ANNUAL REPORT December 31, 2022 |
Africa Index ETF | AFK |
Brazil Small-Cap ETF | BRF |
China Growth Leaders ETF | GLCN |
ChiNext ETF | CNXT |
Digital India ETF | DGIN |
Egypt Index ETF | EGPT |
India Growth Leaders ETF | GLIN |
Indonesia Index ETF | IDX |
Israel ETF | ISRA |
Vietnam ETF | VNM |
800.826.2333 | vaneck.com |
Certain information contained in this report represents the opinion of the investment adviser which may change at any time. This information is not intended to be a forecast of future events, a guarantee of future results or investment advice.Current market conditions may not continue. Also, unless otherwise specifically noted, any discussion of the Funds’ holdings, the Funds’ performance, and the views of the investment adviser are as of December 31, 2022.
VANECK ETFs
December 31, 2022 (unaudited)
Dear Fellow Shareholders:
Back in July 2022, I said that Market Volatility Has One Final Act1. I think we’re still going through that final phase of U.S. Federal Reserve (“Fed”) tightening, and we don’t yet know the full impact on corporate profits or the real economy. But, unlike when this cycle started, long-term investors shouldn’t be hiding in cash. Instead, adjust your bond-stock mix. But bond prices have dropped significantly, and so, as you will see at the end of the letter, we are bullish bonds.
Discussion
To recap this cycle: stocks and bonds historically do not perform well when the Fed tightens monetary conditions, and that’s just what the Fed announced it would be doing at the end of 2021. This would include raising rates and changing its balance sheet actions, which doesn’t create a great environment for financial assets. If we’re in the last, third act of the play, the third act may last a very long time.
There are three things investors are facing, none of which is particularly positive for financial assets.
1. | Monetary Policy: Tightening |
Money supply exploded during the COVID–19 pandemic, but declined dramatically in 2022, to low levels. This withdrawal of money supply is bad for stock and bond returns.
A second, modern component to monetary policy is the Fed balance sheet. After buying bonds during the pandemic, the Fed has now started shrinking the balance sheet—one estimate indicates $330B net out by the end of last November. The Fed has only shrunk its balance sheet once before, so we are facing an unknown.
Commodity prices and the Consumer Price Index (“CPI”) receive much focus, but I think what the Fed is really fighting is wage inflation. That is the kind of inflation that is endemic and hard to manage once it takes hold, not least because it creates a spiraling effect. I think the Fed knows it can’t control oil prices or supply chain directly, but it wants to manage this wage inflation psychology.
Services typically don’t reflect the price of commodities and, in 2022, we saw services inflation increase significantly. That’s not slowing down, and this is a battle the Fed is fighting that I think will last for an extended period of time.
2. | Fiscal Tightening |
A second bearish factor is that government spending is unlikely to increase this year. The Republicans, who won control of the House of Representatives, are looking to slow government spending. And even Democrats like Larry Summers believe that stimulus spending during the pandemic led to inflation, so we’re unlikely to see another big stimulus spending bill regardless of who controls government.
3. | Global Growth is at Low Levels |
Both Chinese and European growth, for different reasons, were slow in 2022. Over the last 20 years, U.S. and China have been the two main pillars of global growth. While China has loosened its Draconian domestic COVID-19 restrictions, and I think there will be a growth surge, the growth may be more domestic and consumer-led, which may not stimulate global growth as much as it has in recent decades.
The range in China growth estimates is from low (1% to 3%) to “high” (4% to 5%). In coming years, we will likely have to look to India, Indonesia and Africa to take up the baton as pillars of higher percentage global growth.
I don’t believe that we will escape these three dampeners on stock and bond returns in 2023—higher interest rates, no government spending growth and tepid global growth. We will need upside corporate profitability surprises or high Chinese growth to substantially boost markets this year, in our view.
However, after the 2022 losses, bond investments are now offering attractive yields, so this is currently our favorite asset class to buy. (See What to Buy? Bonds. When? Now2.) Because of higher interest rates, bonds
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VANECK ETFs
PRESIDENT’S LETTER
(unaudited) (continued)
can offer adequate returns, as they did in the 1970s even though that decade was the worst for interest rates in the last 100 years.
We thank you for investing in VanEck’s investment strategies. On the following pages, you will find a performance discussion and financial statements for each of the funds for the twelve month period ended December 31, 2022. As always, we value your continued confidence in us and look forward to helping you meet your investment goals in the future.
Jan F. van Eck
CEO and President
VanEck ETF Trust
January 19, 2023
PS The investing outlook can change suddenly. To get our quarterly investment outlooks, please subscribe to “VanEck News & Insights”. Should you have any questions regarding fund performance, please contact us at 800.826.2333 or visit our website.
1 Market Volatility Has One Final Act, https://www.vaneck.com/us/en/blogs/investment-outlook/jan-van-eck-market-volatility-has-one-final-act/.
2 What to Buy? Bonds. When? Now, https://www.vaneck.com/us/en/blogs/investment-outlook/jan-van-eck-what-to-buy-bonds-when-now/.
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VANECK ETFs
December 31, 2022 (unaudited)
Market Review
All funds were to some extent affected by the wide market “downturn” as 2022 progressed and the shift in sentiment away from growth to value stocks. All countries were, also, in one way or another, affected by the fallout from Russia’s invasion of Ukraine. In addition, faced by persistent and apparently stubborn inflation, the remedial measures, including raising interest rates (historically, the fastest it has ever been done) and tightening monetary policy, taken by central governments around the world have resulted in significant uncertainty and headwinds in many markets. Not least resulting in the continued fear of recession. By the end of 2022, the success of these measures, for better or for worse, varied considerably country by country and region by region. And the effects on local markets likewise.
Africa
The industrial sector, together with real estate, were very small positive contributors to the performance of the VanEck Africa Index ETF, which lost 18.34% for the 12 month period. The communication services and financial sectors were the greatest detractors from performance. Geographically, South Africa, with an average weight during the period of approximately 34%, was the top contributor to Fund returns. The greatest detractor from performance, by country, was Morocco.
The three top positive contributions to the Fund’s performance came from: Naspers Ltd. (2.8% of Fund net assets†), Perseus Mining Ltd. (2.4% of Fund net assets†) and Standard Bank Group Ltd. (2.0% of Fund net assets†). The companies that detracted most from performance were: Safaricom Plc (5.5% of Fund net assets†), Commercial International Bank Egypt SAE (3.5% of Fund net assets†) and Attijariwafa Bank (4.0% of Fund net assets†).
Brazil
The VanEck Brazil Small-Cap ETF lost 13.31% over the 12 month period under review.
The majority of positive contributions came from four sectors: materials, consumer staples, utilities and energy, with the materials sector contributing the most. However, the negative contributions from the industrial and consumer discretionary sectors alone, with the largest average sector weightings during the year, offset all positive contributions to performance.
The three top positive contributions to the Fund’s performance came from: Sao Martinho (sold by the Fund by period end), Alupar Investimento SA (3.5% of Fund net assets†) and Petroreconcavo SA (2.8% of Fund net assets†). The companies that detracted most from performance were: SMART Global Holdings, Inc. (1.1% of Fund net assets†), IRB Brasil Resseguros SA (0.8% of Fund net assets†) and Oi SA (0.5% of Fund net assets†).
China
The VanEck ChiNext ETF and the VanEck China Growth Leaders ETF both recorded negative returns for the year. While the former lost 35.49%, the latter lost 31.65%. Both suffered as a result of the “Covid Zero” policy in China and the country’s inability to open up during most of 2022.
The VanEck ChiNext ETF offers exposure to more consumer, new economy sector names, many of which have also tended to be non-state owned enterprises. The industrial sector, with the largest average sector weighting during the year, was the greatest detractor from performance. While no one sector contributed positively to return, the consumer discretionary and communication services sectors detracted the least from performance.
The information technology sector detracted the most from the performance of the VanEck China Growth Leaders ETF. While no one sector contributed positively to return, the utilities sector detracted the least from performance.
The three top positive contributions to the VanEck ChiNext ETF’s performance came from: Shenzhen Inovance Technology Co. Ltd. (4.2% of Fund net assets†), Shenzhen New Industries Biomedical Engineering Co. Ltd. (0.5% of Fund net assets†) and Hunan Goke Microelectronics (sold by the Fund by period end). The
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VANECK ETFs
MANAGEMENT DISCUSSION (unaudited) (continued)
three companies that detracted most from performance were: Contemporary Amperex Technology Co. Ltd. (16.3% of Fund net assets†), East Money Information Co. Ltd. (6.6% of Fund net assets†) and Chongqing Zhifei Biological Products Co. Ltd. (2.2% of Fund net assets†).
The three top positive contributions to the VanEck China Growth Leaders ETF’s performance came from: Wanhua Chemical Group Co. Ltd. (2.8% of Fund net assets†), Shenzhen Mindray Bio-Medical Electronics Co. Ltd. (2.7% of Fund net assets†) and Huali Industrial Group Co. Ltd. (2.5% of Fund net assets†). The three companies that detracted most from performance were: LONGi Green Energy Technology Co. Ltd. (4.4% of Fund net assets†), Sunny Optical Technology (Group) (sold by the Fund by period end) and Wuliangye Yibin Co. Ltd. (5.9% of Fund net assets†).
Egypt
The VanEck Egypt Index ETF ended 2022 losing 23.67%.
The top performing sector was materials, with the largest average sector weighting during the year. The three sectors detracting most from performance were real estate, information technology and financials. Small cap companies, with the largest average weighting during the period under review, detracted the most from performance.
The three top positive contributions to performance came from: Abou Kir Fertilizers & Chemical Industries (6.6% of Fund net assets†), Centamin Plc (4.6% of Fund net assets†) and Alexandria Mineral Oils Co. (2.9% of Fund net assets†). The three companies that detracted most from performance were: Commercial International Bank Egypt SAE (7.1% of Fund net assets†), Fawry for Banking Technology & Electronic Payment Services SAE (4.4% of Fund net assets†) and E-Finance for Digital & Financial Investments (5.9% of Fund net assets†).
India
The VanEck Digital India ETF, a newly organized ETF, lost 22.56% between its inception on February 15, 2022 and December 31, 2022. All sectors detracted from performance with the information technology detracting the most and the energy sector detracting the least.
The three top positive contributions to performance came from: Redington Ltd. (2.0% of Fund net assets†), KPIT Technologies Ltd. (2.5% of Fund net assets†) and Bharti Airtel Ltd. (6.6% of Fund net assets†). The three companies that detracted most from performance were: LTIMindtree Ltd. (4.4% of Fund net assets†), Wipro Ltd. (5.5% of Fund net assets†) and Mphasis Ltd. (3.5% of Fund net assets†).
The VanEck India Growth Leaders ETF lost 21.99% over the 12 month period. The information technology sector detracted the most from performance and the communication services sector contributed the most, albeit small amount, positively to performance.
The three top positive contributions to performance came from: Chennai Super Kings Cricket Ltd. (3.0% of Fund net assets†), Bharat Electronics Ltd. (3.3% of Fund net assets†) and Oil & Natural Gas Corp. Ltd. (5.3% of Fund net assets†). The three companies that detracted most from performance were: Wipro (sold by the Fund by period end), Divi’s Laboratories Ltd. (4.3% of Fund net assets†) and LTIMindtree Ltd. (3.8% of Fund net assets†).
Indonesia
Indonesian stocks fell in 2022 with the VanEck Indonesia Index ETF registering a loss of 9.88% for the 12 month period.
The greatest positive contribution to returns came from the energy sector. The greatest negative contribution to returns came from the consumer discretionary sector.
The three top positive contributions to performance came from: Bank Mandiri Persero Tbk PT (6.8% of Fund net assets†), Adaro Energy Indonesia Tbk PT (3.6% of Fund net assets†) and Bank Rakyat Indonesia Persero
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Tbk PT (8.4% of Fund net assets†). The three companies that detracted most from performance were: GoTo Gojek Tokopedia Tbk PT (4.3% of Fund net assets†), Bank Jago Tbk PT (0.8% of Fund net assets†) and Elang Mahkota Teknologi Tbk PT (0.9% of Fund net assets†).
Israel
The VanEck Israel ETF lost 25.79% in the 12 months period under review.
Only the energy sector contributed positively to performance over the period under review, and then only minimally. The information technology sector, with the largest average weighting over the 12 month period, detracted most from performance.
The three top positive contributions to performance came from: Amdocs Ltd. (4.5% of Fund net assets†), Teva Pharmaceutical Industries Ltd. (5.1% of Fund net assets†) and SolarEdge Technologies, Inc. (8.2% of Fund net assets†). The three companies that detracted most from performance were: Kornit Digital Ltd. (0.6% of Fund net assets†), Nice Ltd. (5.3% of Fund net assets†) and Wix.com Ltd. (1.6% of Fund net assets†).
Vietnam
The VanEck Vietnam ETF lost 44.47% in 2022.
Only the healthcare sector contributed positive returns. All others detracted from performance, with the real estate sector detracting the most.
The three top positive contributions to performance came from: Mani, Inc. (4.5% of Fund net assets†), UTI, Inc. (1.1% of Fund net assets†) and Feng TAY Enterprise Co. Ltd. (5.1% of Fund net assets†). The three companies that detracted most from performance were: No Va Land Investment Group Corp. (2.0% of Fund net assets†), Hoa Phat Group JSC (5.9% of Fund net assets†) and Thaiholdings (sold by the Fund by period end).
† All Fund assets referenced are Total Net Assets as of December 31, 2022.
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December 31, 2022 (unaudited)
Average Annual Total Return | |||||||||
Share Price | NAV | MVAFKTR1 | SPTR2 | ||||||
One Year | (17.35)% | (18.34)% | (15.99)% | (18.11)% | |||||
Five Year | (4.76)% | (5.01)% | (3.74)% | 9.42% | |||||
Ten Year | (3.46)% | (3.43)% | (1.97)% | 12.56% |
1 | MVIS® GDP Africa (MVAFKTR) Index is a rules-based, modified-capitalization-weighted, float-adjusted index and is intended to give investors a means of tracking the overall performance of the publicly traded companies in Africa. |
Index data prior to June 21, 2013 reflects that of the Dow Jones Africa Titans 50 IndexSM. From June 21, 2013, forward, the index data reflects that of the MVIS® GDP Africa Index (MVAFKTR). All Index history reflects a blend of the performance of the aforementioned Indexes. | |
2 | The S&P 500 Index (SPTR) is a market-value weighted index consisting of 500 stocks chosen for market size, liquidity, and industry group representation, with each stock’s weight in the index proportionate to its market value. |
Hypothetical Growth of $10,000 | ||
This chart shows the value of a hypothetical $10,000 investment in the Fund at NAV over the past 10 years. The result is compared with the Fund’s benchmark and a broad-based index. |
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares.
See “About Fund Performance” on page 16 for more information.
6 |
PERFORMANCE COMPARISON
December 31, 2022 (unaudited)
Average Annual Total Return | |||||||||
Share Price | NAV | MVBRFTR1 | SPTR2 | ||||||
One Year | (14.75)% | (13.31)% | (13.09)% | (18.11)% | |||||
Five Year | (7.94)% | (7.64)% | (7.08)% | 9.42% | |||||
Ten Year | (7.92)% | (7.73)% | (7.12)% | 12.56% |
1 | MVIS® Brazil Small-Cap Index (MVBRFTR) is a rules based, modified capitalization weighted, float adjusted index intended to give investors a means of tracking the overall performance of publicly traded small-capitalization companies that are incorporated in or doing substantial business in Brazil. |
2 | The S&P 500 Index (SPTR) is a market-value weighted index consisting of 500 stocks chosen for market size, liquidity, and industry group representation, with each stock’s weight in the index proportionate to its market value. |
Hypothetical Growth of $10,000 | ||
This chart shows the value of a hypothetical $10,000 investment in the Fund at NAV over the past 10 years. The result is compared with the Fund’s benchmark and a broad-based index.
|
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares.
See “About Fund Performance” on page 16 for more information.
7 |
VANECK CHINA GROWTH LEADERS ETF
PERFORMANCE COMPARISON
December 31, 2022 (unaudited)
Average Annual Total Return | |||||||||
Share Price | NAV | MGCNGRNR1 | SPTR2 | ||||||
One Year | (31.32)% | (31.65)% | (30.89)% | (18.11)% | |||||
Five Year | (6.64)% | (6.67)% | (4.10)% | 9.42% | |||||
Ten Year | 0.12% | 1.09% | 3.30% | 12.56% |
1 | The MarketGrader China All-Cap Growth Leaders Index (MGCNGRNR) is a modified market capitalization weighted, float adjusted index designed to track Chinese companies that the index provider has determined exhibit favorable fundamental characteristics according to the index provider’s proprietary scoring methodology. |
Index data prior to May 1, 2020 reflects that of the CSI 300 Index (CSIH0749). From May 1, 2020 forward, the index data reflects that of the MGCNGRNR. All Index history reflects a blend of the performance of the aforementioned Indexes. | |
Index data as of October 31, 2018 for all periods presented reflect the CSIH0749 stream of the Index which is denominated in USD and converted by the index provider using the “offshore” Renminbi (CNH) exchange rate. | |
2 | The S&P 500 Index (SPTR) is a market-value weighted index consisting of 500 stocks chosen for market size, liquidity, and industry group representation, with each stock’s weight in the index proportionate to its market value. |
Hypothetical Growth of $10,000 | ||
This chart shows the value of a hypothetical $10,000 investment in the Fund at NAV over the past 10 years. The result is compared with the Fund’s benchmark and a broad-based index.
|
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares.
See “About Fund Performance” on page 16 for more information.
8 |
PERFORMANCE COMPARISON
December 31, 2022 (unaudited)
Average Annual Total Return | |||||||||
Share Price | NAV | SZ9881071 | SPTR2 | ||||||
One Year | (35.59)% | (35.49)% | (35.09)% | (18.11)% | |||||
Five Year | (0.19)% | (0.27)% | 1.73% | 9.42% | |||||
Life* | 3.99% | 4.01% | 6.34% | 10.19% |
* | Inception of Fund: 7/23/14; First Day of Secondary Market Trading: 7/24/14. |
1 | The ChiNext Index (SZ988107) is a free-float adjusted index intended to track the performance of the 100 largest and most liquid stocks listed and trading on the ChiNext Market of the Shenzhen Stock Exchange. The ChiNext Index is comprised of China A-shares. |
Index data prior to December 10, 2021 reflects that of the SME-ChiNext Index (CNI6109). From December 10, 2021 forward, the index data reflects that of the SZ988107. All Index history reflects a blend of the performance of the aforementioned Indexes. | |
Index data as of October 1, 2015 for all periods presented reflect the CNI6109 stream of the Index which is denominated in USD and converted by the index provider using the “offshore” Renminbi (CNH) exchange rate. | |
2 | The S&P 500 Index (SPTR) is a market-value weighted index consisting of 500 stocks chosen for market size, liquidity, and industry group representation, with each stock’s weight in the index proportionate to its market value. |
Hypothetical Growth of $10,000 (Since Inception) | ||
This chart shows the value of a hypothetical $10,000 investment in the Fund at NAV since inception. The result is compared with the Fund’s benchmark and a broad-based index. |
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares.
See “About Fund Performance” on page 16 for more information.
9 |
PERFORMANCE COMPARISON
December 31, 2022 (unaudited)
Average Annual Total Return | |||||||||
Share Price | NAV | MVDINDTR1 | SPTR2 | ||||||
Life* | (22.42)% | (22.56)% | (21.67)% | (12.85)% |
* | Inception of Fund: 2/15/22; First Day of Secondary Market Trading: 2/16/22. |
1 | MVIS® Digital India Index (MVDIND) is a rules based, modified market capitalization weighted, float adjusted index intended to give investors a means of tracking the overall performance of the companies involved in and supporting the digitalization of India. |
2 | The S&P 500 Index (SPTR) is a market-value weighted index consisting of 500 stocks chosen for market size, liquidity, and industry group representation, with each stock’s weight in the index proportionate to its market value. |
Hypothetical Growth of $10,000 (Since Inception) | ||
This chart shows the value of a hypothetical $10,000 investment in the Fund at NAV since inception. The result is compared with the Fund’s benchmark and a broad-based index. |
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares.
