Inflation Expectations Impact Thematic and Growth Equities
April 16, 2021
Read Time 7 MIN
Global equity markets rallied sharply, following the March BUZZ NextGen AI US Sentiment Leaders Index (the “BUZZ Index” or “Sentiment Leaders Index”) rebalance. Improved economic conditions compiled with accelerated vaccine rollouts, provided tailwinds to U.S. equities. Inflation expectations remained elevated as investors debated the economic implications of President Biden’s $1.9 trillion dollar coronavirus relief package. Thematic and growth-oriented equities continued to lag as the general market rotation toward mega-cap and value oriented cyclical stocks endured.
Mega-cap Technology Stocks Drive Returns
Despite falling more than 15% from mid-February to early March, the NYSE FANG+ Index, a broad measure of a segment of the technology and consumer discretionary sectors, rebounded sharply through mid-April. The higher move provided proof of positive investor sentiment, which broadly remained elevated throughout the drawdown. The top five contributors to performance featured some familiar “FAANG” stocks. AMAZON.COM (NASD: AMZN), Apple (NASD: AAPL) and Facebook (NYSE: FB) all featured in the index’s top contributors to the positive performance of the BUZZ Index following the March 2021 rebalance.
| Top Contributors: March 18, 2021 – April 9, 2021 | |||
| Company | Ticker | Average Weight (%) | Return Contribution (%) |
| Square Inc | SQ | 2.09 | 0.48 |
| NVIDIA Corp | NVDA | 2.77 | 0.35 |
| Amazon.com Inc | AMZN | 3.13 | 0.34 |
| Apple Inc | AAPL | 3.14 | 0.32 |
| Facebook Inc | FB | 2.56 | 0.30 |
Source: BUZZ Holdings ULC, Bloomberg. Past performance is no guarantee of future results. Index performance is not illustrative of fund performance. For a complete list of holdings in the ETF, please visit www.vaneck.com.
Conversely, the biotech sector, combined with the segment of the market representing innovation and future growth themes, continued to underperform mega-cap technology and value oriented cyclical stocks. Innovation and future growth are both, shared characteristics of Plug Power (NASD: PLUG), Virgin Galactic (NYSE: SPCE) and Nikola Corp (NASD: NKLA) which all featured within the bottom five contributors to performance within the BUZZ Index in the period following the March 2021 Index rebalance.
| Bottom Contributors: March 18, 2021 – April 9, 2021 | |||
| Company | Ticker | Average Weight (%) | Return Contribution (%) |
| Novavax Inc | NVAX | 2.84 | -0.58 |
| Plug Power Inc | PLUG | 2.24 | -0.26 |
| Virgin Galactic Holdings Inc | SPCE | 2.82 | -0.25 |
| DraftKings Inc | DKNG | 2.81 | -0.24 |
| Nikola Corp | NKLA | 0.90 | -0.13 |
Source: BUZZ Holdings ULC, Bloomberg. Past performance is no guarantee of future results. Index performance is not illustrative of fund performance. For a complete list of holdings in the ETF, please visit www.vaneck.com.
Online Message Volume Growth
The volume of stock specific messages online experienced steady and organic growth since the BUZZ Index first launched in December 2015. Conversation volume has continued to increase particularly, over the course of the past year, as a result of the COVID-19 pandemic and publicity regarding of a group of individuals who targeted several out of favor stocks, orchestrating several of the biggest short squeezes in recent memory. Of note is that online stock-specific message volume remains elevated at its recent highs, despite economic restrictions easing as the nation reopens and the effects of the ‘Reddit Revolution’ wane.
BUZZ Index Monthly Stock-Specific Online Mention Volume: December 2015 - March 2021
Source: BUZZ Holdings ULC.
Sentiment Stock Highlight: U.S. Steel
United States Steel Corp. (U.S. Steel) (NYSE: X) has been featured seven times within the BUZZ Index. It was last featured in the August 2018 Index rebalance. U.S. Steel exited the BUZZ Index just one month later and subsequently saw its share price fall by 80% over the following eighteen months. Recently, shares of U.S. Steel have been rising, bolstered by a renewed commitment to infrastructure spending as outlined by the new administration. President Biden is proposing massive infrastructure legislation via his roughly $2.3 trillion American Jobs Plan, and the stock has enjoyed gains as investors look to the company to benefit from increased infrastructure sentiment. As U.S. Steel’s market capitalization has risen back above the USD $5B eligibility threshold, positive investor sentiment has likewise risen, with the stock being added back into the BUZZ Index for the first time in over two and a half years, with a target weight of 1.13%.
