On Wednesday, REX Shares expanded its lineup of alternative ETF investment solutions with the release of the REX Drone ETF (DRNZ). REX Shares notes that DRNZ is the first fund to offer pure-play exposure to the global drone and unmanned aerial vehicle (UAV) market.
DRNZ has a net expense ratio of 65 basis points. The fund’s objective is to provide similar results to that of the VettaFi Drone Index.
This VettaFi index focuses on companies with operations exposed to the drone and UAV markets across the globe. This includes manufacturing, as well as the technologies that enable the drones and UAVs themselves.
Primarily, the index allocates assets towards stocks it determines to be “pureplay” companies in the drone and UAV industries. However, a smaller allocation may also be distributed to stocks that offer more diversified takes on drone and UAV exposure.
Flying Outside the Box
This approach goes beyond what many expect when it comes to gaining exposure to drone and UAV companies. Instead of merely investing in the defense sector, this strategy looks at the big picture of the drone economy. This includes agriculture, infrastructure inspection, AI applications, and more.
“Drones are no longer just a defense story—they’re transforming logistics, agriculture, and industry at large,” noted Greg King, Founder and CEO at REX. “This ETF is designed to give investors authentic, targeted exposure to a technology that’s reshaping how we move goods, monitor infrastructure, and think about automation.”
When it comes to tracking the VettaFi index, DRNZ looks to utilize a full replication strategy. As such, one should expect DRNZ to have similar, sector and region concentrations to that of its index of choice. As of October 21, 2025, the fund thus had noticeable exposure to the industrial sector and Asian companies.
DRNZ joins an ever-growing selection of products from REX Shares that offer similarly compelling solutions for navigating today’s market. One of the largest Rex Shares funds, the REX FANG & Innovation Equity Premium Income ETF (FEPI), has over $550 million in assets under management.
“Advisors are increasingly turning to ETFs to benefit from long term thematic trends and diversification,” notes Todd Rosenbluth, head of research at VettaFi. “We have seen adoption expand beyond technology sectors like artificial intelligence.”
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vettafi.com is owned by VettaFi LLC (“VettaFi”). VettaFi is the index provider for DRNZ, for which it receives an index licensing fee. However, DRNZ is not issued, sponsored, endorsed, or sold by VettaFi, and VettaFi has no obligation or liability in connection with the issuance, administration, marketing, or trading of DRNZ.