See “About Fund Performance” on 16 for more information.
10 |
PERFORMANCE COMPARISON
December 31, 2022 (unaudited)
Average Annual Total Return | |||||||||
Share Price | NAV | MVEGPTTR1 | SPTR2 | ||||||
One Year | (24.61)% | (23.67)% | (20.73)% | (18.11)% | |||||
Five Year | (7.35)% | (7.27)% | (5.22)% | 9.42% | |||||
Ten Year | (7.12)% | (7.03)% | (3.96)% | 12.56% |
1 | MVIS® Egypt Index (MVEGPTTR) is a rules based, modified capitalization weighted, float adjusted index intended to give investors a means of tracking the overall performance of publicly traded companies that are incorporated in or doing substantial business in Egypt. |
2 | The S&P 500 Index (SPTR) is a market-value weighted index consisting of 500 stocks chosen for market size, liquidity, and industry group representation, with each stock’s weight in the index proportionate to its market value. |
Hypothetical Growth of $10,000 | ||
This chart shows the value of a hypothetical $10,000 investment in the Fund at NAV over the past 10 years. The result is compared with the Fund’s benchmark and a broad-based index. |
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares.
See “About Fund Performance” on page 16 for more information.
11 |
VANECK INDIA GROWTH LEADERS ETF
PERFORMANCE COMPARISON
December 31, 2022 (unaudited)
Average Annual Total Return | |||||||||
Share Price | NAV | MGINGRNR1 | SPTR2 | ||||||
One Year | (21.39)% | (21.99)% | (22.38)% | (18.11)% | |||||
Five Year | (13.01)% | (13.18)% | (12.03)% | 9.42% | |||||
Ten Year | (2.13)% | (2.09)% | (1.33)% | 12.56% |
1 | The MarketGrader India All-Cap Growth Leaders Index (MGINGRNR) is a modified market capitalization weighted, float adjusted index designed to track Indian companies that the index provider has determined exhibit favorable fundamental characteristics according to the index provider’s proprietary scoring methodology. |
Index data prior to May 1, 2020 reflects that of the MVIS® India Small-Cap Index (MVSCIFTR). From May 1, 2020 forward, the index data reflects that of the MGINGRNR. All Index history reflects a blend of the performance of the aforementioned Indexes. | |
2 | The S&P 500 Index (SPTR) is a market-value weighted index consisting of 500 stocks chosen for market size, liquidity, and industry group representation, with each stock’s weight in the index proportionate to its market value. |
Hypothetical Growth of $10,000 | ||
This chart shows the value of a hypothetical $10,000 investment in the Fund at NAV over the past 10 years. The result is compared with the Fund’s benchmark and a broad-based index. |
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares.
See “About Fund Performance” on page 16 for more information.
12 |
PERFORMANCE COMPARISON
December 31, 2022 (unaudited)
Average Annual Total Return | |||||||||
Share Price | NAV | MVIDXTR1 | SPTR2 | ||||||
One Year | (9.35)% | (9.88)% | (9.54)% | (18.11)% | |||||
Five Year | (4.93)% | (4.90)% | (4.65)% | 9.42% | |||||
Ten Year | (2.82)% | (2.83)% | (2.34)% | 12.56% |
1 | MVIS® Indonesia Index (MVIDXTR) is a rules based, modified capitalization weighted, float adjusted index intended to give investors a means of tracking the overall performance of publicly traded companies that are incorporated in or doing substantial business in Indonesia. |
2 | The S&P 500 Index (SPTR) is a market-value weighted index consisting of 500 stocks chosen for market size, liquidity, and industry group representation, with each stock’s weight in the index proportionate to its market value. |
Hypothetical Growth of $10,000 | ||
This chart shows the value of a hypothetical $10,000 investment in the Fund at NAV over the past 10 years. The result is compared with the Fund’s benchmark and a broad-based index. |
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares.
See “About Fund Performance” on page 16 for more information.
13 |
PERFORMANCE COMPARISON
December 31, 2022 (unaudited)
Average Annual Total Return | |||||||||
Share Price | NAV | BLSNTR1 | SPTR2 | ||||||
One Year | (25.73)% | (25.79)% | (25.61)% | (18.11)% | |||||
Five Year | 4.30% | 4.31% | 4.73% | 9.42% | |||||
Life* | 5.04% | 5.05% | 5.47% | 11.85% |
* | Inception of Fund: 6/25/13; First Day of Secondary Market Trading: 6/26/13. |
1 | Bluestar Israel Global Index® (BLSNTR) is a rules based, modified capitalization, float adjusted weighted index comprised of equity securities, which may include depositary receipts, of publicly traded companies that are generally considered by the index provider to be Israeli companies. |
2 | The S&P 500 Index (SPTR) is a market-value weighted index consisting of 500 stocks chosen for market size, liquidity, and industry group representation, with each stock’s weight in the index proportionate to its market value. |
Hypothetical Growth of $10,000 (Since Inception) | ||
This chart shows the value of a hypothetical $10,000 investment in the Fund at NAV since inception. The result is compared with the Fund’s benchmark and a broad-based index.
|
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares.
See “About Fund Performance” on page 16 for more information.
14 |
PERFORMANCE COMPARISON
December 31, 2022 (unaudited)
Average Annual Total Return | |||||||||
Share Price | NAV | MVVNMTR1 | SPTR2 | ||||||
One Year | (43.73)% | (44.47)% | (44.02)% | (18.11)% | |||||
Five Year | (7.26)% | (6.94)% | (6.16)% | 9.42% | |||||
Ten Year | (2.51)% | (2.05)% | (1.03)% | 12.56% |
1 | MVIS® Vietnam Index (MVVNMTR) is a rules based, modified capitalization weighted, float adjusted index intended to give investors a means of tracking the overall performance of publicly traded companies that are incorporated in or doing substantial business in Vietnam. |
2 | The S&P 500 Index (SPTR) is a market-value weighted index consisting of 500 stocks chosen for market size, liquidity, and industry group representation, with each stock’s weight in the index proportionate to its market value. |
Hypothetical Growth of $10,000 | ||
This chart shows the value of a hypothetical $10,000 investment in the Fund at NAV over the past 10 years. The result is compared with the Fund’s benchmark and a broad-based index. |
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares.
See “About Fund Performance” on 16 for more information.
15 |
VANECK ETFs
(unaudited)
The price used to calculate market return (Share Price) is determined by using the closing price listed on its primary listing exchange. Since the shares of each Fund did not trade in the secondary market until after each Fund’s commencement, for the period from commencement to the first day of secondary market trading in shares of each Fund, the NAV of each Fund is used as a proxy for the secondary market trading price to calculate market returns.
The performance data quoted represents past performance. Past performance is not a guarantee of future results. Performance information for each Fund reflects temporary waivers of expenses and/or fees. Had each Fund incurred all expenses, investment returns would have been reduced. These returns do not reflect the deduction of taxes that a shareholder would pay on Fund dividends and distributions or the sale of Fund shares.
Investment return and value of the shares of each Fund will fluctuate so that an investor’s shares, when sold, may be worth more or less than their original cost. Performance may be lower or higher than performance data quoted. Fund returns reflect reinvestment of dividends and capital gains distributions. Performance current to the most recent month-end is available by calling 800.826.2333 or by visiting vaneck.com.
Index returns assume the reinvestment of all income and do not reflect any management fees or brokerage expenses associated with Fund returns. Certain indices may take into account withholding taxes. Investors cannot invest directly in the Index. Returns for actual Fund investors may differ from what is shown because of differences in timing, the amount invested and fees and expenses.
The Africa Index, Brazil Small-Cap Index, Digital India Index, Egypt Index, Indonesia Index, Israel Index and Vietnam Index are published by MarketVector Indexes GmbH (MarketVector). MarketVector is a wholly owned subsidiary of the Adviser, Van Eck Associates Corporation. The China Growth Leaders Index is published by MarketGrader.com Corp. (MarketGrader). The ChiNext Index is published by the Shenzhen Securities Information Co., Ltd. (Shenzhen Securities), which is a subsidiary of the Shenzhen Stock Exchange.
MarketVector, MarketGrader, and Shenzhen Securities are “Index Providers.” The Index Providers do not sponsor, endorse, or promote the Funds and bear no liability with respect to the Funds or any security.
16 |
VANECK ETF TRUST
(unaudited)
Hypothetical $1,000 investment at beginning of period
As a shareholder of a Fund, you incur operating expenses, including management fees and other Fund expenses. This disclosure is intended to help you understand the ongoing costs (in dollars) of investing in your Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The disclosure is based on an investment of $1,000 invested at the beginning of the period and held for the entire period, July 1, 2022 to December 31, 2022.
Actual Expenses
The first line in the table below provides information about account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled “Expenses Paid During the Period.”
Hypothetical Example for Comparison Purposes
The second line in the table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in your Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as brokerage commissions paid on purchases and sales. Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
Beginning Account Value July 1, 2022 |
Ending Account Value December 31, 2022 |
Annualized Expense Ratio During Period |
Expenses Paid During the Period July 1, 2022 - December 31, 2022(a) | |||||||||||||
Africa Index ETF | ||||||||||||||||
Actual | $1,000.00 | $978.70 | 1.15 | % | $5.74 | |||||||||||
Hypothetical (b) | $1,000.00 | $1,019.41 | 1.15 | % | $5.85 | |||||||||||
Brazil Small-Cap ETF | ||||||||||||||||
Actual | $1,000.00 | $1,014.00 | 0.59 | % | $3.00 | |||||||||||
Hypothetical (b) | $1,000.00 | $1,022.23 | 0.59 | % | $3.01 | |||||||||||
China Growth Leaders ETF | ||||||||||||||||
Actual | $1,000.00 | $797.60 | 0.60 | % | $2.72 | |||||||||||
Hypothetical (b) | $1,000.00 | $1,022.18 | 0.60 | % | $3.06 | |||||||||||
ChiNext ETF | ||||||||||||||||
Actual | $1,000.00 | $801.60 | 0.65 | % | $2.95 | |||||||||||
Hypothetical (b) | $1,000.00 | $1,021.93 | 0.65 | % | $3.31 | |||||||||||
Digital India ETF | ||||||||||||||||
Actual | $1,000.00 | $975.80 | 0.76 | % | $3.78 | |||||||||||
Hypothetical (b) | $1,000.00 | $1,021.37 | 0.76 | % | $3.87 | |||||||||||
Egypt Index ETF | ||||||||||||||||
Actual | $1,000.00 | $1,159.10 | 1.44 | % | $7.84 | |||||||||||
Hypothetical (b) | $1,000.00 | $1,017.95 | 1.44 | % | $7.32 | |||||||||||
India Growth Leaders ETF | ||||||||||||||||
Actual | $1,000.00 | $1,053.80 | 0.78 | % | $4.04 | |||||||||||
Hypothetical (b) | $1,000.00 | $1,021.27 | 0.78 | % | $3.97 |
17 |
VANECK ETF TRUST
EXPLANATION OF EXPENSES
(unaudited) (continued)
Beginning Account Value July 1, 2022 |
Ending Account Value December 31, 2022 |
Annualized Expense Ratio During Period |
Expenses Paid During the Period July 1, 2022 - December 31, 2022(a) | |||||||||||||
Indonesia Index ETF | ||||||||||||||||
Actual | $1,000.00 | $910.60 | 0.57 | % | $2.74 | |||||||||||
Hypothetical (b) | $1,000.00 | $1,022.33 | 0.57 | % | $2.91 | |||||||||||
Israel ETF | ||||||||||||||||
Actual | $1,000.00 | $968.40 | 0.60 | % | $2.98 | |||||||||||
Hypothetical (b) | $1,000.00 | $1,022.18 | 0.60 | % | $3.06 | |||||||||||
Vietnam ETF | ||||||||||||||||
Actual | $1,000.00 | $815.10 | 0.73 | % | $3.34 | |||||||||||
Hypothetical (b) | $1,000.00 | $1,021.53 | 0.73 | % | $3.72 |
(a) | Expenses are equal to the Fund’s annualized expense ratio (for the six months ended December 31, 2022), multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half year divided by the number of the days in the fiscal year (to reflect the one-half year period). |
(b) | Assumes annual return of 5% before expenses |
18 |
December 31, 2022
Number of Shares |
Value | |||||||
COMMON STOCKS: 99.8% | ||||||||
Australia: 4.6% | ||||||||
AVZ Minerals Ltd. *∞ | 1,399,901 | $ | 446,748 | |||||
Paladin Energy Ltd. * † | 1,160,416 | 545,389 | ||||||
Perseus Mining Ltd. | 772,802 | 1,107,625 | ||||||
2,099,762 | ||||||||
Canada: 5.4% | ||||||||
B2Gold Corp. (USD) | 22,950 | 81,932 | ||||||
Barrick Gold Corp. (USD) | 45,073 | 774,354 | ||||||
Ivanhoe Mines Ltd. * † | 202,564 | 1,599,642 | ||||||
2,455,928 | ||||||||
China: 1.3% | ||||||||
CMOC Group Ltd. (HKD) * † | 1,314,000 | 602,002 | ||||||
Egypt: 4.9% | ||||||||
Centamin Plc (GBP) | 453,500 | 616,618 | ||||||
Commercial International Bank Egypt SAE (USD) (GDR) | 1,348,274 | 1,610,384 | ||||||
2,227,002 | ||||||||
Ghana: 2.9% | ||||||||
Kosmos Energy Ltd. (USD) * | 205,500 | 1,306,980 | ||||||
India: 0.6% | ||||||||
MakeMyTrip Ltd. (USD) * † | 10,688 | 294,668 | ||||||
Indonesia: 0.4% | ||||||||
Golden Agri-Resources Ltd. (SGD) | 936,100 | 174,470 | ||||||
Kenya: 10.1% | ||||||||
East African Breweries Plc | 483,800 | 656,697 | ||||||
Equity Group Holdings Plc | 4,124,200 | 1,486,678 | ||||||
Safaricom Plc | 12,806,400 | 2,506,277 | ||||||
4,649,652 | ||||||||
Morocco: 9.3% | ||||||||
Attijariwafa Bank | 49,543 | 1,857,122 | ||||||
Bank of Africa | 44,829 | 737,326 | ||||||
Banque Centrale Populaire | 49,894 | 1,099,304 | ||||||
Co. Sucrerie Marocaine et de Raffinage | 31,158 | 566,103 | ||||||
4,259,855 | ||||||||
Nigeria: 11.5% | ||||||||
Guaranty Trust Holding Co.Plc | 31,311,187 | 1,327,139 | ||||||
MTN Nigeria Communications Plc | 5,197,133 | 2,050,245 | ||||||
Nestle Nigeria Plc | 286,718 | 578,697 | ||||||
Zenith Bank Plc | 29,727,817 | 1,309,115 | ||||||
5,265,196 | ||||||||
Norway: 0.2% | ||||||||
Scatec ASA 144A | 8,801 | 70,416 | ||||||
South Africa: 33.8% | ||||||||
Absa Group Ltd. | 54,426 | 617,178 | ||||||
African Rainbow Minerals Ltd. | 8,500 | 143,428 | ||||||
Anglo American Platinum Ltd. | 4,684 | 390,366 | ||||||
Anglo American Plc (GBP) | 53,499 | 2,084,530 | ||||||
Aspen Pharmacare Holdings Ltd. | 23,260 | 185,767 | ||||||
AVI Ltd. | 20,370 | 90,108 |
Number of Shares |
Value | |||||||
South Africa (continued) | ||||||||
Bid Corp. Ltd. | 18,046 | $ | 349,837 | |||||
Bidvest Group Ltd. | 13,731 | 173,011 | ||||||
Capitec Bank Holdings Ltd. | 7,223 | 785,175 | ||||||
Clicks Group Ltd. | 14,563 | 231,159 | ||||||
Discovery Ltd. * | 22,496 | 162,494 | ||||||
Exxaro Resources Ltd. | 11,453 | 146,628 | ||||||
FirstRand Ltd. | 216,932 | 787,033 | ||||||
Foschini Group Ltd. | 11,967 | 70,355 | ||||||
Gold Fields Ltd. (ADR) † | 56,847 | 588,366 | ||||||
Growthpoint Properties Ltd. | 233,627 | 199,644 | ||||||
