|Bid||42.82 x 800|
|Ask||45.00 x 900|
|Day's Range||42.65 - 42.93|
|52 Week Range||41.66 - 46.80|
|PE Ratio (TTM)||N/A|
|Expense Ratio (net)||0.47%|
The actively managed VanEck Vectors® Real Asset Allocation ETF (RAAX) offers investors the ability to access the potential benefits of real assets. By offering potential exposure across commodities, natural resource equities, REITs, MLPs, and infrastructure, with the ability to allocate up to 100% to cash and cash equivalents during market stress, RAAX helps address the impact of volatility long associated with real asset investing through a process that responds to changing market environments. ...
As the headwinds are likely to continue to dissipate, the potential benefits of real asset investing are coming into clearer focus. Notably, an allocation to real assets can be used to help investors enhance portfolio diversification, gain exposure to global growth, and hedge against the impact of inflation. As the current environment progresses, it is a good time to consider the impact of inflation and an allocation to real assets.
Inflation is something that has not been seen in well over a decade, but the ingredients are there: a strong U.S. economy, unemployment at historic lows, and the recent stimuli of tax reform, deregulation, and government spending, which may not even have fully taken hold yet. Plus, recent indications from the Fed continue to indicate a potentially more aggressive approach to tightening. In developed countries, inflation had languished below the central bank’s target level for many years.
To many market observers, the first quarter of 2016 marked the low point for sectors commonly associated with real assets. Stagnant global growth, oversupplied commodities markets, a strong U.S. dollar, and natural resource companies with bloated balance sheets overridden by enormous debt all combined to create tremendous headwinds that obscured the potential benefits of adding real assets to an investment portfolio. The recent environment, characterized by economic growth and heightened inflation expectations, provides an ideal backdrop for investors to consider real assets and their potential benefits.
The VanEck Vectors Real Asset Allocation ETF (RAAX) uses a data-driven, rules-based process that leverages over 50 indicators (technical, macroeconomic and fundamental, commodity price, and sentiment) to allocate across 12 individual real asset segments in five broad real asset sectors. These objective indicators identify the segments with positive expected returns. Then, using correlation and volatility, an optimization process determines the weight to these segments with the goal of creating a portfolio with maximum diversification while reducing risk. ...
KEMMERER: Now that we understand why the macro environment is supportive, why don’t you tell us a little bit about the investment process? What we’re doing is looking at what drives these individual real asset equities.
GILLIAN KEMMERER: Welcome, I’m Gillian Kemmerer. Building on a legacy in the real asset space, VanEck is soon to debut a new fund, ticker RAAX. It is a real assets ETF that can invest in commodities, natural resource equities, REITs, MLPs, and infrastructure. It uses ETFs to gain exposure and can also be 100% in cash. Here to tell us more about the launch, VanEck’s own David Schassler and Roland Morris. Thanks for joining us. So, Dave, why don’t we start with an elevator pitch for the fund?
The first market sell-off in two years has directed attention to inverse equities ETFs, which took first place in the list. Infrastructure ETFs are again in vogue after U.S. President Trump said he will focus his efforts on devising a spending package to fix the country’s crumbling bridges and airports. Amid an unassertive flight to safety, gold ETFs took third place in the list, while volatility was last. Aerospace & defense ETFs also trended, taking fourth position. Check out our previous trends edition at Trending: Netflix Hits $100 Billion Mark After Record-High New Subscribers.
Among the key macroeconomic indicators published by the Federal Reserve, US industries’ capacity utilization is particularly important for understanding the health of each industry. Changes to this indicator can help forecast any changes to the business cycle, product demand, and workforce demand. Increasing levels of capacity utilization could translate to a higher number of jobs and a possible increase in capacity through capital spending.
Wall Street is off to a roaring start so far in 2018, but investors still have a long way to go. The S&P 500 gained 20 percent in 2017, but some stocks did much better than others in 2017. Here’s Benzinga’s ...
The iShares Global Infrastructure ETF (NYSEArca: IGF) slumped more than 2% last week, sending the popular infrastructure exchange traded fund to critical technical support. IGF is still up 15.3% year-to-date, ...