated bonds issued in the People's Republic of China by Chinese credit, governmental and quasi-governmental (e.g., policy banks) issuers.

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    • Fund Ticker

      CBON
    • Exchange

      NYSE Arca
    • Commencement

      11/10/2014
    • ETF Structure

      Physical
    • Administrator

      Van Eck Associates
    • Custodian

      Bank of New York Mellon
    • Index Ticker

      CDHATRID
    • Index Rebalancing

      Monthly
  •  
    as of 06/26/17

    • 30-Day SEC Yield1

      3.33%
    • Total Net Assets

      $4.5M
    • Number of Holdings

      18
    • Options

      Expected
    • Gross Expense Ratio2

      1.12%
    • Net Expense Ratio/TER2

      0.50%
    • Distribution Frequency

      Monthly
    • Next Distribution Date

      06/30/2017
  • Key Points

    • Access to China's Onshore Bonds
      Largest emerging markets bond market, once closed to U.S. investors

    • Attractive Yields, Low Correlation
      Onshore bond market with historical yield premium to developed bond markets, low correlation to core asset classes

    • Sub-Advised by ChinaAMC (H.K.)
      One of the largest asset managers in China*
    * By mutual fund and ETF assets under management as of December 31, 2016.
    • Yields
      as of 06/26/17

      • 30-Day SEC Yield1

        3.33%
      • Distribution Yield1

        5.27%
      • 12-Month Yield1

        3.29%
       1 See Important Disclosure for definitions.
    • Fees & Expenses2

      • Management Fee

        0.40%
      • Other Expenses

        0.72%
      • Acquired Fund Fees and Expenses

        --
      • Gross Expense Ratio

        1.12%
      • Fee Waivers and
        Expense Reimbursement

        -0.62%
      • Net Expense Ratio/TER2

        0.50%
      2Expenses for CBON are capped contractually at 0.50% until 09/01/17. Cap excludes certain expenses, such as interest.
    • Trading Information

      • Fund Ticker

        CBON
      • Index Total Return Ticker

        CDHATRID
      • NAV

        CBONNV
      • Intraday NAV (IIV)5

        CBONIV
      • Shares Outstanding

        200,000
      • Estimated Cash

        CBONEU
      • Total Cash

        CBONTC
      • CUSIP

        92189F379
      • ISIN

        US92189F3799
      5See IIV Details. Source: Bloomberg
    • Fundamentals4
      as of 06/26/17

      • Yield to Maturity

        4.23%
      • Coupon

        4.37%
      • Modified Duration (yrs)

        4.17
      • Years to Maturity

        4.76
       4 See Important Disclosure for definitions.
    • Prices as of 06/26/17

      NAV/
      Last Price
      Volume
      30-Day Avg./
      Last Trading Day
      Daily Change
      NAV/
      Last Price
      YTD Change
      NAV/
      Last Price
      Premium/
      Discount
      Prem/Discount
      Distribution Charts
      NAV &
      Prem/Discount
      History
      NAV
      Chart
      CBON $22.34
      $22.23
      816
      16
      -$0.01 / -0.06%
      $0.00 / +0.00%
      +2.3%
      +3.0%
      $-0.10
      -0.47%
    • View All IndicesView All ETFsPerformance History: Average Annual Total Returns* (%)

      1 MO3 MOYTD1 YR3 YR5 YR10 YRLIFE
      11/10/14
      CBON (NAV)1.981.362.76-3.08-------1.29
      CBON (Share Price)2.381.062.60-3.54-------1.78
      CDHATRID (Index)0.65-0.280.48-4.13-------0.93
      Performance Differential (NAV - Index)1.331.642.281.05-------0.36
      After Tax Held1.871.022.29-3.52-------1.83
      After Tax Sold1.120.771.55-1.75-------1.22
      Quarter End as of 03/31/17
      1 MO3 MOYTD1 YR3 YR5 YR10 YRLIFE
      11/10/14
      CBON (NAV)-0.470.900.90-7.00-------2.13
      CBON (Share Price)-0.431.091.09-7.02-------2.52
      CDHATRID (Index)-0.160.600.60-6.28-------0.95
      Performance Differential (NAV - Index)-0.310.300.30-0.72-------1.18
      After Tax Held-0.580.670.67-7.20-------2.61
      After Tax Sold-0.270.510.51-3.96-------1.82
    • Daily HoldingsTop 10 Holdings (%) as of 05/31/17