Harmony Gold Mining Co.Ltd. (ADR) | 37,342 | 126,963 | ||||||
Impala Platinum Holdings Ltd. | 55,918 | 701,733 | ||||||
Investec Plc (GBP) | 40,887 | 248,702 | ||||||
Life Healthcare Group Holdings Ltd. | 56,746 | 56,291 | ||||||
Momentum Metropolitan Holdings | 85,489 | 85,869 | ||||||
Mr Price Group Ltd. | 18,350 | 169,917 | ||||||
MTN Group Ltd. | 98,215 | 732,519 | ||||||
MultiChoice Group | 18,308 | 126,149 | ||||||
Naspers Ltd. | 7,664 | 1,278,910 | ||||||
Nedbank Group Ltd. | 27,091 | 338,404 | ||||||
Netcare Ltd. | 87,755 | 74,919 | ||||||
Northam Platinum Holdings Ltd. * | 15,338 | 168,732 | ||||||
Old Mutual Ltd. | 221,676 | 135,805 | ||||||
OUTsurance Group Ltd. | 50,224 | 92,324 | ||||||
Pepkor Holdings Ltd. 144A | 95,859 | 112,676 | ||||||
Pick n Pay Stores Ltd. † | 19,913 | 66,463 | ||||||
Remgro Ltd. | 33,369 | 259,165 | ||||||
Resilient REIT Ltd. † | 21,006 | 66,358 | ||||||
Sanlam Ltd. | 127,311 | 365,276 | ||||||
Sappi Ltd. * | 23,283 | 67,166 | ||||||
Sasol Ltd. (ADR) † | 39,389 | 618,801 | ||||||
Shoprite Holdings Ltd. | 32,811 | 434,352 | ||||||
Sibanye Stillwater Ltd. (ADR) † | 45,717 | 487,343 | ||||||
SPAR Group Ltd. | 10,201 | 68,058 | ||||||
Standard Bank Group Ltd. | 93,116 | 917,461 | ||||||
Thungela Resources Ltd. | 8,939 | 150,630 | ||||||
Tiger Brands Ltd. | 7,732 | 95,438 | ||||||
Vodacom Group Ltd. | 33,009 | 237,576 | ||||||
Woolworths Holdings Ltd. | 51,520 | 200,390 | ||||||
15,489,469 | ||||||||
Switzerland: 0.3% | ||||||||
Mediclinic International Plc (GBP) | 24,746 | 147,408 | ||||||
Tanzania: 3.6% | ||||||||
AngloGold Ashanti Ltd. (ADR) | 29,149 | 566,073 | ||||||
Helios Towers Plc (GBP) * † | 869,313 | 1,102,924 | ||||||
1,668,997 | ||||||||
United Arab Emirates: 2.5% | ||||||||
Itissalat Al-Maghrib (MAD) | 128,092 | 1,163,638 | ||||||
United Kingdom: 6.3% | ||||||||
Airtel Africa Plc 144A | 1,439,357 | 1,929,825 |
See Notes to Financial Statements
19 |
VANECK AFRICA INDEX ETF
SCHEDULE OF INVESTMENTS
(continued)
Number of Shares |
Value | |||||||
United Kingdom (continued) | ||||||||
Endeavour Mining Plc | 40,029 | $ | 842,374 | |||||
Kumba Iron Ore Ltd. (ZAR) | 4,603 | 132,765 | ||||||
2,904,964 | ||||||||
United States: 0.3% | ||||||||
Royal Caribbean Cruises Ltd. * † | 2,687 | 132,818 | ||||||
Zambia: 1.8% | ||||||||
First Quantum Minerals Ltd. (CAD) | 39,455 | 823,781 | ||||||
Zimbabwe: 0.0% | ||||||||
Delta Corp. Ltd. | 15,980 | 5,753 | ||||||
Ecocash Holdings Zimbabwe Ltd. * | 32,900 | 1,398 | ||||||
7,151 | ||||||||
Total Common
Stocks (Cost: $44,299,767) |
45,744,157 |
Number of Shares |
Value | |||||||
RIGHTS:
0.0% |
||||||||
(Cost: $0) | ||||||||
Morocco: 0.0% | ||||||||
Bank of Africa, MAD 170.00, exp. 10/03/23 * | 25 | $ | 6 | |||||
Total Investments Before Collateral for Securities Loaned:
99.8% (Cost: $44,299,767) |
45,744,163 | |||||||
SHORT-TERM INVESTMENT HELD AS COLLATERAL FOR SECURITIES ON LOAN: 2.4% |
||||||||
Money
Market Fund: 2.4% (Cost: $1,102,056) |
||||||||
State Street Navigator Securities Lending Government Money Market Portfolio | 1,102,056 | 1,102,056 | ||||||
Total
Investments: 102.2% (Cost: $45,401,823) |
46,846,219 | |||||||
Liabilities in excess of other assets: (2.2)% | (986,169 | ) | ||||||
NET ASSETS: 100.0% | $ | 45,860,050 |
Definitions: | |
ADR | American Depositary Receipt |
BRL | Brazilian Real |
CAD | Canadian Dollar |
GBP | British Pound |
GDR | Global Depositary Receipt |
HKD | Hong Kong Dollar |
MAD | Moroccan Dirham |
SGD | Singapore Dollar |
USD | United States Dollar |
ZAR | South African Rand |
Footnotes: | |
∞ | Security is valued using significant unobservable inputs that factor in discount for lack of marketability and is classified as Level 3 in the fair value hierarchy. |
* | Non-income producing |
† | Security fully or partially on loan. Total market value of securities on loan is $3,236,707. |
144A | Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended, or otherwise restricted. These securities may be resold in transactions exempt from registration, unless otherwise noted, and the value amounted $2,112,917, or 4.6% of net assets. |
See Notes to Financial Statements
20 |
Summary of Investments
by Sector Excluding Collateral for Securities Loaned |
% of Investments |
Value | ||||||
Financials | 31.0 | % | $ | 14,223,359 | ||||
Materials | 28.4 | 12,971,341 | ||||||
Communication Services | 21.6 | 9,849,153 | ||||||
Consumer Staples | 7.2 | 3,317,135 | ||||||
Consumer Discretionary | 4.9 | 2,259,736 | ||||||
Energy | 4.7 | 2,149,626 | ||||||
Health Care | 1.0 | 464,385 | ||||||
Real Estate | 0.6 | 266,001 | ||||||
Industrials | 0.4 | 173,011 | ||||||
Utilities | 0.2 | 70,416 | ||||||
100.0 | % | $ | 45,744,163 |
The summary of inputs used to value the Fund’s investments as of December 31, 2022 is as follows:
Level 1 Quoted Prices |
Level 2 Significant Observable Inputs |
Level
3 Inputs |
Value | |||||||||||||
Common Stocks | ||||||||||||||||
Australia | $ | — | $ | 1,653,014 | $ | 446,748 | $ | 2,099,762 | ||||||||
Canada | 2,455,928 | — | — | 2,455,928 | ||||||||||||
China | — | 602,002 | — | 602,002 | ||||||||||||
Egypt | — | 2,227,002 | — | 2,227,002 | ||||||||||||
Ghana | 1,306,980 | — | — | 1,306,980 | ||||||||||||
India | 294,668 | — | — | 294,668 | ||||||||||||
Indonesia | — | 174,470 | — | 174,470 | ||||||||||||
Kenya | 3,162,974 | 1,486,678 | — | 4,649,652 | ||||||||||||
Morocco | 3,160,551 | 1,099,304 | — | 4,259,855 | ||||||||||||
Nigeria | 3,938,057 | 1,327,139 | — | 5,265,196 | ||||||||||||
Norway | — | 70,416 | — | 70,416 | ||||||||||||
South Africa | 3,410,940 | 12,078,529 | — | 15,489,469 | ||||||||||||
Switzerland | — | 147,408 | — | 147,408 | ||||||||||||
Tanzania | 566,073 | 1,102,924 | — | 1,668,997 | ||||||||||||
United Arab Emirates | 1,163,638 | — | — | 1,163,638 | ||||||||||||
United Kingdom | — | 2,904,964 | — | 2,904,964 | ||||||||||||
United States | 132,818 | — | — | 132,818 | ||||||||||||
Zambia | 823,781 | — | — | 823,781 | ||||||||||||
Zimbabwe | 7,151 | — | — | 7,151 | ||||||||||||
Rights * | 6 | — | — | 6 | ||||||||||||
Money Market Fund | 1,102,056 | — | — | 1,102,056 | ||||||||||||
Total Investments | $ | 21,525,621 | $ | 24,873,850 | $ | 446,748 | $ | 46,846,219 |
* | See Schedule of Investments for geographic sector breakouts. |
See Notes to Financial Statements
21 |
SCHEDULE OF INVESTMENTS
December 31, 2022
Number of Shares |
Value | |||||||
COMMON STOCKS: 83.5% | ||||||||
Automobiles & Components: 1.4% | ||||||||
Mahle-Metal Leve SA | 27,350 | $ | 158,660 | |||||
Tupy SA * | 37,850 | 195,407 | ||||||
354,067 | ||||||||
Capital Goods: 2.7% | ||||||||
Aeris Industria E Comercio De Equipamentos Para Geracao De Energia SA | 217,550 | 46,738 | ||||||
Armac Locacao Logistica E Servicos SA | 49,200 | 109,267 | ||||||
Iochpe Maxion SA | 72,002 | 160,793 | ||||||
Kepler Weber SA | 31,900 | 121,917 | ||||||
Mills Estruturas e Servicos de Engenharia SA | 73,500 | 159,075 | ||||||
Portobello SA | 56,050 | 87,346 | ||||||
685,136 | ||||||||
Commercial & Professional Services: 1.5% | ||||||||
Ambipar Participacoes e Empreendimentos SA | 31,300 | 124,029 | ||||||
Boa Vista Servicos SA | 117,100 | 160,558 | ||||||
Orizon Valorizacao de Residuos SA * | 16,300 | 104,445 | ||||||
389,032 | ||||||||
Consumer Durables & Apparel: 7.7% | ||||||||
Cury Construtora e Incorporadora SA | 74,600 | 178,099 | ||||||
Cyrela Brazil Realty SA Empreendimentos e Participacoes | 187,250 | 465,390 | ||||||
Direcional Engenharia SA | 57,500 | 169,953 | ||||||
Even Construtora e Incorporadora SA | 70,750 | 61,407 | ||||||
Ez Tec Empreendimentos e Participacoes SA | 103,552 | 264,701 | ||||||
Grendene SA | 140,850 | 160,614 | ||||||
Guararapes Confeccoes SA | 60,250 | 74,242 | ||||||
MRV Engenharia e Participacoes SA | 164,650 | 236,611 | ||||||
Vivara Participacoes SA | 77,150 | 327,244 | ||||||
1,938,261 | ||||||||
Consumer Services: 7.9% | ||||||||
Afya Ltd. * | 21,091 | 329,441 | ||||||
Anima Holding SA * | 137,550 | 100,334 | ||||||
Arco Platform Ltd. * † | 6,063 | 81,851 | ||||||
Arcos Dorados Holdings, Inc. | 63,040 | 527,014 | ||||||
Cogna Educacao * | 999,100 | 401,542 | ||||||
Cruzeiro do Sul Educacional SA | 54,200 | 39,271 | ||||||
CVC Brasil Operadora e Agencia de Viagens SA * | 159,383 | 135,563 | ||||||
YDUQS Participacoes SA | 131,600 | 252,120 | ||||||
Zamp SA * | 117,250 | 121,031 | ||||||
1,988,167 | ||||||||
Diversified Financials: 1.1% | ||||||||
Banco Modal SA * | 90,000 | 37,303 | ||||||
BR Advisory Partners Participacoes SA | 32,850 | 74,416 | ||||||
TC Traders Club SA | 67,650 | 28,228 |
Number of Shares |
Value | |||||||
Diversified Financials (continued) | ||||||||
Vinci Partners Investments Ltd. | 15,761 | $ | 142,479 | |||||
282,426 | ||||||||
Energy: 10.9% | ||||||||
3R Petroleum Oleo e Gas SA * | 121,150 | 868,288 | ||||||
AES Brasil Energia SA | 165,890 | 303,085 | ||||||
Enauta Participacoes SA | 56,650 | 145,836 | ||||||
Karoon Energy Ltd. * | 376,978 | 566,490 | ||||||
Modec, Inc. * | 14,500 | 149,242 | ||||||
Petroreconcavo SA | 114,400 | 715,104 | ||||||
2,748,045 | ||||||||
Food & Staples Retailing: 2.0% | ||||||||
Cia Brasileira de Distribuicao (ADR) † | 111,056 | 344,273 | ||||||
Dimed SA Distribuidora da Medicamentos | 58,750 | 112,755 | ||||||
Empreendimentos Pague Menos SA * | 63,000 | 52,371 | ||||||
509,399 | ||||||||
Food, Beverage & Tobacco: 5.4% | ||||||||
Adecoagro SA † | 37,952 | 314,622 | ||||||
BrasilAgro - Co. Brasileira de Propriedades Agricolas | 36,400 | 204,153 | ||||||
Camil Alimentos SA | 63,900 | 100,436 | ||||||
Jalles Machado SA | 100,400 | 144,257 | ||||||
Minerva SA | 181,100 | 444,454 | ||||||
Tres Tentos Agroindustrial SA | 88,050 | 155,554 | ||||||
1,363,476 | ||||||||
Health Care Equipment & Services: 5.0% | ||||||||
Alliar Medicos A Frente SA * | 31,100 | 127,233 | ||||||
Fleury SA | 168,299 | 492,503 | ||||||
Hospital Mater Dei SA | 43,500 | 59,328 | ||||||
Instituto Hermes Pardini SA | 25,150 | 100,273 | ||||||
Odontoprev SA | 153,340 | 262,209 | ||||||
Oncoclinicas do Brasil Servicos Medicos SA * | 130,900 | 148,841 | ||||||
Qualicorp Consultoria e Corretora de Seguros SA | 62,500 | 69,137 | ||||||
1,259,524 | ||||||||
Insurance: 0.8% | ||||||||
IRB Brasil Resseguros SA * | 1,191,300 | 193,190 | ||||||
Materials: 3.4% | ||||||||
ERO Copper Corp. * † | 46,568 | 641,084 | ||||||
Irani Papel e Embalagem SA | 75,200 | 114,461 | ||||||
Largo, Inc. * † | 18,175 | 97,781 | ||||||
853,326 | ||||||||
Media & Entertainment: 0.6% | ||||||||
Meliuz SA 144A * | 454,350 | 100,798 | ||||||
VTEX * † | 13,560 | 50,850 | ||||||
151,648 | ||||||||
Pharmaceuticals, Biotechnology & Life Sciences: 0.4% | ||||||||
Blau Farmaceutica SA | 22,900 | 113,723 | ||||||
Real Estate: 7.3% | ||||||||
Aliansce Sonae Shopping Centers SA | 98,088 | 315,696 | ||||||
BR Malls Participacoes SA | 382,150 | 600,911 | ||||||
BR Properties SA | 101,050 | 124,843 |
See Notes to Financial Statements
22 |
Number of Shares |
Value | |||||||
Real Estate (continued) | ||||||||
Iguatemi SA | 155,750 | $ | 544,222 | |||||
JHSF Participacoes SA | 183,250 | 174,317 | ||||||
LOG Commercial Properties e Participacoes SA | 24,650 | 75,070 | ||||||
1,835,059 | ||||||||
Retailing: 3.6% | ||||||||
C&A Modas SA * | 76,500 | 33,155 | ||||||
Grupo SBF SA | 70,850 | 171,554 | ||||||
Lojas Quero Quero SA * | 67,800 | 53,815 | ||||||
Pet Center Comercio e Participacoes SA | 206,500 | 243,629 | ||||||
Via SA * | 907,700 | 412,692 | ||||||
914,845 | ||||||||
Semiconductors & Semiconductor Equipment: 1.1% | ||||||||
SMART Global Holdings, Inc. * | 18,984 | 282,482 | ||||||
Software & Services: 2.7% | ||||||||
Clear Sale SA * | 48,050 | 51,262 | ||||||
Infracommerce CXAAS SA * | 163,028 | 114,578 | ||||||
Locaweb Servicos de Internet SA 144A * | 197,700 | 263,131 | ||||||
Sinqia SA * | 45,600 | 129,671 | ||||||
Sonda SA | 290,625 | 111,100 | ||||||
669,742 | ||||||||
Technology Hardware & Equipment: 1.0% | ||||||||
Ituran Location and Control Ltd. | 2,445 | 51,663 | ||||||
Multilaser Industrial SA | 151,400 | 115,053 | ||||||
Positivo Tecnologia SA | 43,200 | 76,513 | ||||||
243,229 | ||||||||
Telecommunication Services: 0.9% | ||||||||
Brisanet Participacoes SA | 57,350 | 29,472 | ||||||
Oi SA * | 3,797,666 | 122,834 | ||||||
Unifique Telecomunicacoes SA | 89,950 | 66,055 | ||||||
218,361 | ||||||||
Transportation: 6.7% | ||||||||
Azul SA (ADR) * † | 65,123 | 397,901 | ||||||
EcoRodovias Infraestrutura e Logistica SA | 237,190 | 199,406 | ||||||
Gol Linhas Aereas Inteligentes SA (ADR) * † | 75,322 | 201,110 | ||||||
Hidrovias do Brasil SA * | 323,800 | 138,099 | ||||||
Log-in Logistica Intermodal SA * | 12,100 | 80,645 | ||||||
Movida Participacoes SA | 90,000 | 130,021 | ||||||
Santos Brasil Participacoes SA | 337,250 | 498,784 | ||||||
Sequoia Logistica e Transportes SA * | 68,650 | 39,324 | ||||||
1,685,290 | ||||||||
Utilities: 9.4% | ||||||||
Alupar Investimento SA | 164,337 | 880,581 | ||||||
Cia de Saneamento de Minas Gerais * | 134,938 | 401,097 | ||||||
Cia de Saneamento do Parana | 214,500 | 733,923 | ||||||
Light SA | 153,350 | 135,344 |
Number of Shares |
Value | |||||||
Utilities (continued) | ||||||||
Omega Energia SA * | 121,302 | $ | 220,293 | |||||
2,371,238 | ||||||||
Total Common Stocks (Cost: $28,694,168) |
21,049,666 | |||||||
PREFERRED SECURITIES: 5.6% | ||||||||
Banks: 2.8% | ||||||||
Banco ABC Brasil SA* | 55,970 | 208,598 | ||||||
Banco do Estado do Rio Grande do Sul SA | 136,550 | 251,045 | ||||||
Banco Pan SA | 225,650 | 257,588 | ||||||
717,231 | ||||||||
Capital Goods: 1.4% | ||||||||
Marcopolo SA* | 300,759 | 161,365 | ||||||
Randon SA Implementos e Participacoes | 126,900 | 196,713 | ||||||
358,078 | ||||||||
Information Technology: 1.4% | ||||||||
Cia Ferro Ligas da Bahia | 22,550 | 227,955 | ||||||
Taurus Armas SA | 44,300 | 111,912 | ||||||
339,867 | ||||||||
Total Preferred Securities (Cost: $1,610,708) |
1,415,176 | |||||||
RIGHTS: 0.0% | ||||||||
(Cost: $0) | ||||||||
Energy: 0.0% | ||||||||
AES Brasil Energia SA, BRL 9.61, exp. 01/09/23 * | 882 | 42 | ||||||
CLOSED-END FUNDS: 11.0% | ||||||||
CSHG Logistica FI Imobiliario | 16,652 | 517,528 | ||||||
FII BTG Pactual Corporate Office Fund | 17,586 | 197,524 | ||||||
FII Iridium | 25,864 | 452,058 | ||||||
FII UBS Br Receb Imob | 18,770 | 312,066 | ||||||
Kinea Indice de Precos FII | 57,246 | 995,630 | ||||||
Maxi Renda FII | 160,462 | 306,320 | ||||||
Total Closed-End Funds (Cost: $2,959,541) |
2,781,126 | |||||||
Total
Investments Before Collateral for Securities Loaned: 100.1% (Cost: $33,264,417) |
25,246,010 | |||||||
SHORT-TERM
INVESTMENT HELD AS COLLATERAL FOR SECURITIES ON LOAN: 5.2% |
||||||||
Money Market Fund: 5.2% |
See Notes to Financial Statements
23 |
VANECK BRAZIL SMALL-CAP ETF
SCHEDULE OF INVESTMENTS
(continued)
Number of Shares |
Value | |||||||
(Cost: $1,315,000) | ||||||||
State Street Navigator Securities Lending Government Money Market Portfolio | 1,315,000 | $ | 1,315,000 | |||||
