Market Vectors Agribusiness ETF, distributed by Van Eck Global, has reached USD2bn in assets.
It was the first ETF listed in the US which sought to give US investors exposure to a broad spectrum of companies involved in agribusiness.
The ETF seeks to replicate as closely as possible, before fees and expenses, the price and yield performance of the DAXglobal Agribusiness Index, a basket of the securities of 46 companies engaged in agribusiness and listed on global exchanges.
“Agriculture remains a fundamental cornerstone of the world economy with basic demand historically moving in line with growing populations and rising personal incomes,” says Jan van Eck, principal at Van Eck Global. “With a relatively fixed amount of arable land, there is continued interest in increasing productivity through agricultural chemicals and equipment.”