Bringing you live news and features since 2006 

VanEck Rebrands Energy ETF to reflect underlying low carbon approach


VanEck has rebranded one of its energy ETFs in response to the ways in which investors are driving change in the energy space and seeking out opportunities to invest in stocks of low carbon energy companies.

“As climate change and its potential solutions have become more present in our global discourse, the language used by those within the energy sector, as well as those investing in it, has changed and evolved,” says Ed Lopez, Head of ETF Product at VanEck. “What used to be referred to as ‘alternative energy’ is now more commonly referred to as ‘green,’ ‘clean’ or ‘renewable,’ and numerous large public companies in the energy space have acquiesced to investor demands to set more stringent, low carbon, emission standards.”

To that end, as of 9 July, 2019, the Fund GEX has become the VanEck Vectors Low Carbon Energy ETF and will have a new ticker: SMOG.

“As this Fund was already investing at least 80 per cent of its total assets in stocks of low carbon energy companies, we wanted to make this change to better align the fund’s branding with its mission and the exposure it provides,” adds Lopez.

The Fund’s index, the Ardour Global Index Extra Liquid, will remain unchanged. The index will continue to focus on companies involved in the production of power through environmentally friendly, non-traditional sources such as wind, solar, hydro, geothermal and bio-fuels as well as the related technologies used to support the production of this power and increase efficiencies in its production, transportation and storage.

Lopez says that VanEck has been a signatory of the Principles for Responsible Investment (PRI) since March 2017. 

“Our approach to responsible investment incorporates environmental, social, and governance, ie ‘ESG’ responsibilities and we apply this approach, as appropriate, across asset classes, regions and markets,” he says. “We consider ESG factors, where possible, in both our active fixed income and ETF strategies. In our ETF family, we have sought to develop certain funds with sustainability-related themes or approaches that employ sustainable screening criteria and/or indices, and the changes we’re making with regard to SMOG are being done with all of that thinking in mind.”

Latest News

European ETFs raised USD47.8 billion in Q1, a 15 per cent increase compared to the same period in 2023, according..
LSEG Lipper’s March report finds that globally equity ETFs (+EUR113.2 billion) enjoyed the highest estimated net inflows for the month,..
Morningstar has published a review of the European ETF market for the first quarter 2024, which finds that it gathered..
ETF data consultant ETFGI reports that assets invested in the global ETF industry reached a new record of USD12.71 trillion..

Related Articles

Kristen Mierzwa, FTSE Russell
Index Investments Group (IIG), a division within index provider FTSE Russell, has extended its range of indices through two new...
US ETF issuers of active ETFs are facing an increase in fees from the big custodian firms, such as Charles...
Taylor Krystkowiak, Themes ETFs
Themes ETFs opened its doors in December 2023, with an introductory suite of 11 ETFs – seven thematic and four...
Konrad Sippel, Solactive
At the end of March, financial index specialist, Solactive, published its 2024 annual report on future trends.  ...
Subscribe to the ETF Express newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by