      Total Holdings: 16
      Holding Name
      Coupon
      Maturity
      Country
      Currency
      % of Net
      Assets
      China Development Bank Corp
      5.840
      01/03/2019
      China
      CNY
      19.04
      China Government Bond
      3.400
      04/17/2023
      China
      CNY
      17.31
      Offshore Oil Engineering Co Ltd
      5.770
      11/09/2017
      China
      CNY
      7.03
      Power Construction Corp Of China
      5.700
      04/23/2019
      China
      CNY
      6.71
      China Petroleum & Chemical Corp
      4.900
      06/01/2022
      China
      CNY
      5.82
      Tianjin Infrastructure Construction & I
      5.700
      02/26/2023
      China
      CNY
      5.44
      China Government Bond
      4.260
      07/31/2021
      China
      CNY
      5.25
      Shanghai Urban Construction Group Corp
      3.500
      01/06/2023
      China
      CNY
      5.05
      Guangzhou Yuexiu Holding Ltd
      5.200
      02/28/2020
      China
      CNY
      5.02
      Jiangxi Ganyue Expressway Co Ltd
      5.150
      04/19/2023
      China
      CNY
      3.74
      Top 10 Total (%)80.39

      These are not recommendations to buy or to sell any security. Securities and holdings may vary.

      †See Country of Risk disclosure. These are not recommendations to buy or to sell any security. Securities and holdings may vary. Composite Rating: An evenly weighted blend of a security's Moody's, S&P, Fitch and DBRS ratings. Not Rated indicates that a security is rated by fewer than two of the four rating agencies. This composite is not intended to be a credit opinion. These are not recommendations to buy or to sell any security. Securities and holdings may vary.

    • Country Weightings (%) as of 05/31/17

      • Country

        % of Net Assets
      • CHINA

        91.22
      • Other/Cash

        8.78
    • Currency Exposure (%)
      as of 05/31/17

      • China Renminbi

        91.22
      • Other/Cash

        8.78
    • Sector Weightings (%) as of 05/31/17

      • Sector

        % of Net Assets
      • Financial

        27.7
      • Industrial

        24.4
      • Government

        22.6
      • Energy

        12.8
      • Consumer, Non-cyclical

        3.7
      • Other/Cash

        8.8
    • Maturity (%) as of 05/31/17

      Average Portfolio Maturity: 4.81 Years

    • Important Disclosure

      VanEck only serves professional clients in countries where the funds are registered or where funds can be sold in accordance with local private placement rules.

      130-Day SEC Yield is a standard yield calculation developed by the Securities and Exchange Commission that allows for fairer comparisons primarily among bond funds. It is based on the most recent 30-day period. This yield figure reflects the interest earned during the period after deducting the Fund's expenses for the period. It does not reflect the yield an investor would have received if they had held the Fund over the last twelve months assuming the most recent NAV. Distributions may vary from time to time. In the absence of temporary expense waivers or reimbursements, the 30-Day SEC Yield for VanEck Vectors ChinaAMC China Bond ETF would have been 0.84% on 06/26/2017. TheDistribution Yield is the annual yield an investor would receive if the most recent Fund distribution stayed the same going forward. The yield represents a single distribution from the Fund and does not represent the total return of the Fund.  The yield is calculated by annualizing the most recent distribution and dividing by the Fund NAV from the as-of date. The 12-Month Yield is the yield an investor would have received if they had held the fund over the last 12 months assuming the most recent NAV. The 12-month yield is calculated by summing any income distributions over the past 12 months and dividing by the sum of the most recent NAV and any capital gain distributions made over the past 12 months. Yield information reflects temporary waivers of expenses and/or fees. Yields would have been reduced had these fees/expenses been included.

      2CBON Fees & Expenses: 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, offering costs, trading expenses, taxes and extraordinary expenses) from exceeding 0.50% of the Fund's average daily net assets per year until at least September 1, 2017. During such time, the expense limitation is expected to continue until the Fund's Board of Trustees acts to discontinue all or a portion of such expense limitation. TER, or Total Expense Ratio, is also referred to as "Net Expense Ratio".

      3Morningstar Ratings : If applicable, when the ETF is rated three stars or more for any given period. ©Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.

      4These figures represent averages. Yield to Worst measures the lowest of either yield-to-maturity or yield-to-call date on every possible call date. Yield to Maturity is the annualized return on a bond held to maturity. Effective Duration measures a bond's sensitivity to interest rate changes that reflects the change in a bond's price given a change in yield. This duration measure is appropriate for bonds with embedded options.Modified Duration measures a bond's sensitivity to interest rate changes that reflects the change in a bond's price given a change in yield.Duration to Worst measures the duration of a bond computed using the bond's nearest call date or maturity, whichever comes first. This measure ignores future cash flow fluctuations due to embedded optionality. Spread Duration measures a bond's price sensitivity to a 100 basis point change to its option-adjusted spread. As the rate of the Treasury security in the option-adjusted spread increases, the rate of the option-adjusted spread also increases. Years to Maturity is the period of time for which a financial instrument remains outstanding. Maturity refers to a finite time period at the end of which the financial instrument will cease to exist and the principal is repaid. Coupon is measured by weighting the coupon of each bond by its relative size in the portfolio. Coupons are fixed percentages paid on a fixed-income security on an annual basis. Averages are market weighted. The Coupon and Yield to Worst do not represent the performance of the Fund. These statistics do not take into account fees and expenses associated with investments of the Fund.