United States Steel Corp. Stock Price: August 18, 2016 - March 31, 2021
Source: BUZZ Holdings ULC, Bloomberg. Past performance is no guarantee of future results. Index performance is not illustrative of fund performance. For a complete list of holdings in the ETF, please visit www.vaneck.com.
BUZZ Index April 2021 Rebalance Highlights
GameStop
The GameStop (NYSE: GME) saga captured the financial headlines during January 2021. The fundamental merits of GME stock took a back seat to wild trading activity which ultimately resulted in one of the most successful short squeezes in history. The events brought enormous attention to the individual investor community and specifically to those that supercharged the discussion on the Reddit message board Wallstreetbets. One of the members on the forum, Keith Gill, an early proponent of GME as a ‘value’ trade, achieved notoriety and was credited as one of the major forces behind the epic short squeeze.
In the fall of 2020, Ryan Cohen, the renowned founder of Chewy (NYSE: CHWY), disclosed a 10% stake in the company, making him the single largest GME individual shareholder. Cohen was vocal about transforming GME’s business model from a brick-and-mortar approach to a digital one. As short interest accumulated to ever higher levels, at one point reaching more than 100% of the public float, the tinderbox was in place with Cohen and the “Reddit Army” collectively providing the fuse. After soaring near twenty-fold and then crashing back to pre-squeeze levels, the shorts in GME have been washed away and the focus of discussion has returned to that of fundamentals and value.
As an activist investor, Cohen has been successful in seizing operating control of GME. By June 2021, Cohen and his colleagues will control the majority of the company’s board, right-sizing it to just five members from thirteen. Cohen is personally leading the "Strategic Planning and Capital Allocation Committee" which, according to the company is tasked with "identifying actions that can transform GameStop into a technology business and help create enduring value for stockholders." Amidst a broad management shakeup, Cohen pushed out the company’s Chief Financial Officer and Chief Customer Officer. Furthermore, GME recently announced that a search is underway to replace the company’s current Chief Executive Officer, targeting an individual whose experience is better aligned with the new digital transformation vision of the company. Cohen has already successfully introduced two former Amazon executives to the roles of Chief Operating Officer and Chief Technology Officer while adding former Chewy executives in the roles of vice president of brand development, senior vice president of e-commerce, and senior vice president of customer care.
In an open letter to the company’s board penned in November 2020, Cohen said that GME "needs to evolve into a technology company that delights gamers and delivers exceptional digital experiences — not remain a video game retailer that over prioritizes its brick-and-mortar footprint and stumbles around the online ecosystem." With its ‘meme stock’ status and epic short squeeze history behind it, online conversation now routinely reviews the fundament prospects and future of the company. GME recently met the USD $5B eligibility threshold for BUZZ Index consideration while the online community’s current sentiments are overwhelming positive for the stock’s prospects. This month, GME enters the BUZZ Index for the first time ever, debuting at the maximum 3% weight at the scheduled April 2021 monthly rebalance.
Archegos Capital
In March, a series of very large block trades were executed on a basket of technology and media stocks, in sizes that shocked the financial markets. Later, it came to light that the blocks were a series of forced liquidation trades of the portfolio holdings of Archegos Capital (“Archegos”), a family office run by Bill Hwang. Hwang founded Archegos in 2013 following a career at Tiger Management where he was a protege and one of the so-called tiger cubs of legendary hedge fund manager Julian Robertson. Archegos had built a massive portfolio of leveraged stock positions worth as much as $100B before a series of negative moves in the portfolio forced it into a margin call position. Hwang had built the positions with the use of swaps and other derivatives contracts spread over numerous banks and dealers, allowing him to avoid filing requirements and keep his positions hidden to the markets.
