There is no doubt that gold and precious metals receive most of the attention when it comes to metals. This is true for the average person walking down the street, and it is also true for the average investor. Investors turn to gold exchange-traded funds (ETFs) and precious metals funds as relatively safe investments when market volatility rises. However, this does not mean that investors should forget about “other” metal ETFs.
Analysis of Industrial Metal Funds
There are many different metal ETFs to consider for your portfolio. These funds can vary by region, the investment strategies employed, or specialize in a particular type of metal.
Like any type of ETF, these products allow investors to gain exposure to specific sectors or invest in certain markets without owning the stocks or facing the prices of a basket index. Instead, you can get instant exposure to the desired market with one easy transaction.
Some metal funds target metals as commodities, using futures contracts to track the underlying target assets – while other ETF funds target stocks of companies involved in mining, exploring, or distributing metals. There are also inverse and leveraged ETFs that use advanced strategies to short or outperform the underlying index in the short term.
List of Base and Industrial Metal Funds
As with any investment – whether it is a stock in a company, an investment fund, an ETF, or otherwise – please ensure you thoroughly research these products before making any trades (whether long or short). Conduct the necessary research and monitor how these funds react to different market conditions. Additionally, look at the holdings of these funds and what they contain.
Furthermore, ETFs and ETNs are constantly changing. Their names, symbols, investment objectives, or holdings in these products may vary.
While ETFs offer many advantages, they also have disadvantages (as is the case with any investment). It is important to understand the vehicle of investment before trading it. If you have any questions or concerns, be sure to consult a stockbroker, financial advisor, or another professional in the financial services industry.
After these notes, here is a list of industrial metal funds and ETNs to start your research:
- CPER: United States Copper Index Fund
- DBB: Invesco DB Base Metals Fund
- JJMTF: iPath Bloomberg Industrial Metals Subindex Total Return ETN
- JJCTF: iPath Bloomberg Copper Subindex Total Return ETN
- PICK: iShares MSCI Global Metals & Mining Producers ETF
- REMX: VanEck Vectors Rare Earth/Strategic Metals ETF
- RJZ: ELEMENTS Rogers International Commodity Index Metals Total Return ETN
- SLX: VanEck Vectors Steel ETF
- UCIB: ETRACS CMCI Total Return ETN Series B
- XME: SPDR S&P Metals & Mining ETF
Frequently Asked Questions (FAQs)
Does Vanguard have a gold ETF?
Vanguard does not have a gold or precious metals ETF, but the Vanguard Materials ETF (VAW) includes a wide range of company stocks in the materials sector.
Is there a precious metals ETF?
There are several precious metals ETFs you can choose from, such as SPDR Gold Shares. iShares and Aberdeen also have ETFs for metals.
What metals are in the PICK ETF?
The iShares MSCI Global Metals & Mining Producers ETF (PICK) does not contain actual metals; rather, it contains shares of companies listed in the MSCI ACWI Select Metals & Mining Producers Ex Gold & Silver Investable Market Index. PICK tracks 217 companies involved in the extraction and production of metals and precious metals, excluding gold and silver.
Does
Was this page helpful?
Thank you for your feedback! Please let us know why.
Sources:
Direxion. “Direxion Launches New Daily 2X Leveraged Metals and Mining ETF (MNM).” Vanguard. “Vanguard Materials ETF (VAW).” iShares. “iShares Gold Trust.” Aberdeen. “ABDRN Physical Precious Metals Basket Shares ETF.” Cboe. “iShares MSCI Global Metals & Mining Producers ETF Fact Sheet,” Page 1. Cboe. “iShares MSCI Global Metals & Mining Producers ETF.”
Source: https://www.thebalancemoney.com/metals-etfs-investing-in-base-and-industrial-metals-1214761
.lwrp .lwrp-list-item .lwrp-list-no-posts-message{
}@media screen and (max-width: 480px) {
.lwrp.link-whisper-related-posts{
}
.lwrp .lwrp-title{
}.lwrp .lwrp-description{
}
.lwrp .lwrp-list-multi-container{
flex-direction: column;
}
.lwrp .lwrp-list-multi-container ul.lwrp-list{
margin-top: 0px;
margin-bottom: 0px;
padding-top: 0px;
padding-bottom: 0px;
}
.lwrp .lwrp-list-double,
.lwrp .lwrp-list-triple{
width: 100%;
}
.lwrp .lwrp-list-row-container{
justify-content: initial;
flex-direction: column;
}
.lwrp .lwrp-list-row-container .lwrp-list-item{
width: 100%;
}
.lwrp .lwrp-list-item:not(.lwrp-no-posts-message-item){
}
.lwrp .lwrp-list-item .lwrp-list-link .lwrp-list-link-title-text,
.lwrp .lwrp-list-item .lwrp-list-no-posts-message{
};
}
Leave a Reply