Food ETF
ISIN: IE0005B8WVT6
- Become an early investor in food’s multi-decade transformation
- Profit from the coming transformation of food and agriculture
- Food ETF is sustainably designed to focus on pure play companies
- Invest in environmental focused companies
- Diversified across relevant companies in the space
Risk: You may lose money up to the total loss of your investment due to Emerging Markets Risk and Sector Concentration Risk as described in the Main Risk Factors, KID and prospectus.
Invest in the Future of Food with VanEck's Food ETF
The need to nourish a growing population yet reduce the environmental impact of agriculture looks set to transform food production. Scientists are inventing ways to produce more food with less. The Fund sustainably invests in the companies harnessing new technologies to feed the world.
Powerful Forces Driving Transformation
Without far-reaching changes in agriculture and food production, the world will not be able to halt its march towards environmental disaster. Already, the industry is a major greenhouse gas (GHG) emitter and does widespread harm to the environment in other ways besides. As the global population grows, powerful forces are beginning to transform food production.
Investing in Food’s Sustainable Innovators
Through selecting the companies with high focus on the food sector, VanEck's Food ETF aims to generate returns for investors. Such is the nature of food’s transformation that it also brings clear environmental, social and governance (ESG) benefits.
Technology is the key to reducing agriculture’s environmental damage. Plant-based meat cuts emissions by 90%, consumes 46% less energy, as well as using 99% less land and water than cattle.2 The topic of food in the future is thus becoming increasingly relevant in today's world and is at the heart of the Food ETF by VanEck.
Greenhouse Gas Emissions of Select Agricultural Products
2 Source: ourworldindata.org, Poor & Nemecek. Analysis as of 2018, using 2010 data.
Traditional agriculture’s land requirements are too great to be sustainable in future. The solution? Automation, sophisticated data and efficient farming practices.
Infrared Sensors on Drones Can Indicate Problem Areas
Source: Purdue University
Nitrogen fertilizer requires fossil fuels to produce, while other agricultural chemicals may be carcinogenic. The answer? Fertilizers produced using green hydrogen and renewable energy, twinned with biological crop protection.
Nitrogen Fertilizer Consumption
Source: FAO, Ourworldindata.org. Through 2014 based on latest available data.
Food ETF Monitors Environmental Impacts
The strategy has an in-built preference towards companies that measure, monitor and report their environmental impact.
VanEck Sustainable Future of Food UCITS ETF
ISIN: IE0005B8WVT6
- Invest in food’s multi-decade transition
- Capitalize on the forthcoming evolution of food and agriculture via Food ETF
- Sustainably designed to concentrate upon pure-play companies
- Food ETF invests in companies with a focus on environment
- Diversification across relevant companies in the space
- SFDR Article 9
Risk indication: 4 out of 7
Lower risk: Typically lower reward
Higher risk: Typically higher reward
Main Risk Factors of a Food ETF
Because all or a portion of the Fund are being invested in securities denominated in foreign currencies, the Fund’s exposure to foreign currencies and changes in the value of foreign currencies versus the base currency may result in reduced returns for the Fund, and the value of certain foreign currencies may be subject to a high degree of fluctuation. That is a factor to consider when investing in a Food ETF.
The ETF’s assets may be concentrated in one or more particular sectors or industries. A Food ETF may be subject to the risk that economic, political or other conditions that have a negative effect on the relevant sectors or industries will negatively impact the Fund's performance to a greater extent than if the Fund’s assets were invested in a wider variety of sectors or industries.
The securities of smaller companies may be more volatile and less liquid than the securities of large companies. Smaller companies, when compared with larger companies, may have a shorter history of operations, fewer financial resources, less competitive strength, may have a less diversified product line, may be more susceptible to market pressure and may have a smaller market for their securities. This is an additional factor to consider when investing in a Food ETF.
For more information on risks, please see the “Risk Factors” section of the relevant Fund’s prospectus, available on www.vaneck.com.
Why Invest in VanEck ETFs?
- Since we were founded in 1955 we have constantly been at the forefront of innovation, giving you access to new opportunities like gold funds, emerging market funds and ETFs.
- We are privately-held, allowing us to focus on our clients’ long-term interests.
- Our ETFs are transparent: they acquire the underlying securities (no synthetic replication). Securities are not lent out.*
