Break Free From Growth Dominance
22 October 2024
Marketing Communication
Mega-cap growth continues to be the predominant market force, making many investors overdependent on ongoing performance directly tied to the current market environment. With uncertain conditions given recent macro events, diversification and stock selection (beyond broad growth and technology exposure) could become even more critical to equity exposure.
With its focus on high quality and attractive valuations independent of style or sector, Morningstar’s wide moat investing philosophy offers investors a proven contrarian approach that, after a recent index rebalance, has increased exposure to core stocks relative to the S&P 500 Index. Hear directly from Morningstar’s equity research team for their perspective on market trends and the companies they cover. In this webinar, we highlight recent portfolio changes, including:
- Current portfolio characteristics, including overweight to core/blend stocks
- New wide moat companies added to the portfolio
- Q&A with Morningstar’s equity research team on select moat-rated companies
Main risk factors
Foreign Currency Risk: Because all or a portion of the Fund are being invested in securities denominated in foreign currencies, the Fund’s exposure to foreign currencies and changes in the value of foreign currencies versus the base currency may result in reduced returns for the Fund, and the value of certain foreign currencies may be subject to a high degree of fluctuation.
Equity Market Risk: The prices of the securities in the Fund are subject to the risks associated with investing in the securities market, including general economic conditions and sudden and unpredictable drops in value. An investment in the Fund may lose money.
Limited Diversification Risk: The Fund may invest a relatively high percentage of its assets in a smaller number of issuers or may invest a larger proportion of its assets in a single issuer. As a result, the gains and losses on a single investment may have a greater impact on the Fund's Net Asset Value and may make the Fund more volatile than more diversified funds.
Risk of investing in smaller companies: The securities of smaller companies may be more volatile and less liquid than the securities of large companies. Smaller companies, when compared with larger companies, may have a shorter history of operations, fewer financial resources, less competitive strength, may have a less diversified product line, may be more susceptible to market pressure and may have a smaller market for their securities.
For more information on risks, please see the “Risk Factors” section of the relevant Fund’s prospectus, available on www.vaneck.com. Always read the KID and the prospectus before investing in a fund.
This is a marketing communication. Please refer to the Prospectus of the funds and to the KIDs before making any final investment decisions.