As word spread of the portfolio liquidation, many of the stocks in Archegos' portfolio fell by more than 50% over a period of a few days. While some market participants feared a broader market fallout, and the contagion from the event briefly spread to other technology stocks, it ultimately proved to be contained as more details regarding Archegos portfolio holdings and their resulting liquidation came to light, reassuring investors that the event remained isolated to Archegos. Two of the US media stocks in Archegos portfolio, ViacomCBS (NASDAQ: VIAC) and Discovery (NASDAQ: DISCA), saw sentiment surge over the past two weeks as investors collectively viewed the crashes in the stocks as buying opportunities now that the liquidations were complete. This month, VIAC enters the Index with a maximum weight of 3%, while DISCA joins with a 0.8% weight.
For more on the BUZZ Index rebalance results, view the BUZZ Index reconstitution report.
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Important Disclosures
Please note that VanEck may offer investments products that invest in the asset class(es) or industries included herein.
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.
NYSE FANG+ index provides exposure to a select group of highly-traded growth stocks of next generation technology and tech-enabled companies. This includes the five core “FANG” stocks—Facebook, Apple, Amazon, Netflix and Alphabet’s Google—plus another five actively-traded technology growth stocks—Alibaba, Baidu, NVIDIA, Tesla and Twitter.
An investor cannot invest directly in an index. Returns reflect past performance and do not guarantee future results. Results reflect the reinvestment of dividends and capital gains, if any. Certain indices may take into account withholding taxes. Index returns do not represent Fund returns. The Index does not charge management fees or brokerage expenses, nor does the Index lend securities, and no revenues from securities lending were added to the performance shown.
BUZZ NextGen AI US Sentiment Leaders Index (the “BUZZ Index”) is a product of BUZZ Holdings ULC (“BUZZ Holdings”), and has been licensed to Van Eck Associates Corporation for use in connection with the VanEck Vectors Social Sentiment ETF.
“BUZZ” is a trademark of BUZZ Holdings, which has been licensed by Van Eck Associates Corporation for use in connection with the BUZZ Index.
VanEck Vectors Social Sentiment ETF is not sponsored, endorsed, sold or promoted by BUZZ Holdings, or its shareholders, or the licensor of the BUZZ Index and/or its affiliates and third party licensors. BUZZ Holdings makes no representation or warranty, express or implied, to the owners of the VanEck Vectors Social Sentiment ETF or any member of the public regarding the advisability of investing in securities generally or in VanEck Vectors Social Sentiment ETF, particularly or the ability of the BUZZ Index to track general market performance.
BUZZ Holdings’ only relationship to Van Eck Associates Corporation with respect to the BUZZ Index is the licensing of the BUZZ Index and certain trademarks of BUZZ Holdings. The BUZZ Holdings are determined and composed by BUZZ Holdings without regard to Van Eck Associates Corporation or the VanEck Vectors Social Sentiment ETF. BUZZ Holdings has no obligation to take the needs of Van Eck Associates Corporation or the owners of VanEck Vectors Social Sentiment ETF into consideration in determining and composing the BUZZ Index.
BUZZ Holdings are not responsible for and have not participated in the determination of the prices of VanEck Vectors Social Sentiment ETF or the timing of the issuance or sale of securities of VanEck Vectors Social Sentiment ETF or in the determination or calculation of the equation by which VanEck Vectors Social Sentiment ETF securities may be converted into cash, surrendered, or redeemed, as the case may be. BUZZ Holdings have no obligation or liability in connection with the administration, marketing or trading of VanEck Vectors Social Sentiment ETF. There is no assurance that investment products based on the BUZZ Index will accurately track index performance or provide positive investment returns.
BUZZ Holdings is not an investment advisor and the inclusion of a security in the BUZZ Index is not a recommendation by BUZZ Holdings to buy, sell, or hold such security, nor should it be considered investment advice.