Total Investments: 105.3% (Cost: $34,579,417) |
26,561,010 | |||||||
Liabilities in excess of other assets: (5.3)% | (1,336,255 | ) | ||||||
NET ASSETS: 100.0% | $ | 25,224,755 |
Definitions:
ADR | American Depositary Receipt |
BRL | Brazilian Real |
Footnotes:
* | Non-income producing |
† | Security fully or partially on loan. Total market value of securities on loan is $1,864,249. |
144A | Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended, or otherwise restricted. These securities may be resold in transactions exempt from registration, unless otherwise noted, and the value amounted $363,929, or 1.4% of net assets. |
Summary of Investments by
Sector Excluding Collateral for Securities Loaned |
% of Investments |
Value | ||||||
Consumer Discretionary | 20.6 | % | $ | 5,195,340 | ||||
Real Estate | 14.3 | 3,620,556 | ||||||
Industrials | 12.3 | 3,117,535 | ||||||
Utilities | 10.6 | 2,674,365 | ||||||
Energy | 9.7 | 2,444,960 | ||||||
Financials | 8.6 | 2,188,477 | ||||||
Consumer Staples | 7.4 | 1,872,875 | ||||||
Information Technology | 6.1 | 1,535,320 | ||||||
Health Care | 5.5 | 1,373,247 | ||||||
Materials | 3.4 | 853,326 | ||||||
Communication Services | 1.5 | 370,009 | ||||||
100.0 | % | $ | 25,246,010 |
See Notes to Financial Statements
24 |
The summary of inputs used to value the Fund’s investments as of December 31, 2022 is as follows:
Level 1 Quoted Prices |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
Value | |||||||||||||
Common Stocks | ||||||||||||||||
Automobiles & Components | $ | — | $ | 354,067 | $ | — | $ | 354,067 | ||||||||
Capital Goods | — | 685,136 | — | 685,136 | ||||||||||||
Commercial & Professional Services | — | 389,032 | — | 389,032 | ||||||||||||
Consumer Durables & Apparel | — | 1,938,261 | — | 1,938,261 | ||||||||||||
Consumer Services | 1,059,337 | 928,830 | — | 1,988,167 | ||||||||||||
Diversified Financials | 142,479 | 139,947 | — | 282,426 | ||||||||||||
Energy | — | 2,748,045 | — | 2,748,045 | ||||||||||||
Food & Staples Retailing | 344,273 | 165,126 | — | 509,399 | ||||||||||||
Food, Beverage & Tobacco | 314,622 | 1,048,854 | — | 1,363,476 | ||||||||||||
Health Care Equipment & Services | 127,233 | 1,132,291 | — | 1,259,524 | ||||||||||||
Insurance | — | 193,190 | — | 193,190 | ||||||||||||
Materials | 738,865 | 114,461 | — | 853,326 | ||||||||||||
Media & Entertainment | 50,850 | 100,798 | — | 151,648 | ||||||||||||
Pharmaceuticals, Biotechnology & Life Sciences | — | 113,723 | — | 113,723 | ||||||||||||
Real Estate | — | 1,835,059 | — | 1,835,059 | ||||||||||||
Retailing | — | 914,845 | — | 914,845 | ||||||||||||
Semiconductors & Semiconductor Equipment | 282,482 | — | — | 282,482 | ||||||||||||
Software & Services | — | 669,742 | — | 669,742 | ||||||||||||
Technology Hardware & Equipment | 51,663 | 191,566 | — | 243,229 | ||||||||||||
Telecommunication Services | — | 218,361 | — | 218,361 | ||||||||||||
Transportation | 599,011 | 1,086,279 | — | 1,685,290 | ||||||||||||
Utilities | — | 2,371,238 | — | 2,371,238 | ||||||||||||
Preferred Securities * | — | 1,415,176 | — | 1,415,176 | ||||||||||||
Rights * | 42 | — | — | 42 | ||||||||||||
Closed-End Funds | ||||||||||||||||
Financials | — | 1,710,682 | — | 1,710,682 | ||||||||||||
Real Estate | 312,066 | 758,378 | — | 1,070,444 | ||||||||||||
Money Market Fund | 1,315,000 | — | — | 1,315,000 | ||||||||||||
Total Investments | $ | 5,337,923 | $ | 21,223,087 | $ | — | $ | 26,561,010 |
* | See Schedule of Investments for industry sector breakouts. |
See Notes to Financial Statements
25 |
VANECK CHINA GROWTH LEADERS ETF
SCHEDULE OF INVESTMENTS
December 31, 2022
Number of Shares |
Value | |||||||
COMMON STOCKS: 99.9% | ||||||||
Banks: 0.5% | ||||||||
Bank of Chengdu Co. Ltd. | 37,200 | $ | 82,105 | |||||
Capital Goods: 6.1% | ||||||||
Beijing New Building Materials Plc | 17,900 | 66,714 | ||||||
E-Commodities Holdings Ltd. | 28,000 | 5,649 | ||||||
Guangdong Lingxiao Pump Industry Co. Ltd. | 5,300 | 12,699 | ||||||
Guangzhou KDT Machinery Co. Ltd. | 7,360 | 13,100 | ||||||
Hangzhou Weiguang Electronic Co. Ltd. | 2,600 | 9,310 | ||||||
Hangzhou Zhongtai Cryogenic Technology Corp. | 4,800 | 9,234 | ||||||
IFE Elevators Co. Ltd. | 7,400 | 6,852 | ||||||
Jiangsu Hengli Hydraulic Co. Ltd. | 25,344 | 230,905 | ||||||
Jingjin Equipment, Inc. | 4,500 | 19,147 | ||||||
Keda Industrial Group Co. Ltd. | 26,300 | 53,865 | ||||||
Naipu Mining Machinery Co. Ltd. * | 1,100 | 4,637 | ||||||
Nantong Jianghai Capacitor Co. Ltd. | 10,200 | 32,908 | ||||||
Shanghai Hanbell Precise Machinery Co. Ltd. | 12,600 | 43,576 | ||||||
TBEA Co. Ltd. | 73,400 | 212,341 | ||||||
TKD Science and Technology Co. Ltd. * | 3,500 | 10,242 | ||||||
Warom Technology, Inc. Co. | 3,200 | 10,664 | ||||||
Wuxi Shangji Automation Co. Ltd. | 2,940 | 44,810 | ||||||
Xinte Energy Co. Ltd. † | 29,600 | 54,557 | ||||||
Yizumi Holdings Co. Ltd. | 6,500 | 16,595 | ||||||
Zhuzhou Huarui Precision Cutting Tools Co. Ltd. | 800 | 18,572 | ||||||
Zhuzhou Kibing Group Co. Ltd. | 32,900 | 54,008 | ||||||
930,385 | ||||||||
Commercial & Professional Services: 0.1% | ||||||||
Shanghai Foreign Service Holding Group Co. Ltd. | 24,900 | 21,448 | ||||||
Consumer Durables & Apparel: 6.9% | ||||||||
Biem.L.Fdlkk Garment Co. Ltd. | 9,300 | 34,415 | ||||||
Chow Tai Seng Jewellery Co. Ltd. | 8,800 | 17,823 | ||||||
DR Corp. Ltd. | 9,300 | 84,508 | ||||||
Ecovacs Robotics Co. Ltd. | 3,400 | 35,676 | ||||||
Huali Industrial Group Co. Ltd. | 45,400 | 374,433 | ||||||
Li Ning Co. Ltd. * | 52,000 | 447,177 | ||||||
Tonze New Energy Technology Co. Ltd. | 5,600 | 13,096 | ||||||
Yantai Tayho Advanced Materials Co. Ltd. | 13,400 | 40,983 | ||||||
1,048,111 | ||||||||
Diversified Financials: 1.4% | ||||||||
CSC Financial Co. Ltd. 144A | 119,500 | 104,232 |
Number of Shares |
Value | |||||||
Diversified Financials (continued) | ||||||||
Hithink RoyalFlush Information Network Co. Ltd. | 7,624 | $ | 108,405 | |||||
212,637 | ||||||||
Energy: 9.2% | ||||||||
Anhui Hengyuan Coal Industry and Electricity Power Co. Ltd. | 12,000 | 12,397 | ||||||
Guanghui Energy Co. Ltd. | 88,800 | 115,772 | ||||||
Guizhou Panjiang Refined Coal Co. Ltd. | 17,100 | 16,577 | ||||||
Inner Mongolia Yitai Coal Co. Ltd. | 56,000 | 73,834 | ||||||
Jinneng Holding Shanxi Coal Industry Co. Ltd. | 15,000 | 25,825 | ||||||
Jizhong Energy Resources Co. Ltd. | 27,800 | 25,510 | ||||||
PetroChina Co. Ltd. | 1,738,000 | 793,957 | ||||||
Pingdingshan Tianan Coal Mining Co. Ltd. | 28,400 | 44,227 | ||||||
Shaanxi Coal Industry Co. Ltd. | 60,000 | 160,913 | ||||||
Shandong Sunway Chemical Group Co. Ltd. | 17,400 | 14,746 | ||||||
Shanxi Lanhua Sci-Tech Venture Co. Ltd. | 14,000 | 26,926 | ||||||
Shanxi Lu’an Environmental Energy Development Co. Ltd. | 25,300 | 61,441 | ||||||
ZJMI Environmental Energy Co. Ltd. | 12,200 | 28,456 | ||||||
1,400,581 | ||||||||
Food, Beverage & Tobacco: 16.5% | ||||||||
Anhui Yingjia Distillery Co. Ltd. | 4,200 | 37,996 | ||||||
Cheng De Lolo Co. Ltd. * | 12,500 | 15,285 | ||||||
China Feihe Ltd. 144A | 91,000 | 77,051 | ||||||
Chongqing Brewery Co. Ltd. | 4,300 | 79,045 | ||||||
Jiangsu King’s Luck Brewery JSC Ltd. | 10,700 | 78,521 | ||||||
JiuGui Liquor Co. Ltd. | 4,900 | 97,341 | ||||||
Luzhou Laojiao Co. Ltd. | 15,028 | 485,208 | ||||||
Shanxi Xinghuacun Fen Wine Factory Co. Ltd. | 8,195 | 336,468 | ||||||
Sichuan Swellfun Co. Ltd. | 3,700 | 45,032 | ||||||
Tongwei Co. Ltd. | 54,000 | 300,288 | ||||||
Want Want China Holdings Ltd. | 91,000 | 60,642 | ||||||
Wuliangye Yibin Co. Ltd. | 34,630 | 900,795 | ||||||
2,513,672 | ||||||||
Health Care Equipment & Services: 6.0% | ||||||||
Andon Health Co. Ltd. | 5,700 | 42,066 | ||||||
Dian Diagnostics Group Co. Ltd. | 10,700 | 38,809 | ||||||
Guangzhou Kingmed Diagnostics Group Co. Ltd. | 5,500 | 62,061 | ||||||
Guangzhou Wondfo Biotech Co. Ltd. | 6,430 | 29,583 | ||||||
Hangzhou Alltest Biotech Co. Ltd. | 700 | 10,542 | ||||||
Intco Medical Technology Co. Ltd. | 12,280 | 37,300 | ||||||
Jafron Biomedical Co. Ltd. | 12,750 | 57,033 | ||||||
Jiangsu Bioperfectus Technologies Co. Ltd. | 877 | 11,108 |
See Notes to Financial Statements
26 |
Number of Shares |
Value | |||||||
Health Care Equipment & Services (continued) | ||||||||
JiangXi Sanxin Medtec Co. Ltd. | 7,000 | $ | 8,699 | |||||
Sansure Biotech, Inc. | 5,776 | 18,337 | ||||||
Shanghai Kindly Enterprise Development Group Co. Ltd. | 5,500 | 10,938 | ||||||
Shanghai MicroPort Endovascular MedTech Group Co. Ltd. | 1,400 | 38,110 | ||||||
Shanghai ZJ Bio-Tech Co. Ltd. | 3,255 | 15,680 | ||||||
Shenzhen Bioeasy Biotechnology Co. Ltd. | 4,100 | 10,159 | ||||||
Shenzhen Mindray Bio-Medical Electronics Co. Ltd. | 9,144 | 416,629 | ||||||
Shenzhen YHLO Biotech Co. Ltd. | 7,300 | 20,710 | ||||||
Tofflon Science & Technology Group Co. Ltd. | 7,600 | 26,024 | ||||||
Wuhan Easydiagnosis Biomedicine Co. Ltd. | 2,300 | 19,027 | ||||||
Zhejiang Gongdong Medical Technology Co. Ltd. | 2,400 | 36,594 | ||||||
909,409 | ||||||||
Household & Personal Products: 0.1% | ||||||||
Tongling Jieya Biologic Technology Co. Ltd. | 1,800 | 8,779 | ||||||
Industrials: 0.0% | ||||||||
Sichuan Languang Justbon Services Group Co. Ltd. ∞ | 3,300 | 0 | ||||||
Materials: 18.7% | ||||||||
Anhui Guangxin Agrochemical Co. Ltd. | 7,500 | 31,822 | ||||||
China Hongqiao Group Ltd. | 58,600 | 55,272 | ||||||
China Jushi Co. Ltd. | 51,300 | 101,429 | ||||||
China Northern Rare Earth Group High-Tech Co. Ltd. | 44,800 | 161,524 | ||||||
City Development Environment Co. Ltd. | 4,500 | 6,156 | ||||||
CNSIG Inner Mongolia Chemical Industry Co. Ltd. | 17,600 | 37,269 | ||||||
Dalian Bio-Chem Co. Ltd. * | 2,200 | 5,580 | ||||||
DeHua TB New Decoration Materials Co. Ltd. | 8,000 | 12,524 | ||||||
Dongyue Group Ltd. | 32,000 | 35,050 | ||||||
Epoxy Base Electronic Material Corp. Ltd. | 10,500 | 7,528 | ||||||
Fufeng Group Ltd. | 31,000 | 18,803 | ||||||
Fujian Yongan Forestry Group * | 6,400 | 7,656 | ||||||
Ganfeng Lithium Group Co. Ltd. | 42,200 | 422,801 | ||||||
Guangzhou Tinci Materials Technology Co. Ltd. | 36,500 | 230,808 | ||||||
Hoshine Silicon Industry Co. Ltd. | 4,100 | 49,044 | ||||||
Huafon Chemical Co. Ltd. | 72,600 | 71,189 | ||||||
Hubei Yihua Chemical Industry Co. Ltd. * | 12,700 | 26,970 | ||||||
Hunan Haili Chemical Industry Co. Ltd. * | 8,100 | 8,724 |
Number of Shares |
Value | |||||||
Materials (continued) | ||||||||
Inner Mongolia ERDOS Resources Co. Ltd. | 27,280 | $ | 59,736 | |||||
Inner Mongolia Junzheng Energy & Chemical Industry Group Co. Ltd. | 38,900 | 22,375 | ||||||
Jiangsu Changhai Composite Materials Co. Ltd. | 7,200 | 14,692 | ||||||
Jiangsu Huachang Chemical Co. Ltd. | 12,100 | 12,721 | ||||||
Jiangsu Sopo Chemical Co. | 11,200 | 13,127 | ||||||
Jiangxi Chenguang New Materials Co. Ltd. | 3,760 | 17,502 | ||||||
KBC Corp. Ltd. | 1,210 | 38,285 | ||||||
Lier Chemical Co. Ltd. | 9,100 | 23,572 | ||||||
Lihuayi Weiyuan Chemical Co. Ltd. * | 12,100 | 36,240 | ||||||
Luoyang Jianlong Micro-Nano New Material Co. Ltd. | 758 | 12,115 | ||||||
Luxi Chemical Group Co. Ltd. | 28,300 | 50,548 | ||||||
Nantong Jiangshan Agrochemical & Chemical LLC | 3,300 | 20,981 | ||||||
Perennial Energy Holdings Ltd. | 10,000 | 910 | ||||||
Satellite Chemical Co. Ltd. | 42,255 | 94,437 | ||||||
Shaanxi Xinghua Chemistry Co. Ltd. | 7,000 | 5,110 | ||||||
Shandong Fiberglass Group Co. Ltd. | 8,180 | 9,617 | ||||||
Shandong Haihua Co. Ltd. | 12,200 | 13,880 | ||||||
Shandong Head Group Co. Ltd. | 4,700 | 15,193 | ||||||
Shandong Hualu Hengsheng Chemical Co. Ltd. | 32,600 | 155,936 | ||||||
Shandong Jinjing Science & Technology Co. Ltd. | 21,800 | 27,345 | ||||||
Shanghai Chlor-Alkali Chemical Co. Ltd. | 7,000 | 9,929 | ||||||
Shenghe Resources Holding Co. Ltd. | 32,800 | 66,115 | ||||||
Shenma Industry Co. Ltd. | 13,200 | 14,787 | ||||||
Sichuan Anning Iron and Titanium Co. Ltd. | 4,600 | 22,137 | ||||||
Sichuan Hebang Biotechnology Co. Ltd. | 120,900 | 53,069 | ||||||
Sichuan Meifeng Chemical IND | 11,000 | 12,592 | ||||||
Sichuan Xinjinlu Group Co. Ltd. * | 12,100 | 10,237 | ||||||
Sichuan Yahua Industrial Group Co. Ltd. | 23,500 | 78,768 | ||||||
Suzhou TA&A Ultra Clean Technology Co. Ltd. | 11,100 | 89,433 | ||||||
Wanhua Chemical Group Co. Ltd. | 31,500 | 420,800 | ||||||
Xinjiang Xuefeng Sci-Tech Group Co. Ltd. | 12,100 | 14,491 | ||||||
Zangge Mining Co. Ltd. | 9,600 | 35,937 | ||||||
Zhejiang Jiahua Energy Chemical Industry Co. Ltd. | 19,100 | 23,062 | ||||||
Zhejiang Oceanking Development Co. Ltd. | 10,000 | 19,089 |
See Notes to Financial Statements
27 |
VANECK CHINA GROWTH LEADERS ETF
SCHEDULE OF INVESTMENTS
(continued)
Number of Shares |
Value | |||||||
Materials (continued) | ||||||||
Zhejiang Xinan Chemical Industrial Group Co. Ltd. | 19,240 | $ | 42,029 | |||||
2,846,946 | ||||||||
Media & Entertainment: 6.8% | ||||||||
37 Interactive Entertainment Network Technology Group Co. Ltd. | 33,200 | 86,524 | ||||||
G-bits Network Technology Xiamen Co. Ltd. | 800 | 36,062 | ||||||
Heilongjiang Publishing & Media Co. Ltd. | 10,600 | 15,194 | ||||||
Kingnet Network Co. Ltd. * | 33,900 | 32,126 | ||||||
Lecron Industrial Development Group Co. Ltd. * | 26,000 | 36,549 | ||||||
Shenzhen Shengxunda Technology Co. Ltd. | 1,200 | 7,260 | ||||||
Tencent Holdings Ltd. | 19,400 | 822,620 | ||||||
1,036,335 | ||||||||
Pharmaceuticals, Biotechnology & Life Sciences: 7.6% | ||||||||
Beijing Hotgen Biotech Co. Ltd. | 1,145 | 10,066 | ||||||
Beijing Wantai Biological Pharmacy Enterprise Co. Ltd. | 9,761 | 178,341 | ||||||
Changchun High & New Technology Industry Group, Inc. | 6,700 | 160,880 | ||||||
Chengdu Kanghua Biological Products Co. Ltd. | 1,700 | 20,766 | ||||||
China Medical System Holdings Ltd. | 27,000 | 42,252 | ||||||
Chongqing Zhifei Biological Products Co. Ltd. | 21,500 | 272,731 | ||||||
Daan Gene Co. Ltd. | 30,400 | 68,284 | ||||||
Getein Biotech, Inc. | 6,000 | 10,825 | ||||||
Guangdong Hybribio Biotech Co. Ltd. | 8,200 | 19,944 | ||||||
Hainan Poly Pharm Co. Ltd. | 7,500 | 26,679 | ||||||
Hangzhou Biotest Biotech Co. Ltd. | 2,383 | 15,872 | ||||||
Hubei Jumpcan Pharmaceutical Co. Ltd. | 6,300 | 24,773 | ||||||
Jenkem Technology Co. Ltd. | 604 | 13,621 | ||||||
Porton Pharma Solutions Ltd. | 6,300 | 37,121 | ||||||
Shandong WIT Dyne Health Co. Ltd. | 3,900 | 25,616 | ||||||
Shenyang Xingqi Pharmaceutical Co. Ltd. | 1,700 | 30,663 | ||||||
Tonghua Dongbao Pharmaceutical Co. Ltd. | 28,200 | 37,409 | ||||||
Xiamen Amoytop Biotech Co. Ltd. | 2,800 | 15,742 | ||||||
Zhejiang Garden Bio-Chemical High-tech Co. Ltd. | 6,900 | 14,333 | ||||||
Zhejiang NHU Co. Ltd. | 35,392 | 95,843 | ||||||
Zhejiang Orient Gene Biotech Co. Ltd. | 3,203 | 35,650 | ||||||
1,157,411 |
Number of Shares |
Value | |||||||
Real Estate: 1.6% | ||||||||
A-Living Smart City Services Co. Ltd. 144A † | 14,500 | $ | 17,377 | |||||
