In this New York Times article, Portfolio Manager Shawn Reynolds discusses why renewable energy has become one of his biggest bets.
The top three holdings of the VanEck Global Hard Assets Fund (“the Fund”) currently are solar power companies. As of 9/30/20, Sunrun Inc. is 9.5% of net assets, SolarEdge Technologies, Inc. is 7.5% and Hannon Armstrong Sustainable Infrastructure Capital, Inc. is 4.3%. Sunrun’s founders stood out to Reynolds years ago, because of the practicality of their approach: “They talked about how they’d make money, rather than saving the world.” Since then, Sunrun has become “by far the largest” solar system installation company with over 300,000 customers.1 In response to Sunrun’s low costs, Reynolds explains, “What you want out of any company is somebody running it who’s paying attention to every penny.”
The Fund’s holdings also include gold miners. The rise in gold’s price this year has helped boost gold miners, many of which have improved their business models and are now offering solid dividends after restructuring and paying off debt.
Originally published by VanEck, 10/20/20
1 Source: Sunrun: Sunrun Reports Second Quarter 2020 Financial Results, August 10, 2020.
This is not an offer to buy or sell, or a recommendation to buy or sell any of the securities mentioned herein. Fund holdings will vary. For a complete list of holdings in the Fund, please click here.
The information presented does not involve the rendering of personalized investment, financial, legal, or tax advice. Certain statements contained herein may constitute projections, forecasts and other forward looking statements, which do not reflect actual results, are valid as of the date of this communication and subject to change without notice. Information provided by third party sources are believed to be reliable and have not been independently verified for accuracy or completeness and cannot be guaranteed. The information herein represents the opinion of the author(s), but not necessarily those of VanEck.
Past performance is not a guarantee of future results. Performance may be lower or higher than performance data quoted. Please visit vaneck.com for performance current to the most recent month end.
You can lose money by investing in the Fund. Any investment in the Fund should be part of an overall investment program, not a complete program. The Fund is subject to risks associated with concentrating its investments in Canadian issuers, commodities and commodity-linked derivatives, commodities and commodity-linked derivatives tax, derivatives, direct investments, emerging market securities, foreign currency transactions, foreign securities, other investment companies, management, market, operational, small- and medium-capitalization companies and hard assets sectors risks, including, precious metals and natural resources, that can be significantly affected by events relating to these industries, including international political and economic developments, inflation, and other factors. The Fund’s portfolio securities may experience substantial price fluctuations as a result of these factors, and may move independently of the trends of industrialized companies. The Fund’s investments in foreign securities involve risks related to adverse political and economic developments unique to a country or a region, currency fluctuations or controls, and the possibility of arbitrary action by foreign governments, including the takeover of property without adequate compensation or imposition of prohibitive taxation.
Investing involves substantial risk and high volatility, including possible loss of principal. 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. Please read the prospectus and summary prospectus carefully before investing.
Van Eck Securities Corporation, Distributor
666 Third Avenue
New York, NY 10017