BUZZ HOLDINGS DOES NOT GUARANTEE THE ADEQUACY, ACCURACY, TIMELINESS AND/OR THE COMPLETENESS OF THE BUZZ INDEX OR ANY DATA RELATED THERETO OR ANY COMMUNICATION WITH RESPECT THERETO, INCLUDING BUT NOT LIMITED TO, ORAL OR WRITTEN COMMUNICATION (INCLUDING ELECTRONIC COMMUNICATIONS). BUZZ HOLDINGS SHALL NOT BE SUBJECT TO ANY DAMAGES OR LIABILITY FOR ANY ERRORS, OMISSIONS, OR DELAYS THEREIN. BUZZ HOLDINGS MAKES NO EXPRESS OR IMPLIED WARRANTIES, AND EXPRESSLY DISCLAIMS ALL WARRANTIES, OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE OR AS TO RESULTS TO BE OBTAINED BY Van Eck Associates Corporation, OWNERS OF THE VanEck Vectors Social Sentiment ETF, OR ANY OTHER PERSON OR ENTITY FROM THE USE OF THE BUZZ INDEX OR WITH RESPECT TO ANY DATA RELATED THERETO. WITHOUT LIMITING ANY OF THE FOREGOING, IN NO EVENT WHATSOEVER SHALL BUZZ HOLDINGS BE LIABLE FOR ANY INDIRECT, SPECIAL, INCIDENTAL, PUNITIVE, OR CONSEQUENTIAL DAMAGES INCLUDING BUT NOT LIMITED TO, LOSS OF PROFITS, TRADING LOSSES, LOST TIME OR GOODWILL, EVEN IF THEY HAVE BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES, WHETHER IN CONTRACT, TORT, STRICT LIABILITY, OR OTHERWISE. THERE ARE NO THIRD PARTY BENEFICIARIES OF ANY AGREEMENTS OR ARRANGEMENTS BETWEEN BUZZ HOLDINGS AND Van Eck Associates Corporation, OTHER THAN THE LICENSORS OF BUZZ HOLDINGS.
Effective August 18, 2016, BUZZ Indexes Inc. implemented changes to the BUZZ NextGen AI US Sentiment Leaders Index construction rules. The index constituent count was increased from 25 to 75 stocks and the maximum constituent weight was reduce from 15% to 3%. These change may result in more a diversified exposure to index constituents than under the rules in effect prior to this date. Past performance is no guarantee of future results.
The S&P 500® Index is a product of S&P Dow Jones Indices LLC and/or its affiliates and has been licensed for use by Van Eck Associates Corporation. Copyright © 2021 S&P Dow Jones Indices LLC, a division of S&P Global, Inc., and/or its affiliates. All rights reserved. Redistribution or reproduction in whole or in part are prohibited without written permission of S&P Dow Jones Indices LLC. For more information on any of S&P Dow Jones Indices LLC’s indices please visit www.spdji.com. S&P® is a registered trademark of S&P Global and Dow Jones® is a registered trademark of Dow Jones Trademark Holdings LLC. Neither S&P Dow Jones Indices LLC, Dow Jones Trademark Holdings LLC, their affiliates nor their third party licensors make any representation or warranty, express or implied, as to the ability of any index to accurately represent the asset class or market sector that it purports to represent and neither S&P Dow Jones Indices LLC, Dow Jones Trademark Holdings LLC, their affiliates nor their third party licensors shall have any liability for any errors, omissions, or interruptions of any index or the data included therein.
An investment in the Fund may be subject to risks which include, among others, risks related to social media analytics, investing in equity securities, medium-capitalization companies, information technology, communication services, consumer discretionary, health care and industrials sectors, market, operational, high portfolio turnover, index tracking, authorized participant concentration, new fund, absence of prior active market, trading issues, passive management, fund shares trading, premium/discount and liquidity of fund shares, non-diversified and concentration risks which may make these investments volatile in price or difficult to trade. Medium-capitalization companies may be subject to elevated risks.
Investing in companies based on social media analytics involves the potential risk of market manipulation because social media posts may be made with an intent to inflate, or otherwise manipulate, the public perception of a company stock or other investment. Although the Sentiment Leaders Index provider attempts to mitigate the potential risk of such manipulation by employing screens to identify posts which may be computer generated or deceptive and by employing market capitalization and trading volume criteria to remove companies which may be more likely targets for such manipulation, there is no guarantee that the Sentiment Leaders Index's model will successfully reduce such risk. Furthermore, text and sentiment analysis of social media postings may prove inaccurate in predicting a company's stock performance.