CIFI Ever Sunshine Services Group Ltd. † | 20,000 | 11,117 | ||||||
Country Garden Services Holdings Co. Ltd. | 45,000 | 110,398 | ||||||
Evergrande Property Services Group Ltd. 144A *∞ | 44,000 | 0 | ||||||
Longfor Group Holdings Ltd. 144A † | 31,500 | 96,937 | ||||||
Tianjin Jinbin Development Co. Ltd. * | 26,100 | 8,834 | ||||||
244,663 | ||||||||
Retailing: 0.3% | ||||||||
Easyhome New Retail Group Co. Ltd. | 56,400 | 33,298 | ||||||
Focus Technology Co. Ltd. | 4,700 | 12,217 | ||||||
45,515 | ||||||||
Semiconductors & Semiconductor Equipment: 13.3% | ||||||||
Amlogic Shanghai Co. Ltd. * | 3,600 | 36,583 | ||||||
GigaDevice Semiconductor, Inc. | 10,580 | 156,419 | ||||||
LONGi Green Energy Technology Co. Ltd. | 110,190 | 670,410 | ||||||
SG Micro Corp. | 5,100 | 126,957 | ||||||
Shanghai Bright Power Semiconductor Co. Ltd. | 1,429 | 23,073 | ||||||
Shanghai Fullhan Microelectronics Co. Ltd. | 2,500 | 18,072 | ||||||
Shenzhen Sunmoon Microelectronics Co. Ltd. | 1,566 | 10,389 | ||||||
StarPower Semiconductor Ltd. | 2,200 | 104,563 | ||||||
Suzhou Novosense Microelectronics Co. Ltd. | 2,400 | 109,876 | ||||||
Thinkon Semiconductor Jinzhou Corp. | 2,100 | 12,355 | ||||||
Unigroup Guoxin Microelectronics Co. Ltd. | 13,700 | 260,317 | ||||||
Wuxi ETEK Microelectronics Co. Ltd. | 1,020 | 8,292 | ||||||
Xinjiang Daqo New Energy Co. Ltd. | 39,400 | 270,623 | ||||||
Yangling Metron New Material, Inc. | 5,300 | 37,544 | ||||||
Yangzhou Yangjie Electronic Technology Co. Ltd. | 5,400 | 40,992 | ||||||
Zhejiang Jingsheng Mechanical & Electrical Co. Ltd. | 14,100 | 129,391 | ||||||
2,015,856 | ||||||||
Software & Services: 0.4% | ||||||||
Chinasoft International Ltd. * | 58,000 | 50,214 | ||||||
Sichuan Jiuyuan Yinhai Software Co. Ltd. | 5,000 | 10,844 | ||||||
61,058 | ||||||||
Technology Hardware & Equipment: 2.1% | ||||||||
Beijing Yuanliu Hongyuan Electronic Technology Co. Ltd. | 2,600 | 38,005 | ||||||
Eoptolink Technology, Inc. Ltd. | 9,823 | 33,641 |
See Notes to Financial Statements
28 |
Number of Shares |
Value | |||||||
Technology Hardware & Equipment (continued) | ||||||||
Maxscend Microelectronics Co. Ltd. | 6,020 | $ | 99,341 | |||||
Sihui Fuji Electronic Technology Co. Ltd. | 2,000 | 9,084 | ||||||
Suzhou Etron Technologies Co. Ltd. | 1,300 | 4,915 | ||||||
Wuxi Xinje Electric Co. Ltd. | 1,400 | 9,157 | ||||||
Yealink Network Technology Corp. Ltd. | 9,800 | 85,742 | ||||||
Zhuzhou Hongda Electronics Corp. Ltd. | 4,900 | 31,210 | ||||||
311,095 | ||||||||
Transportation: 2.1% | ||||||||
Anhui Expressway Co. Ltd. | 6,500 | 6,867 | ||||||
Antong Holdings Co. Ltd. * | 89,000 | 42,287 | ||||||
Bondex Supply Chain Management Co. Ltd. | 4,500 | 10,365 | ||||||
COSCO SHIPPING Holdings Co. Ltd. | 145,000 | 215,113 | ||||||
Eastern Air Logistics Co. Ltd. | 8,200 | 18,084 |
Number of Shares |
Value | |||||||
Transportation (continued) | ||||||||
Shanghai Zhonggu Logistics Co. Ltd. | 15,600 | $ | 32,717 | |||||
325,433 | ||||||||
Utilities: 0.2% | ||||||||
Ningbo Shimao Energy Co. Ltd. | 3,400 | 8,214 | ||||||
Xinjiang Xintai Natural Gas Co. Ltd. | 6,300 | 19,785 | ||||||
27,999 | ||||||||
Total Common Stocks (Cost: $16,930,683) |
15,199,438 | |||||||
SHORT-TERM INVESTMENT HELD AS COLLATERAL FOR SECURITIES ON LOAN: 0.0% | ||||||||
Money Market Fund: 0.0% (Cost: $8) |
||||||||
State Street Navigator Securities Lending Government Money Market Portfolio | 8 | 8 | ||||||
Total Investments: 99.9% (Cost: $16,930,691) |
15,199,446 | |||||||
Other assets less liabilities: 0.1% | 13,057 | |||||||
NET ASSETS: 100.0% | $ | 15,212,503 |
Footnotes:
* | Non-income producing |
† | Security fully or partially on loan. Total market value of securities on loan is $101,895. |
∞ | Security is valued using significant unobservable inputs that factor in discount for lack of marketability and is classified as Level 3 in the fair value hierarchy. |
144A | Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended, or otherwise restricted. These securities may be resold in transactions exempt from registration, unless otherwise noted, and the value amounted $295,597, or 1.9% of net assets. |
Summary of
Investments by Sector Excluding Collateral for Securities Loaned |
% of Investments |
Value | ||||||
Materials | 18.7 | % | $ | 2,846,946 | ||||
Consumer Staples | 16.6 | 2,522,451 | ||||||
Information Technology | 15.8 | 2,388,009 | ||||||
Health Care | 13.6 | 2,066,820 | ||||||
Energy | 9.2 | 1,400,581 | ||||||
Industrials | 8.4 | 1,277,266 | ||||||
Consumer Discretionary | 7.2 | 1,093,626 | ||||||
Communication Services | 6.8 | 1,036,335 | ||||||
Financials | 1.9 | 294,742 | ||||||
Real Estate | 1.6 | 244,663 | ||||||
Utilities | 0.2 | 27,999 | ||||||
100.0 | % | $ | 15,199,438 |
See Notes to Financial Statements
29 |
VANECK CHINA GROWTH LEADERS ETF
SCHEDULE OF INVESTMENTS
(continued)
The summary of inputs used to value the Fund’s investments as of December 31, 2022 is as follows:
Level 1 Quoted Prices |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
Value | |||||||||||||
Common Stocks | ||||||||||||||||
Banks | $ | — | $ | 82,105 | $ | — | $ | 82,105 | ||||||||
Capital Goods | — | 930,385 | — | 930,385 | ||||||||||||
Commercial & Professional Services | — | 21,448 | — | 21,448 | ||||||||||||
Consumer Durables & Apparel | — | 1,048,111 | — | 1,048,111 | ||||||||||||
Diversified Financials | — | 212,637 | — | 212,637 | ||||||||||||
Energy | — | 1,400,581 | — | 1,400,581 | ||||||||||||
Food, Beverage & Tobacco | — | 2,513,672 | — | 2,513,672 | ||||||||||||
Health Care Equipment & Services | — | 909,409 | — | 909,409 | ||||||||||||
Household & Personal Products | — | 8,779 | — | 8,779 | ||||||||||||
Industrials | — | — | 0 | 0 | ||||||||||||
Materials | — | 2,846,946 | — | 2,846,946 | ||||||||||||
Media & Entertainment | — | 1,036,335 | — | 1,036,335 | ||||||||||||
Pharmaceuticals, Biotechnology & Life Sciences | — | 1,157,411 | — | 1,157,411 | ||||||||||||
Real Estate | — | 244,663 | 0 | 244,663 | ||||||||||||
Retailing | — | 45,515 | — | 45,515 | ||||||||||||
Semiconductors & Semiconductor Equipment | — | 2,015,856 | — | 2,015,856 | ||||||||||||
Software & Services | — | 61,058 | — | 61,058 | ||||||||||||
Technology Hardware & Equipment | — | 311,095 | — | 311,095 | ||||||||||||
Transportation | — | 325,433 | — | 325,433 | ||||||||||||
Utilities | — | 27,999 | — | 27,999 | ||||||||||||
Money Market Fund | 8 | — | — | 8 | ||||||||||||
Total Investments | $ | 8 | $ | 15,199,438 | $ | 0 | $ | 15,199,446 |
See Notes to Financial Statements
30 |
SCHEDULE OF INVESTMENTS
December 31, 2022
Number of Shares |
Value | |||||||
COMMON STOCKS: 100.1% | ||||||||
Automobiles & Components: 0.3% | ||||||||
Fulin Precision Co. Ltd. * | 33,000 | $ | 68,601 | |||||
Capital Goods: 36.3% | ||||||||
Beijing Easpring Material Technology Co. Ltd. | 18,500 | 150,492 | ||||||
Contemporary Amperex Technology Co. Ltd. | 58,600 | 3,317,628 | ||||||
Dongguan Yiheda Automation Co. Ltd. | 3,460 | 32,842 | ||||||
East Group Co. Ltd. | 47,500 | 46,804 | ||||||
Eve Energy Co. Ltd. | 57,296 | 725,164 | ||||||
Gaona Aero Material Co. Ltd. | 12,200 | 80,718 | ||||||
Ginlong Technologies Co. Ltd. * | 7,850 | 203,844 | ||||||
Guangzhou Great Power Energy & Technology Co. Ltd. | 14,200 | 159,618 | ||||||
Hunan Zhongke Electric Co. Ltd. | 28,200 | 83,564 | ||||||
JL Mag Rare-Earth Co. Ltd. | 16,300 | 68,800 | ||||||
Luoyang Xinqianglian Slewing Bearing Co. Ltd. | 8,200 | 63,222 | ||||||
Qingdao TGOOD Electric Co. Ltd. | 28,700 | 63,029 | ||||||
Shenzhen Inovance Technology Co. Ltd. | 84,485 | 846,961 | ||||||
Shenzhen Yinghe Technology Co. Ltd. | 16,000 | 40,731 | ||||||
Sungrow Power Supply Co. Ltd. | 45,900 | 739,879 | ||||||
Sunwoda Electronic Co. Ltd. | 62,700 | 191,113 | ||||||
Suzhou Maxwell Technologies Co. Ltd. | 4,040 | 239,832 | ||||||
Wuxi Lead Intelligent Equipment Co. Ltd. | 45,720 | 264,994 | ||||||
Xi’an Triangle Defense Co. Ltd. | 12,500 | 68,633 | ||||||
7,387,868 | ||||||||
Commercial & Professional Services: 1.3% | ||||||||
Beijing Originwater Technology Co. Ltd. | 84,000 | 57,349 | ||||||
Centre Testing International Group Co. Ltd. | 65,100 | 209,513 | ||||||
266,862 | ||||||||
Consumer Durables & Apparel: 0.3% | ||||||||
Huali Industrial Group Co. Ltd. | 7,000 | 57,733 | ||||||
Consumer Services: 0.7% | ||||||||
Songcheng Performance Development Co. Ltd. | 67,321 | 141,914 | ||||||
Diversified Financials: 7.2% | ||||||||
East Money Information Co. Ltd. | 477,120 | 1,332,717 | ||||||
Hithink RoyalFlush Information Network Co. Ltd. | 9,300 | 132,237 | ||||||
1,464,954 | ||||||||
Food, Beverage & Tobacco: 4.2% | ||||||||
Wens Foodstuffs Group Co. Ltd. | 244,060 | 691,701 | ||||||
Yihai Kerry Arawana Holdings Co. Ltd. | 25,900 | 162,710 | ||||||
854,411 |
Number of Shares |
Value | |||||||
Health Care Equipment & Services: 12.1% | ||||||||
Aier Eye Hospital Group Co. Ltd. | 137,762 | $ | 617,089 | |||||
Dian Diagnostics Group Co. Ltd. | 21,600 | 78,372 | ||||||
Guangzhou Wondfo Biotech Co. Ltd. | 11,600 | 53,451 | ||||||
Intco Medical Technology Co. Ltd. | 20,020 | 60,830 | ||||||
Jafron Biomedical Co. Ltd. | 20,000 | 89,454 | ||||||
Lepu Medical Technology Beijing Co. Ltd. | 56,313 | 186,615 | ||||||
Ovctek China, Inc. | 20,900 | 107,667 | ||||||
Shenzhen Mindray Bio-Medical Electronics Co. Ltd. | 21,200 | 965,932 | ||||||
Shenzhen New Industries Biomedical Engineering Co. Ltd. | 13,300 | 96,142 | ||||||
Tofflon Science & Technology Group Co. Ltd. | 11,600 | 39,720 | ||||||
Winner Medical Co. Ltd. | 5,200 | 53,692 | ||||||
Winning Health Technology Group Co. Ltd. | 80,666 | 119,848 | ||||||
2,468,812 | ||||||||
Household & Personal Products: 1.4% | ||||||||
By-health Co. Ltd. | 45,500 | 149,707 | ||||||
Yunnan Botanee Bio- Technology Group Co. Ltd. | 5,800 | 124,752 | ||||||
274,459 | ||||||||
Materials: 7.8% | ||||||||
CNGR Advanced Material Co. Ltd. | 8,900 | 84,150 | ||||||
Ganzhou Teng Yuan Cobalt New Material Co. Ltd. | 2,200 | 21,883 | ||||||
Huabao Flavours & Fragrances Co. Ltd. | 5,600 | 19,003 | ||||||
Hubei Dinglong Co. Ltd. | 31,800 | 97,732 | ||||||
Hubei Feilihua Quartz Glass Co. Ltd. | 18,900 | 150,221 | ||||||
Nanjing Hanrui Cobalt Co. Ltd. | 10,300 | 59,536 | ||||||
Shandong Dongyue | ||||||||
Organosilicon Material Co. Ltd. | 15,500 | 26,112 | ||||||
Shandong Sinocera Functional Material Co. Ltd. | 35,800 | 142,442 | ||||||
Shandong Weifang Rainbow Chemical Co. Ltd. | 4,200 | 52,820 | ||||||
Shenzhen Capchem Technology Co. Ltd. | 21,800 | 136,757 | ||||||
Shenzhen Dynanonic Co. Ltd. | 5,360 | 177,517 | ||||||
Shenzhen Senior Technology Material Co. Ltd. | 45,691 | 140,070 | ||||||
Sinofibers Technology Co. Ltd. | 15,700 | 111,326 | ||||||
Sunresin New Materials Co. Ltd. | 7,400 | 74,277 | ||||||
Suzhou TA&A Ultra Clean Technology Co. Ltd. | 18,000 | 145,025 | ||||||
Weihai Guangwei Composites Co. Ltd. | 13,700 | 142,828 | ||||||
1,581,699 |
See Notes to Financial Statements
31 |
VANECK CHINEXT ETF
SCHEDULE OF INVESTMENTS
(continued)
Number of Shares |
Value | |||||||
Media & Entertainment: 1.3% | ||||||||
Beijing Enlight Media Co. Ltd. | 49,442 | $ | 61,817 | |||||
Kunlun Tech Co. Ltd. | 34,200 | 71,017 | ||||||
Mango Excellent Media Co. Ltd. | 28,470 | 123,167 | ||||||
256,001 | ||||||||
Pharmaceuticals, Biotechnology & Life Sciences: 12.5% | ||||||||
Anhui Anke Biotechnology Group Co. Ltd. | 49,400 | 66,775 | ||||||
Betta Pharmaceuticals Co. Ltd. | 11,300 | 80,419 | ||||||
BGI Genomics Co. Ltd. | 10,700 | 79,913 | ||||||
China Resources Boya Bio-pharmaceutical Group Co. Ltd. | 13,100 | 69,149 | ||||||
Chongqing Zhifei Biological Products Co. Ltd. | 34,869 | 442,318 | ||||||
Hangzhou Tigermed Consulting Co. Ltd. | 24,159 | 364,598 | ||||||
Imeik Technology Development Co. Ltd. | 4,100 | 334,763 | ||||||
PharmaBlock Sciences Nanjing, Inc. | 7,200 | 83,550 | ||||||
Pharmaron Beijing Co. Ltd. | 23,850 | 233,923 | ||||||
Porton Pharma Solutions Ltd. | 15,400 | 90,750 | ||||||
Shenzhen Kangtai Biological Products Co. Ltd. | 26,720 | 121,477 | ||||||
Sino Biological, Inc. | 2,600 | 37,445 | ||||||
Walvax Biotechnology Co. Ltd. | 74,400 | 430,781 | ||||||
Zhejiang Wolwo Bio- Pharmaceutical Co. Ltd. | 12,600 | 100,210 | ||||||
2,536,071 | ||||||||
Semiconductors & Semiconductor Equipment: 6.0% | ||||||||
Hangzhou Chang Chuan Technology Co. Ltd. | 15,600 | 100,372 | ||||||
Ingenic Semiconductor Co. Ltd. | 11,100 | 112,887 | ||||||
Risen Energy Co. Ltd. * | 29,900 | 106,995 | ||||||
SG Micro Corp. | 10,550 | 262,615 | ||||||
Shenzhen SC New Energy Technology Corp. | 11,100 | 182,381 | ||||||
Wuhan DR Laser Technology Corp. Ltd. | 3,600 | 65,435 |
Number of Shares |
Value | |||||||
Semiconductors & Semiconductor Equipment (continued) | ||||||||
Yangling Metron New Material, Inc. | 7,040 | $ | 49,869 | |||||
Yangzhou Yangjie Electronic Technology Co. Ltd. | 11,800 | 89,546 | ||||||
Zhejiang Jingsheng Mechanical & Electrical Co. Ltd. | 27,100 | 248,674 | ||||||
1,218,774 | ||||||||
Software & Services: 2.6% | ||||||||
Beijing Sinnet Technology Co. Ltd. | 63,000 | 74,172 | ||||||
Longshine Technology Group Co. Ltd. | 21,900 | 69,505 | ||||||
Sangfor Technologies, Inc. | 10,600 | 172,486 | ||||||
Thunder Software Technology Co. Ltd. | 14,500 | 209,721 | ||||||
525,884 | ||||||||
Technology Hardware & Equipment: 6.1% | ||||||||
Anker Innovations Technology Co. Ltd. | 7,100 | 60,734 | ||||||
Chaozhou Three-Circle Group Co. Ltd. | 56,900 | 252,142 | ||||||
Lens Technology Co. Ltd. | 89,268 | 135,541 | ||||||
Leyard Optoelectronic Co. Ltd. | 92,700 | 75,678 | ||||||
Maxscend Microelectronics Co. Ltd. | 14,021 | 231,234 | ||||||
Shenzhen Sunway Communication Co. Ltd. | 37,101 | 88,375 | ||||||
Wuhan Raycus Fiber Laser Technologies Co. Ltd. * | 13,310 | 45,439 | ||||||
Wuhu Token Science Co. Ltd. | 93,900 | 80,866 | ||||||
Yealink Network Technology Corp. Ltd. | 14,900 | 130,363 | ||||||
Zhongji Innolight Co. Ltd. | 26,500 | 103,337 | ||||||
Zhuzhou Hongda Electronics Corp. Ltd. | 6,100 | 38,855 | ||||||
1,242,564 | ||||||||
Total Common Stocks (Cost: $17,606,453) |
20,346,607 | |||||||
Total Investments: 100.1% (Cost: $17,606,453) |
20,346,607 | |||||||
Liabilities in excess of other assets: (0.1)% | (21,891 | ) | ||||||
NET ASSETS: 100.0% | $ | 20,324,716 |
Footnotes:
* | Non-income producing |
See Notes to Financial Statements
32 |
Summary of Investments by Sector | % of Investments |
Value | ||||||
Industrials | 37.6 | % | $ | 7,654,730 | ||||
Health Care | 24.6 | 5,004,883 | ||||||
Information Technology | 14.7 | 2,987,222 | ||||||
Materials | 7.8 | 1,581,699 | ||||||
Financials | 7.2 | 1,464,954 | ||||||
Consumer Staples | 5.5 | 1,128,870 | ||||||
Consumer Discretionary | 1.3 | 268,248 | ||||||
Communication Services | 1.3 | 256,001 | ||||||
100.0 | % | $ | 20,346,607 |
The summary of inputs used to value the Fund’s investments as of December 31, 2022 is as follows:
Level 1 Quoted Prices |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
Value | |||||||||||||
Common Stocks * | $ | — | $ | 20,346,607 | $ | — | $ | 20,346,607 |
* | See Schedule of Investments for industry sector breakouts. |
See Notes to Financial Statements
33 |
SCHEDULE OF INVESTMENTS
December 31, 2022
Number of Shares |
Value | |||||||
COMMON STOCKS: 100.0% | ||||||||
Capital Goods: 0.7% | ||||||||
IndiaMart InterMesh Ltd. 144A | 183 | $ | 9,537 | |||||
Commercial & Professional Services: 2.0% | ||||||||
L&T Technology Services Ltd. 144A | 630 | 28,016 | ||||||
Consumer Durables & Apparel: 1.2% | ||||||||
Dixon Technologies India Ltd. | 355 | 16,721 | ||||||
Consumer Services: 2.1% | ||||||||
MakeMyTrip Ltd. * | 1,043 | 28,756 | ||||||
Diversified Financials: 1.5% | ||||||||
ICICI Securities Ltd. 144A | 1,925 | 11,561 | ||||||
Indian Energy Exchange Ltd. 144A | 5,359 | 9,052 | ||||||
20,613 | ||||||||
Energy: 8.1% | ||||||||
Reliance Industries Ltd. 144A (GDR) | 1,827 | 112,076 | ||||||
Insurance: 1.0% | ||||||||
PB Fintech Ltd. * | 2,680 | 14,498 | ||||||
Media & Entertainment: 5.4% | ||||||||
Affle India Ltd. * | 795 | 10,384 | ||||||
Info Edge India Ltd. | 1,365 | 64,812 | ||||||
75,196 | ||||||||
Retailing: 2.6% | ||||||||
Zomato Ltd. * | 50,977 | 36,544 | ||||||
Software & Services: 58.7% | ||||||||
Coforge Ltd. | 364 | 17,101 | ||||||
Cyient Ltd. | 1,867 | 18,269 | ||||||
Happiest Minds Technologies Ltd. | 876 | 9,318 |
Number of Shares |
Value | |||||||
Software & Services (continued) | ||||||||
HCL Technologies Ltd. | 6,535 | $ | 81,954 | |||||
Infosys Ltd. (ADR) | 6,025 | 108,510 | ||||||
KPIT Technologies Ltd. | 4,087 | 34,712 | ||||||
LTIMindtree Ltd. 144A | 1,156 | 60,936 | ||||||
Mphasis Ltd. | 2,058 | 49,018 | ||||||
One 97 Communications Ltd. * | 3,871 | 24,831 | ||||||
Oracle Financial Services Software Ltd. | 515 | 18,808 | ||||||
Persistent Systems Ltd. | 930 | 43,477 | ||||||
Tanla Platforms Ltd. | 1,653 | 14,229 | ||||||
Tata Consultancy Services Ltd. | 2,494 | 98,081 | ||||||
Tata Elxsi Ltd. | 371 | 28,157 | ||||||
Tech Mahindra Ltd. | 5,586 | 68,504 | ||||||
Wipro Ltd. (ADR) | 16,390 | 76,377 | ||||||
WNS Holdings Ltd. (ADR) * | 799 | 63,912 | ||||||
816,194 | ||||||||
Technology Hardware & Equipment: 2.0% | ||||||||
Redington Ltd. | 13,009 | 28,390 | ||||||
Telecommunication Services: 13.5% | ||||||||
Bharti Airtel Ltd. | 9,388 | 91,298 | ||||||
Indus Towers Ltd. | 16,070 | 36,897 | ||||||
Tata Communications Ltd. | 1,699 | 26,135 | ||||||
Tata Teleservices Maharashtra Ltd. * | 11,657 | 13,017 | ||||||
Vodafone Idea Ltd. * | 199,508 | 18,984 | ||||||
186,331 | ||||||||
Transportation: 1.2% | ||||||||
Delhivery Ltd. * | 4,334 | 17,357 | ||||||
Total Common Stocks (Cost: $1,747,837) |
1,390,229 | |||||||
Total Investments: 100.0% (Cost: $1,747,837) |
1,390,229 | |||||||
Liabilities in excess of other assets: 0.0% | (612 | ) | ||||||
NET ASSETS: 100.0% | $ | 1,389,617 |
Definitions:
ADR | American Depositary Receipt |
GDR | Global Depositary Receipt |
Footnotes:
* | Non-income producing |
144A | Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended, or otherwise restricted. These securities may be resold in transactions exempt from registration, unless otherwise noted, and the value amounted $231,178, or 16.6% of net assets. |
Summary of Investments by Sector | % of Investments |
Value | ||||||
Information Technology | 60.7 | % | $ | 844,587 | ||||
Communication Services | 18.8 | 261,527 | ||||||
Energy | 8.1 | 112,075 | ||||||
Consumer Discretionary | 5.9 | 82,020 | ||||||
Industrials | 4.0 | 54,910 | ||||||
Financials | 2.5 | 35,110 | ||||||
100.0 | % | $ | 1,390,229 |
See Notes to Financial Statements
34 |
The summary of inputs used to value the Fund’s investments as of December 31, 2022 is as follows:
Level 1 Quoted Prices |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
Value | |||||||||||||
Common Stocks | ||||||||||||||||
Capital Goods | $ | — | $ | 9,537 | $ | — | $ | 9,537 | ||||||||
Commercial & Professional Services | — | 28,016 | — | 28,016 | ||||||||||||
Consumer Durables & Apparel | — | 16,721 | — | 16,721 | ||||||||||||
Consumer Services | 28,756 | — | — | 28,756 | ||||||||||||
Diversified Financials | — | 20,613 | — | 20,613 | ||||||||||||
Energy | — | 112,076 | — | 112,076 | ||||||||||||
Insurance | — | 14,498 | — | 14,498 | ||||||||||||
Media & Entertainment | — | 75,196 | — | 75,196 | ||||||||||||
Retailing | — | 36,544 | — | 36,544 | ||||||||||||
Software & Services | 248,799 | 567,395 | — | 816,194 | ||||||||||||
Technology Hardware & Equipment | — | 28,390 | — | 28,390 | ||||||||||||
Telecommunication Services | — | 186,331 | — | 186,331 | ||||||||||||
Transportation | — | 17,357 | — | 17,357 | ||||||||||||
Total Investments | $ | 277,555 | $ | 1,112,674 | $ | — | $ | 1,390,229 |
See Notes to Financial Statements
35 |
SCHEDULE OF INVESTMENTS
December 31, 2022
Number of Shares |
Value | |||||||
COMMON STOCKS: 100.1% | ||||||||
Automobiles & Components: 1.5% | ||||||||
Ghabbour Auto | 1,611,582 | $ | 347,918 | |||||
Banks: 7.2% | ||||||||
Commercial International Bank Egypt SAE (GDR) | 1,373,790 | 1,640,861 | ||||||
Capital Goods: 4.5% | ||||||||
ElSewedy Electric Co. * | 2,125,077 | 1,033,047 | ||||||
Consumer Durables & Apparel: 2.3% | ||||||||
Oriental Weavers | 1,280,025 | 537,760 | ||||||
Consumer Services: 3.6% | ||||||||
Cairo Investment & Real Estate Development Co. SAE | 1,570,244 | 824,741 | ||||||
Diversified Financials: 6.9% | ||||||||
Egyptian Financial Group-Hermes Holding Co. * | 1,451,457 | 1,048,356 | ||||||
Egyptian Financial Group-Hermes Holding Co. (GDR) * | 462,969 | 532,414 | ||||||
1,580,770 | ||||||||
Energy: 4.6% | ||||||||
Capricorn Energy Plc * | 336,203 | 1,058,768 | ||||||
Food, Beverage & Tobacco: 8.1% | ||||||||
Eastern Co. SAE | 3,219,937 | 1,863,900 | ||||||
Health Care Equipment & Services: 4.9% | ||||||||
Cleopatra Hospital * | 3,871,074 | 834,910 | ||||||
Ibnsina Pharma SAE | 3,325,605 | 290,176 | ||||||
1,125,086 | ||||||||
Materials: 23.7% | ||||||||
Abou Kir Fertilizers & Chemical Industries | 967,311 | 1,518,553 |
Number of Shares |
Value | |||||||
Materials (continued) | ||||||||
Alexandria Mineral Oils Co. | 2,627,574 | $ | 673,069 | |||||
Centamin Plc | 783,216 | 1,064,928 | ||||||
Egypt Kuwait Holding Co. SAE | 726,790 | 928,691 | ||||||
Ezz Steel Co. SAE | 776,683 | 731,218 | ||||||
Sidi Kerir Petrochemicals Co. * | 969,968 | 513,836 | ||||||
5,430,295 | ||||||||
Real Estate: 16.3% | ||||||||
Emaar Misr for Development SAE * | 3,237,702 | 406,197 | ||||||
Heliopolis Housing * | 2,055,540 | 660,929 | ||||||
Medinet Nasr Housing * | 6,581,926 | 864,697 | ||||||
Palm Hills Developments SAE | 6,687,710 | 529,866 | ||||||
Talaat Moustafa Group | 3,164,392 | 1,275,462 | ||||||
3,737,151 | ||||||||
Retailing: 1.1% | ||||||||
MM Group for Industry & International Trade SAE * | 1,382,189 | 262,198 | ||||||
Software & Services: 10.4% | ||||||||
E-Finance for Digital & Financial Investments | 1,764,187 | 1,356,894 | ||||||
Fawry for Banking & Payment Technology Services SAE * | 4,806,818 | 1,020,053 | ||||||
2,376,947 | ||||||||
Telecommunication Services: 5.0% | ||||||||
Telecom Egypt Co. | 1,135,948 | 1,151,795 | ||||||
Total Common Stocks (Cost: $23,089,541) |
22,971,237 | |||||||
Total Investments: 100.1% (Cost: $23,089,541) |
22,971,237 | |||||||
Liabilities in excess of other assets: (0.1)% | (14,419 | ) | ||||||
NET ASSETS: 100.0% | $ | 22,956,818 |
Definitions:
GDR | Global Depositary Receipt |
Footnotes:
* | Non-income producing |
Summary of Investments by Sector | % of Investments |
Value | ||||||
Materials | 23.6 | % | $ | 5,430,295 | ||||
Real Estate | 16.3 | 3,737,151 | ||||||
Financials | 14.1 | 3,221,631 | ||||||
Information Technology | 10.4 | 2,376,947 | ||||||
Consumer Discretionary | 8.5 | 1,972,617 | ||||||
Consumer Staples | 8.1 | 1,863,900 | ||||||
Communication Services | 5.0 | 1,151,795 | ||||||
Health Care | 4.9 | 1,125,086 | ||||||
Energy | 4.6 | 1,058,768 | ||||||
Industrials | 4.5 | 1,033,047 | ||||||
100.0 | % | $ | 22,971,237 |
See Notes to Financial Statements
36 |
The summary of inputs used to value the Fund’s investments as of December 31, 2022 is as follows:
Level 1 Quoted Prices |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
Value | |||||||||||||
Common Stocks | ||||||||||||||||
Automobiles & Components | $ | — | $ | 347,918 | $ | — | $ | 347,918 | ||||||||
Banks | — | 1,640,861 | — | 1,640,861 | ||||||||||||
Capital Goods | — | 1,033,047 | — | 1,033,047 | ||||||||||||
Consumer Durables & Apparel | 537,760 | — | — | 537,760 | ||||||||||||
Consumer Services | — | 824,741 | — | 824,741 | ||||||||||||
Diversified Financials | 1,580,770 | — | — | 1,580,770 | ||||||||||||
Energy | 1,058,768 | — | — | 1,058,768 | ||||||||||||
Food, Beverage & Tobacco | — | 1,863,900 | — | 1,863,900 | ||||||||||||
Health Care Equipment & Services | 290,176 | 834,910 | — | 1,125,086 | ||||||||||||
Materials | — | 5,430,295 | — | 5,430,295 | ||||||||||||
Real Estate | — | 3,737,151 | — | 3,737,151 | ||||||||||||
Retailing | — | 262,198 | — | 262,198 | ||||||||||||
Software & Services | — | 2,376,947 | — | 2,376,947 | ||||||||||||
Telecommunication Services | — | 1,151,795 | — | 1,151,795 | ||||||||||||
Total Investments | $ | 3,467,474 | $ | 19,503,763 | $ | — | $ | 22,971,237 |
See Notes to Financial Statements
37 |
VANECK INDIA GROWTH LEADERS ETF
CONSOLIDATED SCHEDULE OF INVESTMENTS
December 31, 2022
Number of Shares |
Value | |||||||
COMMON STOCKS: 99.9% | ||||||||
Automobiles & Components: 0.5% | ||||||||
FIEM Industries Ltd. | 1,605 | $ | 33,597 | |||||
Mahindra CIE Automotive Ltd. | 35,645 | 147,846 | ||||||
Minda Corp. Ltd. | 26,029 | 64,202 | ||||||
245,645 | ||||||||
Capital Goods: 12.0% | ||||||||
Apar Industries Ltd. | 6,523 | 141,423 | ||||||
Astral Ltd. | 33,684 | 798,288 | ||||||
Bharat Electronics Ltd. | 1,411,647 | 1,703,301 | ||||||
Grindwell Norton Ltd. | 19,329 | 416,671 | ||||||
Hindustan Aeronautics Ltd. | 33,646 | 1,028,627 | ||||||
J Kumar Infraprojects Ltd. | 13,416 | 44,035 | ||||||
Jamna Auto Industries Ltd. | 74,071 | 93,662 | ||||||
Kajaria Ceramics Ltd. | 35,120 | 491,143 | ||||||
KEI Industries Ltd. | 22,816 | 403,036 | ||||||
Schaeffler India Ltd. | 14,885 | 493,996 | ||||||
Timken India Ltd. | 9,131 | 342,600 | ||||||
Voltamp Transformers Ltd. | 3,067 | 102,674 | ||||||
6,059,456 | ||||||||
Consumer Durables & Apparel: 3.3% | ||||||||
Gokaldas Exports Ltd. * | 17,145 | 75,609 | ||||||
KPR Mill Ltd. | 38,005 | 236,975 | ||||||
Mirza International Ltd. * | 16,281 | 48,457 | ||||||
Monte Carlo Fashions Ltd. | 2,044 | 17,047 | ||||||
Page Industries Ltd. | 2,160 | 1,116,562 | ||||||
Vardhman Textiles Ltd. * | 45,174 | 179,910 | ||||||
1,674,560 | ||||||||
Consumer Services: 0.2% | ||||||||
Easy Trip Planners Ltd. * | 186,914 | 118,872 | ||||||
Diversified Financials: 1.5% | ||||||||
Angel One Ltd. | 14,695 | 232,365 | ||||||
CRISIL Ltd. | 8,573 | 317,259 | ||||||
ICICI Securities Ltd. 144A | 34,109 | 204,842 | ||||||
754,466 | ||||||||
Energy: 12.9% | ||||||||
Coal India Ltd. | 888,463 | 2,417,019 | ||||||
Great Eastern Shipping Co. Ltd. | 35,793 | 290,319 | ||||||
Oil & Natural Gas Corp. Ltd. | 1,534,649 | 2,731,793 | ||||||
Oil India Ltd. | 153,714 | 388,097 | ||||||
Petronet LNG Ltd. | 319,966 | 832,226 | ||||||
6,659,454 | ||||||||
Food, Beverage & Tobacco: 8.0% | ||||||||
Dwarikesh Sugar Industries Ltd. | 45,260 | 57,413 | ||||||
ITC Ltd. | 630,434 | 2,523,470 | ||||||
Radico Khaitan Ltd. | 100 | 1,222 | ||||||
Varun Beverages Ltd. | 97,461 | 1,555,357 | ||||||
4,137,462 | ||||||||
Materials: 29.8% | ||||||||
Balaji Amines Ltd. | 3,989 | 130,417 | ||||||
Castrol India Ltd. | 202,373 | 301,000 | ||||||
Clean Science & Technology Ltd. | 7,767 | 139,337 | ||||||
Coromandel International Ltd. | 49,399 | 529,231 | ||||||
Deepak Fertilisers & Petrochemicals Corp. Ltd. | 26,241 | 226,451 | ||||||
Deepak Nitrite Ltd. | 28,854 | 690,581 | ||||||
EID Parry India Ltd. | 32,356 | 222,259 |
Number of Shares |
Value | |||||||
Materials (continued) | ||||||||
Fine Organic Industries Ltd. | 3,237 | $ | 224,422 | |||||
Fineotex Chemical Ltd. | 10,926 | 33,303 | ||||||
GHCL Ltd. | 24,430 | 150,411 | ||||||
Gujarat Alkalies & Chemicals Ltd. | 7,965 | 73,620 | ||||||
Gujarat Narmada Valley Fertilizers & Chemicals Ltd. | 37,854 | 254,178 | ||||||
Gujarat State Fertilizers & Chemicals Ltd. | 93,594 | 157,853 | ||||||
Hindalco Industries Ltd. | 491,021 | 2,807,129 | ||||||
Jindal Steel & Power Ltd. | 174,209 | 1,221,880 | ||||||
JK Paper Ltd. | 30,849 | 152,169 | ||||||
Meghmani Finechem Ltd. * | 5,006 | 75,461 | ||||||
National Aluminium Co. Ltd. | 370,362 | 359,715 | ||||||
NMDC Ltd. | 473,691 | 703,782 | ||||||
NMDC Steel Ltd. * | 447,321 | 208,169 | ||||||
PCBL Ltd. | 71,442 | 111,779 | ||||||
PI Industries Ltd. | 34,478 | 1,423,902 | ||||||
Polyplex Corp. Ltd. | 5,638 | 108,308 | ||||||
Rain Industries Ltd. | 75,959 | 155,951 | ||||||
Sharda Cropchem Ltd. | 9,087 | 56,436 | ||||||
Sumitomo Chemical India Ltd. | 52,535 | 309,853 | ||||||
Tata Steel Ltd. | 1,931,039 | 2,630,090 | ||||||
Tinplate Co. of India Ltd. | 10,163 | 41,072 | ||||||
Vedanta Ltd. | 492,866 | 1,834,403 | ||||||
West Coast Paper Mills Ltd. | 11,930 | 75,264 | ||||||
15,408,426 | ||||||||
Media & Entertainment: 4.3% | ||||||||
Affle India Ltd. * | 20,051 | 261,895 | ||||||
Brightcom Group Ltd. | 636,872 | 225,351 | ||||||
Chennai Super Kings Cricket Ltd. *∞ ø | 1,298,085 | 1,526,697 | ||||||
Sun TV Network Ltd. | 34,269 | 201,281 | ||||||
2,215,224 | ||||||||
Pharmaceuticals, Biotechnology & Life Sciences: 11.5% | ||||||||
Ajanta Pharma Ltd. | 16,008 | 234,327 | ||||||
Divi’s Laboratories Ltd. | 53,810 | 2,216,366 | ||||||
Laurus Labs Ltd. 144A | 143,415 | 649,101 | ||||||
Sun Pharmaceutical Industries Ltd. | 234,287 | 2,833,233 | ||||||
5,933,027 | ||||||||
Software & Services: 15.4% | ||||||||
Coforge Ltd. | 15,389 | 722,989 | ||||||
Happiest Minds Technologies Ltd. | 17,069 | 181,554 | ||||||
Infosys Ltd. (ADR) | 141,266 | 2,544,201 | ||||||
LTIMindtree Ltd. 144A | 37,427 | 1,972,880 | ||||||
Mastek Ltd. | 5,400 | 111,373 | ||||||
Persistent Systems Ltd. | 21,665 | 1,012,833 | ||||||
Tanla Platforms Ltd. | 26,679 | 229,653 | ||||||
Tata Elxsi Ltd. | 14,834 | 1,125,832 | ||||||
7,901,315 | ||||||||
Transportation: 0.5% | ||||||||
Allcargo Logistics Ltd. | 27,374 | 133,329 |
See Notes to Financial Statements
38 |
Number of Shares |
Value | |||||||
Transportation (continued) | ||||||||
VRL Logistics Ltd. | 11,956 | $ | 78,035 | |||||
211,364 | ||||||||
Total Common
Stocks (Cost: $47,460,393) |
51,319,271 | |||||||
Total Investments: 99.9% (Cost: $47,460,393) |
51,319,271 | |||||||
Other assets less liabilities: 0.1% | 51,638 | |||||||
NET ASSETS: 100.0% | $ | 51,370,909 |
Definitions: | |
ADR | American Depositary Receipt |
Footnotes: | |
* | Non-income producing |