      5IIV is an abbreviation for the intraday indicative value of an ETF's Shares (and is also known as the Indicative Optimized Portfolio Value or IOPV), and is disseminated every 15 seconds during regular trading hours. The IIV is based on the current market value of the securities and/or cash required to be deposited in exchange for a Creation Unit. The IIV does not necessarily reflect the precise composition of the current portfolio of securities held by the Fund at a particular point in time or the best possible valuation of the current portfolio. Therefore, the IIV should not be viewed as a "real-time" update of the Fund's NAV, which is computed only once a day. The Fund is not involved in, or responsible for, the calculation or dissemination of the IIV and makes no warranty as to its accuracy.

      6The S&P 500® Index consists of 500 widely held common stocks covering industrial, utility, financial and transportation sector; as an Index, it is unmanaged and is not a security in which investments can be made.

      An investment in the Fund may be subject to risk which include, among others, credit risk, interest rate risk, sovereign and quasi-sovereign defaults, adviser and sub-adviser risk, and risk of the RQFII regime, all of which may adversely affect the Fund. Investments in mainland China may be subject to local customs, duties and rights of ownership, which might change at any time should policy makers deem them in China's best interest. As the Fund invests in securities denominated in Chinese Renminbi, changes in currency exchange rates may negatively impact the Fund's return. Foreign and emerging markets investments are subject to risks, which include changes in economic and political conditions, foreign currency fluctuations, changes in foreign regulations, changes in currency exchange rates, unstable governments, and limited trading capacity which may make these investments volatile in price or difficult to trade. The Fund's assets may be concentrated in a particular sector and may be subject to more risk than investments in a diverse group of sectors.

      Through the Renminbi Qualified Foreign Institutional Investor (RQFII) program or Qualified Foreign Institutional Investor (QFII) licenses, RMB Bonds are made available to certain foreign investors. The RQFII approves a specific aggregate dollar amount in which the RQFII or QFII can invest in RMB Bonds. The size of the Fund's direct investment in RMB Bonds will be limited by the size of the RQFII quota, and should this quota be depleted, there is no guarantee more will be granted.

      China Bond China High Quality Bond Index is compiled and calculated by China Central Depository & Clearing Co., Ltd. All copyright in the China Bond China High Quality Bond Index values and constituent list vests in China Central Depository & Clearing Co., Ltd.

      After-tax returns are calculated using the historical highest individual federal marginal income tax rates and do not reflect the impact of state and local taxes. Actual after tax returns depend on the investor's tax situation and may differ from those shown. The after-tax returns shown are not relevant to investors who hold their fund shares through tax-deferred arrangements such as 401(k) plans or individual retirement.

      Index returns are not Fund returns and do not reflect any management fees or brokerage expenses. Investors cannot 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.

      Country of Risk: Country of risk is defined using the International Organization for Standardization’s (ISO) country codes which take four factors into account (listed in order of importance): management location, country of primary listing, country of revenue and reporting currency of the issuer. Management location is defined by country of domicile unless location of such key players as the CEO, CFO, COO or General Counsel is otherwise. For sovereign bonds, the country of domicile is used.

      The "Net Asset Value" (NAV) of a VanEck 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. VanEck 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. 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.

      The performance data quoted represents past performance. Past performance is not a guarantee of future results. Performance information for the Fund reflects temporary waivers of expenses and/or fees. Had the Fund incurred all expenses, investment returns would have been reduced. Investment return and value of the shares of the Fund will fluctuate so that an investor's shares, when sold, may be worth more or less than their original cost. Performance may be lower or higher than performance data quoted. Fund returns reflect dividends and capital gains distributions. Performance current to the most recent month end is available by calling 800.826.2333 or on this web page.

      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 consider the investment objective, risks, charges and expenses of the Fund carefully before investing. To obtain a prospectus and summary prospectus , which contains this and other information, call 800.826.2333 or visit vaneck.com/etfs . Please read the prospectus and summary prospectus carefully before investing.

      This content is published in the United States for residents of specified countries. Investors are subject to securities and tax regulations within their applicable jurisdictions that are not addressed on this content. Nothing in this content should be considered a solicitation to buy or an offer to sell shares of any investment in any jurisdiction where the offer or solicitation would be unlawful under the securities laws of such jurisdiction, nor is it intended as investment, tax, financial, or legal advice. Investors should seek such professional advice for their particular situation and jurisdiction.