Investing involves substantial risk and high volatility, including possible loss of principal. An investor should consider the investment objective, risks, charges and expenses of a Fund carefully before investing. To obtain a prospectus and summary prospectus, which contain this and other information, call 800.826.2333 or visit vaneck.com. Please read the prospectus and summary prospectus carefully before investing.
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Important Disclosures
Please note that VanEck may offer investments products that invest in the asset class(es) or industries included herein.
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.
NYSE FANG+ index provides exposure to a select group of highly-traded growth stocks of next generation technology and tech-enabled companies. This includes the five core “FANG” stocks—Facebook, Apple, Amazon, Netflix and Alphabet’s Google—plus another five actively-traded technology growth stocks—Alibaba, Baidu, NVIDIA, Tesla and Twitter.
An investor cannot invest directly in an index. Returns reflect past performance and do not guarantee future results. Results reflect the reinvestment of dividends and capital gains, if any. Certain indices may take into account withholding taxes. Index returns do not represent Fund returns. The Index does not charge management fees or brokerage expenses, nor does the Index lend securities, and no revenues from securities lending were added to the performance shown.
BUZZ NextGen AI US Sentiment Leaders Index (the “BUZZ Index”) is a product of BUZZ Holdings ULC (“BUZZ Holdings”), and has been licensed to Van Eck Associates Corporation for use in connection with the VanEck Vectors Social Sentiment ETF.
“BUZZ” is a trademark of BUZZ Holdings, which has been licensed by Van Eck Associates Corporation for use in connection with the BUZZ Index.
VanEck Vectors Social Sentiment ETF is not sponsored, endorsed, sold or promoted by BUZZ Holdings, or its shareholders, or the licensor of the BUZZ Index and/or its affiliates and third party licensors. BUZZ Holdings makes no representation or warranty, express or implied, to the owners of the VanEck Vectors Social Sentiment ETF or any member of the public regarding the advisability of investing in securities generally or in VanEck Vectors Social Sentiment ETF, particularly or the ability of the BUZZ Index to track general market performance.
BUZZ Holdings’ only relationship to Van Eck Associates Corporation with respect to the BUZZ Index is the licensing of the BUZZ Index and certain trademarks of BUZZ Holdings. The BUZZ Holdings are determined and composed by BUZZ Holdings without regard to Van Eck Associates Corporation or the VanEck Vectors Social Sentiment ETF. BUZZ Holdings has no obligation to take the needs of Van Eck Associates Corporation or the owners of VanEck Vectors Social Sentiment ETF into consideration in determining and composing the BUZZ Index.
BUZZ Holdings are not responsible for and have not participated in the determination of the prices of VanEck Vectors Social Sentiment ETF or the timing of the issuance or sale of securities of VanEck Vectors Social Sentiment ETF or in the determination or calculation of the equation by which VanEck Vectors Social Sentiment ETF securities may be converted into cash, surrendered, or redeemed, as the case may be. BUZZ Holdings have no obligation or liability in connection with the administration, marketing or trading of VanEck Vectors Social Sentiment ETF. There is no assurance that investment products based on the BUZZ Index will accurately track index performance or provide positive investment returns.
BUZZ Holdings is not an investment advisor and the inclusion of a security in the BUZZ Index is not a recommendation by BUZZ Holdings to buy, sell, or hold such security, nor should it be considered investment advice.