∞ | Security is valued using significant unobservable inputs that factor in discount for lack of marketability and is classified as Level 3 in the fair value hierarchy. |
ø | Restricted Security – the aggregate value of restricted securities is $1,526,697, or 3.0% of net assets |
144A | Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended, or otherwise restricted. These securities may be resold in transactions exempt from registration, unless otherwise noted, and the value amounted $2,826,823, or 5.5% of net assets. |
Restricted securities held by the Fund as of December 31, 2022 are as follows:
Security | Acquisition Date |
Number of Shares |
Acquisition Cost |
Value | % of Net Assets | ||||||
Chennai Super Kings Cricket Ltd. | 10/08/2015 | 1,298,085 | $35,108 | $1,526,697 | 3.0 | % |
Summary of Investments by Sector | % of Investments |
Value | ||||||
Materials | 30.0 | % | $ | 15,408,425 | ||||
Information Technology | 15.4 | 7,901,315 | ||||||
Energy | 13.0 | 6,659,454 | ||||||
Industrials | 12.2 | 6,270,820 | ||||||
Health Care | 11.5 | 5,933,026 | ||||||
Consumer Staples | 8.1 | 4,137,462 | ||||||
Communication Services | 4.3 | 2,215,225 | ||||||
Consumer Discretionary | 4.0 | 2,039,078 | ||||||
Financials | 1.5 | 754,466 | ||||||
100.0 | % | $ | 51,319,271 |
See Notes to Financial Statements
39 |
VANECK INDIA GROWTH LEADERS ETF
CONSOLIDATED SCHEDULE OF INVESTMENTS
(continued)
The summary of inputs used to value the Fund’s investments as of December 31, 2022 is as follows:
Level 1 Quoted Prices |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
Value | |||||||||||||
Common Stocks | ||||||||||||||||
Automobiles & Components | $ | — | $ | 245,645 | $ | — | $ | 245,645 | ||||||||
Capital Goods | — | 6,059,456 | — | 6,059,456 | ||||||||||||
Consumer Durables & Apparel | — | 1,674,560 | — | 1,674,560 | ||||||||||||
Consumer Services | — | 118,872 | — | 118,872 | ||||||||||||
Diversified Financials | — | 754,466 | — | 754,466 | ||||||||||||
Energy | — | 6,659,454 | — | 6,659,454 | ||||||||||||
Food, Beverage & Tobacco | — | 4,137,462 | — | 4,137,462 | ||||||||||||
Materials | — | 15,408,426 | — | 15,408,426 | ||||||||||||
Media & Entertainment | — | 688,527 | 1,526,697 | 2,215,224 | ||||||||||||
Pharmaceuticals, Biotechnology & Life Sciences | — | 5,933,027 | — | 5,933,027 | ||||||||||||
Software & Services | 2,544,201 | 5,357,114 | — | 7,901,315 | ||||||||||||
Transportation | — | 211,364 | — | 211,364 | ||||||||||||
Total Investments | $ | 2,544,201 | $ | 47,248,373 | $ | 1,526,697 | $ | 51,319,271 |
The following table reconciles the valuation of the Fund’s Level 3 investment securities and related transactions during the year ended December 31, 2022:
Common Stock | ||||
Balance as of December 31, 2021 | $ | 1,021,381 | ||
Realized gain (loss) | – | |||
Net change in unrealized appreciation (depreciation) | 505,316 | |||
Purchases | – | |||
Sales | – | |||
Transfers in/out of level 3 | – | |||
Balance as of December 31, 2022 | $ | 1,526,697 |
The following table presents additional information about valuation methodologies and inputs used for investments that are measured at fair value and categorized within Level 3 as of December 31, 2022:
Value
as of December 31, 2022 |
Valuation Technique |
Unobservable Input Description(1) |
Unobservable Input |
Impact
to Valuation from an Increase in Input(2) | ||||||
Common Stock | ||||||||||
Media & Entertainment | $1,526,697 | Market Approach | Revenue Multiple | 16x – 18x | Increase | |||||
Discount
for lack of marketability |
17½% | Decrease | ||||||||
Discount
for lack of control |
20% | Decrease |
(1) In determining certain of these inputs, management evaluates a variety of factors including economic condition, industry and market developments, market valuations of comparable companies and company specific developments. |
(2) This column represents the directional change in the fair value of the Level 3 investments that would result from an increase to the corresponding unobservable input. A decrease to the unobservable input would have the opposite effect. Significant increases or decreases in these inputs in isolation could result in significantly higher or lower fair value measurements. |
See Notes to Financial Statements
40 |
SCHEDULE OF INVESTMENTS
December 31, 2022
Number of Shares |
Value | |||||||
COMMON STOCKS: 99.8% | ||||||||
Automobiles & Components: 6.1% | ||||||||
Astra International Tbk PT | 5,458,500 | $ | 1,997,536 | |||||
Banks: 29.0% | ||||||||
Allo Bank Indonesia Tbk PT * | 962,900 | 109,087 | ||||||
Bank Aladin Syariah Tbk PT * | 1,712,900 | 155,693 | ||||||
Bank Central Asia Tbk PT | 4,931,000 | 2,703,855 | ||||||
Bank Jago Tbk PT * | 1,146,100 | 273,541 | ||||||
Bank Mandiri Persero Tbk PT | 3,514,102 | 2,240,922 | ||||||
Bank Negara Indonesia Persero Tbk PT | 2,203,632 | 1,305,580 | ||||||
Bank Rakyat Indonesia Persero Tbk PT | 8,753,533 | 2,775,309 | ||||||
9,563,987 | ||||||||
Capital Goods: 1.8% | ||||||||
Jardine Cycle & Carriage Ltd. † | 27,988 | 596,790 | ||||||
Diversified Financials: 0.4% | ||||||||
BFI Finance Indonesia Tbk PT | 2,169,800 | 146,945 | ||||||
Energy: 12.9% | ||||||||
Adaro Energy Indonesia Tbk PT | 4,724,500 | 1,170,319 | ||||||
Banpu PCL (NVDR) | 2,372,629 | 937,885 | ||||||
Bukit Asam Tbk PT | 1,157,100 | 274,421 | ||||||
Bumi Resources Tbk PT * | 82,269,800 | 850,839 | ||||||
Indo Tambangraya Megah Tbk PT | 116,800 | 293,347 | ||||||
United Tractors Tbk PT | 440,769 | 738,850 | ||||||
4,265,661 | ||||||||
Food & Staples Retailing: 3.0% | ||||||||
Sumber Alfaria Trijaya Tbk PT | 5,765,400 | 982,586 | ||||||
Food, Beverage & Tobacco: 7.4% | ||||||||
Charoen Pokphand Indonesia Tbk PT | 2,131,400 | 773,678 | ||||||
First Pacific Co. Ltd. | 601,250 | 179,103 | ||||||
Golden Agri-Resources Ltd. | 1,086,400 | 202,483 | ||||||
Gudang Garam Tbk PT | 136,400 | 157,765 | ||||||
Indofood CBP Sukses Makmur Tbk PT | 654,600 | 420,347 | ||||||
Indofood Sukses Makmur Tbk PT | 1,296,900 | 560,621 | ||||||
Japfa Comfeed Indonesia Tbk PT | 1,558,900 | 129,625 | ||||||
2,423,622 | ||||||||
Health Care Equipment & Services: 1.0% | ||||||||
Mitra Keluarga Karyasehat Tbk PT | 1,599,297 | 327,378 | ||||||
Household & Personal Products: 1.5% | ||||||||
Unilever Indonesia Tbk PT | 1,690,500 | 510,656 | ||||||
Materials: 14.5% | ||||||||
Aneka Tambang Tbk | 2,484,700 | 316,197 | ||||||
Avia Avian Tbk PT | 4,575,500 | 185,166 | ||||||
Barito Pacific Tbk PT | 8,065,116 | 391,045 | ||||||
Berkah Beton Sadaya Tbk PT | 8,641,000 | 410,749 | ||||||
Bumi Resources Minerals Tbk PT * | 23,874,400 | 243,965 | ||||||
Chandra Asri Petrochemical Tbk PT | 2,044,536 | 337,489 | ||||||
Indah Kiat Pulp & Paper Tbk PT | 759,600 | 425,615 |
Number of Shares |
Value | |||||||
Materials (continued) | ||||||||
Indocement Tunggal Prakarsa Tbk PT | 532,900 | $ | 338,835 | |||||
Merdeka Copper Gold Tbk PT * | 3,703,795 | 978,516 | ||||||
Nickel Industries Ltd. † | 435,701 | 287,154 | ||||||
Pabrik Kertas Tjiwi Kimia Tbk PT | 367,900 | 166,537 | ||||||
Semen Indonesia Persero Tbk PT | 981,062 | 414,304 | ||||||
Vale Indonesia Tbk PT * | 616,400 | 280,394 | ||||||
4,775,966 | ||||||||
Media & Entertainment: 0.9% | ||||||||
Elang Mahkota Teknologi Tbk PT | 4,522,900 | 298,909 | ||||||
Pharmaceuticals, Biotechnology & Life Sciences: 2.4% | ||||||||
Kalbe Farma Tbk PT | 5,816,000 | 780,778 | ||||||
Real Estate: 1.7% | ||||||||
Bumi Serpong Damai Tbk PT * | 2,501,700 | 147,706 | ||||||
Ciputra Development Tbk PT | 2,576,995 | 155,633 | ||||||
Pakuwon Jati Tbk PT | 4,410,400 | 129,151 | ||||||
Summarecon Agung Tbk PT | 3,218,700 | 124,842 | ||||||
557,332 | ||||||||
Retailing: 5.1% | ||||||||
Bukalapak.com PT Tbk * | 16,136,300 | 270,882 | ||||||
GoTo Gojek Tokopedia Tbk PT * | 244,504,200 | 1,418,463 | ||||||
1,689,345 | ||||||||
Telecommunication Services: 10.2% | ||||||||
Indosat Tbk PT | 333,500 | 132,370 | ||||||
Sarana Menara Nusantara Tbk PT | 6,178,900 | 436,797 | ||||||
Smartfren Telecom Tbk PT * | 32,544,500 | 138,223 | ||||||
Telkom Indonesia Persero Tbk PT (ADR) † | 92,361 | 2,202,810 | ||||||
Tower Bersama Infrastructure Tbk PT | 1,807,200 | 266,959 | ||||||
XL Axiata Tbk PT | 1,235,575 | 169,824 | ||||||
3,346,983 | ||||||||
Transportation: 0.8% | ||||||||
Jasa Marga Persero Tbk PT * | 643,250 | 123,106 | ||||||
Transcoal Pacific Tbk PT | 295,400 | 150,864 | ||||||
273,970 | ||||||||
Utilities: 1.1% | ||||||||
Perusahaan Gas Negara Tbk PT | 3,079,300 | 347,959 | ||||||
Total Common
Stocks (Cost: $43,125,132) |
32,886,403 | |||||||
SHORT-TERM
INVESTMENT HELD AS COLLATERAL FOR SECURITIES ON LOAN: 0.7% |
||||||||
Money Market Fund: 0.7% |
See Notes to Financial Statements
41 |
VANECK INDONESIA INDEX ETF
SCHEDULE OF INVESTMENTS
(continued)
Number of Shares |
Value | |||||||
(Cost: $214,156) | ||||||||
State Street Navigator Securities Lending Government Money Market Portfolio | 214,156 | $ | 214,156 | |||||
Total Investments: 100.5% (Cost: $43,339,288) |
33,100,559 | |||||||
Liabilities in excess of other assets: (0.5)% | (162,993 | ) | ||||||
NET ASSETS: 100.0% | $ | 32,937,566 |
Definitions: | |
ADR | American Depositary Receipt |
NVDR | Non-Voting Depositary Receipt |
Footnotes: | |
* | Non-income producing |
† | Security fully or partially on loan. Total market value of securities on loan is $1,005,397. |
Summary of Investments
by Sector Excluding Collateral for Securities Loaned |
% of Investments |
Value | ||||||
Financials | 29.5 | % | $ | 9,710,932 | ||||
Materials | 14.5 | 4,775,966 | ||||||
Energy | 13.0 | 4,265,661 | ||||||
Consumer Staples | 11.9 | 3,916,864 | ||||||
Consumer Discretionary | 11.2 | 3,686,881 | ||||||
Communication Services | 11.1 | 3,645,892 | ||||||
Health Care | 3.4 | 1,108,156 | ||||||
Industrials | 2.6 | 870,760 | ||||||
Real Estate | 1.7 | 557,332 | ||||||
Utilities | 1.1 | 347,959 | ||||||
100.0 | % | $ | 32,886,403 |
See Notes to Financial Statements
42 |
The summary of inputs used to value the Fund’s investments as of December 31, 2022 is as follows:
Level 1 Quoted Prices |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
Value | |||||||||||||
Common Stocks | ||||||||||||||||
Automobiles & Components | $ | — | $ | 1,997,536 | $ | — | $ | 1,997,536 | ||||||||
Banks | 155,693 | 9,408,294 | — | 9,563,987 | ||||||||||||
Capital Goods | — | 596,790 | — | 596,790 | ||||||||||||
Diversified Financials | — | 146,945 | — | 146,945 | ||||||||||||
Energy | 850,839 | 3,414,822 | — | 4,265,661 | ||||||||||||
Food & Staples Retailing | — | 982,586 | — | 982,586 | ||||||||||||
Food, Beverage & Tobacco | — | 2,423,622 | — | 2,423,622 | ||||||||||||
Health Care Equipment & Services | — | 327,378 | — | 327,378 | ||||||||||||
Household & Personal Products | — | 510,656 | — | 510,656 | ||||||||||||
Materials | 595,915 | 4,180,051 | — | 4,775,966 | ||||||||||||
Media & Entertainment | — | 298,909 | — | 298,909 | ||||||||||||
Pharmaceuticals, Biotechnology & Life Sciences | — | 780,778 | — | 780,778 | ||||||||||||
Real Estate | — | 557,332 | — | 557,332 | ||||||||||||
Retailing | — | 1,689,345 | — | 1,689,345 | ||||||||||||
Telecommunication Services | 2,202,810 | 1,144,173 | — | 3,346,983 | ||||||||||||
Transportation | — | 273,970 | — | 273,970 | ||||||||||||
Utilities | — | 347,959 | — | 347,959 | ||||||||||||
Money Market Fund | 214,156 | — | — | 214,156 | ||||||||||||
Total Investments | $ | 4,019,413 | $ | 29,081,146 | $ | — | $ | 33,100,559 |
See Notes to Financial Statements
43 |
SCHEDULE OF INVESTMENTS
December 31, 2022
Number of Shares |
Value | |||||||
COMMON STOCKS: 100.0% | ||||||||
Automobiles & Components: 0.8% | ||||||||
Mobileye Global, Inc. * | 13,384 | $ | 469,243 | |||||
Banks: 17.5% | ||||||||
Bank Hapoalim BM | 340,120 | 3,050,783 | ||||||
Bank Leumi Le-Israel BM | 413,725 | 3,432,749 | ||||||
FIBI Holdings Ltd. | 5,773 | 238,812 | ||||||
First International Bank Of Israel Ltd. | 13,274 | 521,563 | ||||||
Israel Discount Bank Ltd. | 331,507 | 1,733,776 | ||||||
Mizrahi Tefahot Bank Ltd. | 41,872 | 1,346,296 | ||||||
10,323,979 | ||||||||
Capital Goods: 4.2% | ||||||||
Ashtrom Group Ltd. | 8,928 | 166,870 | ||||||
Elbit Systems Ltd. † | 6,920 | 1,135,157 | ||||||
Elco Ltd. | 2,396 | 122,156 | ||||||
Electra Ltd. | 325 | 174,840 | ||||||
Kornit Digital Ltd. * | 14,186 | 325,853 | ||||||
Leonardo DRS, Inc. * | 14,122 | 180,479 | ||||||
Shapir Engineering and Industry Ltd. | 25,452 | 199,988 | ||||||
Shikun & Binui Ltd. * | 56,379 | 156,714 | ||||||
2,462,057 | ||||||||
Commercial & Professional Services: 0.2% | ||||||||
Danel Adir Yeoshua Ltd. | 1,201 | 93,915 | ||||||
Consumer Durables & Apparel: 0.4% | ||||||||
Delta Galil Ltd. | 3,311 | 138,047 | ||||||
Maytronics Ltd. | 12,617 | 125,020 | ||||||
263,067 | ||||||||
Consumer Services: 0.4% | ||||||||
888 Holdings Plc * | 110,528 | 116,094 | ||||||
Fattal Holdings 1998 Ltd. * | 1,585 | 133,090 | ||||||
249,184 | ||||||||
Diversified Financials: 1.5% | ||||||||
Isracard Ltd. | 55,022 | 159,644 | ||||||
Plus500 Ltd. | 27,384 | 591,562 | ||||||
Tel Aviv Stock Exchange Ltd. | 25,645 | 153,254 | ||||||
904,460 | ||||||||
Energy: 2.3% | ||||||||
Delek Group Ltd. * | 3,177 | 346,793 | ||||||
Energean Plc | 33,822 | 528,711 | ||||||
Oil Refineries Ltd. | 652,644 | 227,911 | ||||||
Paz Oil Co. Ltd. * | 1,839 | 228,458 | ||||||
1,331,873 | ||||||||
Food & Staples Retailing: 0.7% | ||||||||
Rami Levy Chain Stores Hashikma Marketing 2006 Ltd. | 2,430 | 169,280 | ||||||
Shufersal Ltd. | 38,751 | 222,221 | ||||||
391,501 | ||||||||
Food, Beverage & Tobacco: 0.5% | ||||||||
Strauss Group Ltd. | 11,446 | 301,480 | ||||||
Health Care Equipment & Services: 4.1% | ||||||||
Inmode Ltd. * | 25,365 | 905,531 | ||||||
Nano-X Imaging Ltd. * | 15,780 | 116,456 | ||||||
Novocure Ltd. * † | 16,377 | 1,201,253 | ||||||
OPKO Health, Inc. * † | 144,164 | 180,205 | ||||||
2,403,445 |
Number of Shares |
Value | |||||||
Insurance: 2.9% | ||||||||
Clal Insurance Enterprises Holdings Ltd. * | 18,340 | $ | 307,419 | |||||
Harel Insurance Investments & Financial Services Ltd. | 37,952 | 332,162 | ||||||
Lemonade, Inc. * † | 16,424 | 224,680 | ||||||
Menora Mivtachim Holdings Ltd. | 7,137 | 138,074 | ||||||
Migdal Insurance & Financial Holdings Ltd. * | 128,706 | 146,306 | ||||||
Phoenix Holdings Ltd. | 51,380 | 545,955 | ||||||
1,694,596 | ||||||||
Materials: 3.1% | ||||||||
ICL Group Ltd. | 192,419 | 1,406,583 | ||||||
Israel Corp. Ltd. | 1,280 | 447,714 | ||||||
1,854,297 | ||||||||
Media & Entertainment: 1.4% | ||||||||
Perion Network Ltd. * | 13,636 | 344,991 | ||||||
Playtika Holding Corp. * | 24,501 | 208,503 | ||||||
Taboola.com Ltd. * † | 51,562 | 158,811 | ||||||
Tremor International Ltd. (ADR) * † | 14,007 | 90,345 | ||||||
802,650 | ||||||||
Pharmaceuticals, Biotechnology & Life Sciences: 5.3% | ||||||||
Taro Pharmaceutical Industries Ltd. * | 2,805 | 81,457 | ||||||
Teva Pharmaceutical Industries Ltd. (ADR) * | 331,551 | 3,023,745 | ||||||
