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 KIIDs before making any final investment decisions.
IMPORTANT INFORMATION
This is a marketing communication targeted to FCA regulated financial intermediaries. Retail investors should seek assistance from a financial intermediary for all investment guidance and advice.
This material is only intended as general and preliminary information and shall not be construed as investment, legal or tax advice. Please refer to the UCITS prospectus and to the Key Investor Information Document (KIID) before making any final investment decisions. These documents are available in English and the 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.
This information is distributed in the UK by VanEck Securities UK Limited (FRN: 1002854), an Appointed Representative of Sturgeon Ventures LLP (FRN: 452811), which is authorised and regulated by the Financial Conduct Authority in the UK.
VanEck Securities UK Limited 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 IndexSM and Morningstar® US Small- Mid Cap Moat Focus IndexSM are 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.
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.
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