BUZZ HOLDINGS DOES NOT GUARANTEE THE ADEQUACY, ACCURACY, TIMELINESS AND/OR THE COMPLETENESS OF THE BUZZ INDEX OR ANY DATA RELATED THERETO OR ANY COMMUNICATION WITH RESPECT THERETO, INCLUDING BUT NOT LIMITED TO, ORAL OR WRITTEN COMMUNICATION (INCLUDING ELECTRONIC COMMUNICATIONS). BUZZ HOLDINGS SHALL NOT BE SUBJECT TO ANY DAMAGES OR LIABILITY FOR ANY ERRORS, OMISSIONS, OR DELAYS THEREIN. BUZZ HOLDINGS MAKES NO EXPRESS OR IMPLIED WARRANTIES, AND EXPRESSLY DISCLAIMS ALL WARRANTIES, OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE OR AS TO RESULTS TO BE OBTAINED BY Van Eck Associates Corporation, OWNERS OF THE VanEck Vectors Social Sentiment ETF, OR ANY OTHER PERSON OR ENTITY FROM THE USE OF THE BUZZ INDEX OR WITH RESPECT TO ANY DATA RELATED THERETO. WITHOUT LIMITING ANY OF THE FOREGOING, IN NO EVENT WHATSOEVER SHALL BUZZ HOLDINGS BE LIABLE FOR ANY INDIRECT, SPECIAL, INCIDENTAL, PUNITIVE, OR CONSEQUENTIAL DAMAGES INCLUDING BUT NOT LIMITED TO, LOSS OF PROFITS, TRADING LOSSES, LOST TIME OR GOODWILL, EVEN IF THEY HAVE BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES, WHETHER IN CONTRACT, TORT, STRICT LIABILITY, OR OTHERWISE. THERE ARE NO THIRD PARTY BENEFICIARIES OF ANY AGREEMENTS OR ARRANGEMENTS BETWEEN BUZZ HOLDINGS AND Van Eck Associates Corporation, OTHER THAN THE LICENSORS OF BUZZ HOLDINGS.
Effective August 18, 2016, BUZZ Indexes Inc. implemented changes to the BUZZ NextGen AI US Sentiment Leaders Index construction rules. The index constituent count was increased from 25 to 75 stocks and the maximum constituent weight was reduce from 15% to 3%. These change may result in more a diversified exposure to index constituents than under the rules in effect prior to this date. Past performance is no guarantee of future results.
The S&P 500® Index is a product of S&P Dow Jones Indices LLC and/or its affiliates and has been licensed for use by Van Eck Associates Corporation. Copyright © 2021 S&P Dow Jones Indices LLC, a division of S&P Global, Inc., and/or its affiliates. All rights reserved. Redistribution or reproduction in whole or in part are prohibited without written permission of S&P Dow Jones Indices LLC. For more information on any of S&P Dow Jones Indices LLC’s indices please visit www.spdji.com. S&P® is a registered trademark of S&P Global and Dow Jones® is a registered trademark of Dow Jones Trademark Holdings LLC. Neither S&P Dow Jones Indices LLC, Dow Jones Trademark Holdings LLC, their affiliates nor their third party licensors make any representation or warranty, express or implied, as to the ability of any index to accurately represent the asset class or market sector that it purports to represent and neither S&P Dow Jones Indices LLC, Dow Jones Trademark Holdings LLC, their affiliates nor their third party licensors shall have any liability for any errors, omissions, or interruptions of any index or the data included therein.
An investment in the Fund may be subject to risks which include, among others, risks related to social media analytics, investing in equity securities, medium-capitalization companies, information technology, communication services, consumer discretionary, health care and industrials sectors, market, operational, high portfolio turnover, index tracking, authorized participant concentration, new fund, absence of prior active market, trading issues, passive management, fund shares trading, premium/discount and liquidity of fund shares, non-diversified and concentration risks which may make these investments volatile in price or difficult to trade. Medium-capitalization companies may be subject to elevated risks.
Investing in companies based on social media analytics involves the potential risk of market manipulation because social media posts may be made with an intent to inflate, or otherwise manipulate, the public perception of a company stock or other investment. Although the Sentiment Leaders Index provider attempts to mitigate the potential risk of such manipulation by employing screens to identify posts which may be computer generated or deceptive and by employing market capitalization and trading volume criteria to remove companies which may be more likely targets for such manipulation, there is no guarantee that the Sentiment Leaders Index's model will successfully reduce such risk. Furthermore, text and sentiment analysis of social media postings may prove inaccurate in predicting a company's stock performance.
Investing involves substantial risk and high volatility, including possible loss of principal. An investor should consider the investment objective, risks, charges and expenses of a Fund carefully before investing. To obtain a prospectus and summary prospectus, which contain this and other information, call 800.826.2333 or visit vaneck.com. Please read the prospectus and summary prospectus carefully before investing.