3,105,202 | ||||||||
Real Estate: 5.3% | ||||||||
Airport City Ltd. * | 15,593 | 248,755 | ||||||
Alony Hetz Properties & Investments Ltd. | 34,751 | 352,784 | ||||||
Amot Investments Ltd. | 44,627 | 261,133 | ||||||
Azrieli Group Ltd. | 12,342 | 819,940 | ||||||
Big Shopping Centers Ltd. * | 2,845 | 290,062 | ||||||
Gav-Yam Lands Corp. Ltd. | 9,462 | 73,659 | ||||||
Israel Canada T.R Ltd. | 30,794 | 66,534 | ||||||
Mega Or Holdings Ltd. | 2,844 | 77,682 | ||||||
Melisron Ltd. | 6,766 | 483,228 | ||||||
Mivne Real Estate KD Ltd. | 112,094 | 355,171 | ||||||
Summit Real Estate Holdings Ltd. | 7,770 | 98,043 | ||||||
3,126,991 | ||||||||
Retailing: 1.8% | ||||||||
Delek Automotive Systems Ltd. | 10,856 | 126,693 | ||||||
Fiverr International Ltd. * † | 9,949 | 289,914 | ||||||
Fox Wizel Ltd. | 1,343 | 121,814 | ||||||
Global-e Online Ltd. * | 22,293 | 460,128 | ||||||
Tadiran Group Ltd. | 874 | 87,015 | ||||||
1,085,564 | ||||||||
Semiconductors & Semiconductor Equipment: 12.2% | ||||||||
Camtek Ltd. * † | 7,980 | 175,241 | ||||||
CEVA, Inc. * | 5,742 | 146,880 | ||||||
Nova Ltd. * † | 7,909 | 646,007 | ||||||
SolarEdge Technologies, Inc. * | 17,065 | 4,834,003 |
See Notes to Financial Statements
44 |
Number of Shares |
Value | |||||||
Semiconductors & Semiconductor Equipment (continued) | ||||||||
Tower Semiconductor Ltd. * | 32,715 | $ | 1,413,288 | |||||
7,215,419 | ||||||||
Software & Services: 27.5% | ||||||||
Amdocs Ltd. | 28,961 | 2,632,555 | ||||||
Check Point Software Technologies Ltd. * | 29,780 | 3,757,045 | ||||||
CyberArk Software Ltd. * | 12,017 | 1,558,004 | ||||||
Formula Systems 1985 Ltd. | 1,143 | 82,308 | ||||||
Hilan Ltd. | 3,031 | 149,703 | ||||||
JFrog Ltd. * | 22,454 | 478,944 | ||||||
LivePerson, Inc. * † | 14,565 | 147,689 | ||||||
Magic Software Enterprises Ltd. | 6,159 | 97,620 | ||||||
Matrix IT Ltd. | 7,467 | 155,123 | ||||||
Monday.com Ltd. * | 5,181 | 632,082 | ||||||
Nice Ltd. (ADR) * † | 16,164 | 3,108,337 | ||||||
One Software Technologies Ltd. | 7,521 | 104,468 | ||||||
Payoneer Global, Inc. * † | 60,586 | 331,405 | ||||||
Sapiens International Corp. NV | 9,747 | 180,124 | ||||||
SentinelOne, Inc. * † | 52,496 | 765,917 | ||||||
Varonis Systems, Inc. * | 24,677 | 590,767 | ||||||
Verint Systems, Inc. * | 14,157 | 513,616 | ||||||
Wix.com Ltd. * | 11,965 | 919,271 | ||||||
16,204,978 | ||||||||
Technology Hardware & Equipment: 1.5% | ||||||||
AudioCodes Ltd. | 7,437 | 133,048 | ||||||
Gilat Satellite Networks Ltd. * † | 15,171 | 87,992 | ||||||
Nano Dimension Ltd. (ADR) * † | 84,407 | 194,136 | ||||||
Radware Ltd. * | 11,052 | 218,277 | ||||||
Stratasys Ltd. * | 18,492 | 219,315 | ||||||
852,768 |
Number of Shares |
Value | |||||||
Telecommunication Services: 2.5% | ||||||||
Bezeq The Israeli Telecommunication Corp. Ltd. | 684,851 | $ | 1,170,406 | |||||
Cellcom Israel Ltd. * | 22,372 | 116,877 | ||||||
Partner Communications Co. Ltd. * | 25,268 | 182,151 | ||||||
1,469,434 | ||||||||
Transportation: 0.8% | ||||||||
ZIM Integrated Shipping Services Ltd. † | 27,782 | 477,573 | ||||||
Utilities: 3.1% | ||||||||
Energix-Renewable Energies Ltd. | 63,183 | 198,366 | ||||||
Enlight Renewable Energy Ltd. * | 189,529 | 383,958 | ||||||
Kenon Holdings Ltd. | 5,118 | 167,986 | ||||||
OPC Energy Ltd. * | 15,226 | 169,620 | ||||||
Ormat Technologies, Inc. | 10,457 | 904,321 | ||||||
1,824,251 | ||||||||
Total
Common Stocks (Cost: $50,380,123) |
58,907,927 | |||||||
SHORT-TERM INVESTMENT HELD AS COLLATERAL FOR SECURITIES ON LOAN: 1.7% | ||||||||
Money Market Fund: 1.7% (Cost: $1,025,144) |
||||||||
State Street Navigator Securities Lending Government Money Market Portfolio | 1,025,144 | 1,025,144 | ||||||
Total Investments:
101.7% (Cost: $51,405,267) |
59,933,071 | |||||||
Liabilities in excess of other assets: (1.7)% | (1,011,942 | ) | ||||||
NET ASSETS: 100.0% | $ | 58,921,129 |
Definitions:
ADR | American Depositary Receipt |
Footnotes:
* | Non-income producing |
† | Security fully or partially on loan. Total market value of securities on loan is $6,492,363. |
Summary of
Investments by Sector Excluding Collateral for Securities Loaned |
% of Investments |
Value | ||||||
Information Technology | 41.2 | % | $ | 24,273,165 | ||||
Financials | 21.9 | 12,923,035 | ||||||
Health Care | 9.4 | 5,508,647 | ||||||
Real Estate | 5.3 | 3,126,991 | ||||||
Industrials | 5.2 | 3,033,545 | ||||||
Communication Services | 3.9 | 2,272,084 | ||||||
Consumer Discretionary | 3.4 | 2,067,058 | ||||||
Materials | 3.1 | 1,854,297 | ||||||
Utilities | 3.1 | 1,824,251 | ||||||
Energy | 2.3 | 1,331,873 | ||||||
Consumer Staples | 1.2 | 692,981 | ||||||
100.0 | % | $ | 58,907,927 |
See Notes to Financial Statements
45 |
VANECK ISRAEL ETF
SCHEDULE OF INVESTMENTS
(continued)
The summary of inputs used to value the Fund’s investments as of December 31, 2022 is as follows:
Level 1 Quoted Prices |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
Value | |||||||||||||
Common Stocks | ||||||||||||||||
Automobiles & Components | $ | 469,243 | $ | — | $ | — | $ | 469,243 | ||||||||
Banks | — | 10,323,979 | — | 10,323,979 | ||||||||||||
Capital Goods | 1,641,489 | 820,568 | — | 2,462,057 | ||||||||||||
Commercial & Professional Services | — | 93,915 | — | 93,915 | ||||||||||||
Consumer Durables & Apparel | — | 263,067 | — | 263,067 | ||||||||||||
Consumer Services | — | 249,184 | — | 249,184 | ||||||||||||
Diversified Financials | — | 904,460 | — | 904,460 | ||||||||||||
Energy | — | 1,331,873 | — | 1,331,873 | ||||||||||||
Food & Staples Retailing | — | 391,501 | — | 391,501 | ||||||||||||
Food, Beverage & Tobacco | — | 301,480 | — | 301,480 | ||||||||||||
Health Care Equipment & Services | 2,403,445 | — | — | 2,403,445 | ||||||||||||
Insurance | 224,680 | 1,469,916 | — | 1,694,596 | ||||||||||||
Materials | 1,406,583 | 447,714 | — | 1,854,297 | ||||||||||||
Media & Entertainment | 802,650 | — | — | 802,650 | ||||||||||||
Pharmaceuticals, Biotechnology & Life Sciences | 3,105,202 | — | — | 3,105,202 | ||||||||||||
Real Estate | — | 3,126,991 | — | 3,126,991 | ||||||||||||
Retailing | 750,042 | 335,522 | — | 1,085,564 | ||||||||||||
Semiconductors & Semiconductor Equipment | 7,215,419 | — | — | 7,215,419 | ||||||||||||
Software & Services | 15,713,376 | 491,602 | — | 16,204,978 | ||||||||||||
Technology Hardware & Equipment | 852,768 | — | — | 852,768 | ||||||||||||
Telecommunication Services | — | 1,469,434 | — | 1,469,434 | ||||||||||||
Transportation | 477,573 | — | — | 477,573 | ||||||||||||
Utilities | 904,321 | 919,930 | — | 1,824,251 | ||||||||||||
Money Market Fund | 1,025,144 | — | — | 1,025,144 | ||||||||||||
Total Investments | $ | 36,991,935 | $ | 22,941,136 | $ | — | $ | 59,933,071 |
See Notes to Financial Statements
46 |
SCHEDULE OF INVESTMENTS
December 31, 2022
Number of Shares |
Value | |||||||
COMMON STOCKS: 99.5% | ||||||||
Banks: 6.2% | ||||||||
Bank for Foreign Trade of Vietnam JSC * | 5,373,545 | $ | 18,248,108 | |||||
Saigon - Hanoi Commercial Joint Stock Bank * | 12,770,500 | 5,390,152 | ||||||
Saigon Thuong Tin Commercial JSB * | 2,140,400 | 2,041,692 | ||||||
25,679,952 | ||||||||
Capital Goods: 4.9% | ||||||||
Development Investment Construction JSC * | 5,309,986 | 3,215,570 | ||||||
Gelex Group JSC | 6,446,564 | 3,370,388 | ||||||
Ha Do Group JSC | 1,481,120 | 1,968,692 | ||||||
Hoang Huy Investment Financial Services JSC | 6,070,120 | 1,746,589 | ||||||
IDICO Corp. JSC | 2,747,710 | 3,694,694 | ||||||
JAKS Resources Bhd * | 33,413,900 | 1,781,981 | ||||||
Tasco JSC * | 3,233,000 | 1,933,629 | ||||||
Vietnam Construction and Import-Export JSC | 3,402,190 | 2,487,809 | ||||||
20,199,352 | ||||||||
Consumer Durables & Apparel: 13.1% | ||||||||
Eclat Textile Co. Ltd. | 1,234,160 | 19,812,074 | ||||||
Feng TAY Enterprise Co. Ltd. | 3,123,000 | 20,922,604 | ||||||
Hansae Co. Ltd. † | 312,545 | 3,837,643 | ||||||
Taiwan Paiho Ltd. | 5,094,000 | 9,394,527 | ||||||
53,966,848 | ||||||||
Diversified Financials: 8.0% | ||||||||
Sai Gon-Ha Noi Securities JSC * | 6,617,850 | 2,358,004 | ||||||
SSI Securities Corp. | 17,475,408 | 13,079,375 | ||||||
Viet Capital Securities JSC | 5,439,550 | 5,350,941 | ||||||
VIX Securities JSC | 9,364,780 | 2,570,512 | ||||||
VNDirect Securities Corp. | 17,057,480 | 9,739,839 | ||||||
33,098,671 | ||||||||
Energy: 1.3% | ||||||||
PetroVietnam Drilling & Well Services JSC * | 3,471,588 | 2,627,355 | ||||||
PetroVietnam Technical Services Corp. | 2,895,000 | 2,627,911 | ||||||
5,255,266 | ||||||||
Food, Beverage & Tobacco: 18.1% | ||||||||
HAGL JSC * | 8,249,000 | 3,200,267 | ||||||
Hoang Anh Gia Lai International Agriculture JSC * | 10,070,400 | 1,776,346 | ||||||
KIDO Group Corp. | 1,265,630 | 3,489,542 | ||||||
Masan Group Corp. | 5,119,776 | 20,187,170 | ||||||
Saigon Beer Alcohol Beverage Corp. | 1,213,000 | 8,589,964 | ||||||
Thanh Thanh Cong - Bien Hoa JSC * | 6,544,081 | 4,021,574 | ||||||
Vietnam Dairy Products JSC | 8,775,241 | 28,324,458 |
Number of Shares |
Value | |||||||
Food, Beverage & Tobacco (continued) | ||||||||
Vinh Hoan Corp. | 1,736,000 | $ | 5,130,541 | |||||
74,719,862 | ||||||||
Health Care Equipment & Services: 4.5% | ||||||||
Mani, Inc. | 1,218,500 | 18,578,836 | ||||||
Insurance: 0.9% | ||||||||
Bao Viet Holdings | 1,826,396 | 3,607,840 | ||||||
Materials: 8.9% | ||||||||
Duc Giang Chemicals JSC | 2,444,232 | 6,104,408 | ||||||
Hoa Phat Group JSC | 31,916,297 | 24,363,854 | ||||||
Hoa Sen Group * | 4,867,140 | 2,378,116 | ||||||
Petrovietnam Fertilizer & Chemicals JSC | 2,296,700 | 4,174,353 | ||||||
37,020,731 | ||||||||
Real Estate: 21.2% | ||||||||
Khang Dien House Trading and Investment JSC * | 1,899,240 | 2,128,741 | ||||||
Kinh Bac City Development Holding Corp. * | 4,649,200 | 4,752,344 | ||||||
No Va Land Investment Group Corp. * | 14,026,058 | 8,329,366 | ||||||
Phat Dat Real Estate Development Corp. * | 5,084,400 | 2,933,100 | ||||||
Van Phu - Invest Investment JSC * | 2,015,960 | 4,602,125 | ||||||
Vincom Retail JSC * | 7,311,522 | 8,151,120 | ||||||
Vingroup JSC * | 11,619,749 | 26,470,456 | ||||||
Vinhomes JSC 144A | 14,907,067 | 30,303,048 | ||||||
87,670,300 | ||||||||
Technology Hardware & Equipment: 9.9% | ||||||||
BH Co. Ltd. * † | 506,526 | 9,023,699 | ||||||
Dreamtech Co. Ltd. * | 551,685 | 3,996,376 | ||||||
INTOPS Co. Ltd. | 217,588 | 4,790,792 | ||||||
KH Vatec Co. Ltd. * † | 339,182 | 3,746,522 | ||||||
Mcnex Co. Ltd. | 250,843 | 5,555,707 | ||||||
Seojin System Co. Ltd. * † | 482,413 | 6,708,490 | ||||||
Synopex, Inc. * | 1,269,006 | 2,503,109 | ||||||
UTI, Inc. * | 224,221 | 4,596,913 | ||||||
40,921,608 | ||||||||
Transportation: 1.5% | ||||||||
Vietjet Aviation JSC * | 1,332,640 | 6,200,180 | ||||||
Utilities: 1.0% | ||||||||
PetroVietnam Power Corp. * | 8,864,610 | 3,999,479 | ||||||
Total
Common Stocks (Cost: $420,078,920) |
410,918,925 | |||||||
EXCHANGE TRADED FUND:0.0% (Cost: $42,158) |
||||||||
DCVFMVN Diamond ETF | 62,610 | 59,573 | ||||||
Total Investments:
99.5% (Cost: $420,121,078) |
410,978,498 | |||||||
Other assets less liabilities: 0.5% | 2,091,039 | |||||||
NET ASSETS: 100.0% | $ | 413,069,537 |
See Notes to Financial Statements
47 |
VANECK VIETNAM ETF
SCHEDULE OF INVESTMENTS
(continued)
Footnotes:
* | Non-income producing |
† | Security fully or partially on loan. Total market value of securities on loan is $3,862,078. |
144A | Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended, or otherwise restricted. These securities may be resold in transactions exempt from registration, unless otherwise noted, and the value amounted $30,303,048, or 7.3% of net assets. |
Summary of Investments by Sector | % of Investments |
Value | ||||||
Real Estate | 21.3 | % | $ | 87,670,300 | ||||
Consumer Staples | 18.2 | 74,719,862 | ||||||
Financials | 15.2 | 62,386,463 | ||||||
Consumer Discretionary | 13.1 | 53,966,848 | ||||||
Information Technology | 10.0 | 40,921,608 | ||||||
Materials | 9.0 | 37,020,731 | ||||||
Industrials | 6.4 | 26,399,532 | ||||||
Health Care | 4.5 | 18,578,836 | ||||||
Energy | 1.3 | 5,255,266 | ||||||
Utilities | 1.0 | 3,999,479 | ||||||
Exchange Traded Fund | 0.0 | 59,573 | ||||||
100.0 | % | $ | 410,978,498 |
The summary of inputs used to value the Fund’s investments as of December 31, 2022 is as follows:
Level 1 Quoted Prices |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
Value | |||||||||||||
Common Stocks | ||||||||||||||||
Banks | $ | — | $ | 25,679,952 | $ | — | $ | 25,679,952 | ||||||||
Capital Goods | 5,628,323 | 14,571,029 | — | 20,199,352 | ||||||||||||
Consumer Durables & Apparel | — | 53,966,848 | — | 53,966,848 | ||||||||||||
Diversified Financials | 2,358,004 | 30,740,667 | — | 33,098,671 | ||||||||||||
Energy | 2,627,911 | 2,627,355 | — | 5,255,266 | ||||||||||||
Food, Beverage & Tobacco | 3,489,542 | 71,230,320 | — | 74,719,862 | ||||||||||||
Health Care Equipment & Services | — | 18,578,836 | — | 18,578,836 | ||||||||||||
Insurance | — | 3,607,840 | — | 3,607,840 | ||||||||||||
Materials | — | 37,020,731 | — | 37,020,731 | ||||||||||||
Real Estate | 11,262,466 | 76,407,834 | — | 87,670,300 | ||||||||||||
Technology Hardware & Equipment | — | 40,921,608 | — | 40,921,608 | ||||||||||||
Transportation | — | 6,200,180 | — | 6,200,180 | ||||||||||||
Utilities | — | 3,999,479 | — | 3,999,479 | ||||||||||||
Exchange Traded Fund | — | 59,573 | — | 59,573 | ||||||||||||
Total Investments | $ | 25,366,246 | $ | 385,612,252 | $ | — | $ | 410,978,498 |
See Notes to Financial Statements
48 |
VANECK ETF TRUST
STATEMENTS OF ASSETS AND LIABILITIES
December 31, 2022
Africa Index ETF | Brazil Small-Cap ETF |
China Growth Leaders ETF |
ChiNext ETF | |||||||||||||
Assets: | ||||||||||||||||
Investments, at value (1) | ||||||||||||||||
Unaffiliated issuers (2) | $ | 45,744,163 | $ | 25,246,010 | $ | 15,199,438 | $ | 20,346,607 | ||||||||
Short-term investments held as collateral for securities loaned (3) | 1,102,056 | 1,315,000 | 8 | — | ||||||||||||
Cash | — | 233,062 | 41,567 | — | ||||||||||||
Cash denominated in foreign currency, at value (4) | 3,973,280 | 982,523 | 31,338 | 93,494 | (a) | |||||||||||
Receivables: | ||||||||||||||||
Shares of beneficial interest sold | 40,327 | — | — | — | ||||||||||||
Due from Adviser | — | — | 23,492 | 37,518 | ||||||||||||
Dividends and interest | 11,065 | 77,605 | 2,589 | — | ||||||||||||
Prepaid expenses | 1,234 | 1,104 | 1,046 | 1,111 | ||||||||||||
Total assets | 50,872,125 | 27,855,304 | 15,299,478 | 20,478,730 | ||||||||||||
Liabilities: | ||||||||||||||||
Payables: | ||||||||||||||||
Investment securities purchased | 26,673 | 1,204,450 | — | — | ||||||||||||
Collateral for securities loaned | 1,102,056 | 1,315,000 | 8 | — | ||||||||||||
Line of credit | 1,999,836 | — | — | — | ||||||||||||
Due to Adviser | 20,262 | 10,464 | — | — | ||||||||||||
Due to custodian | 1,763,285 | — | — | 73,296 | ||||||||||||
Deferred Trustee fees | 12,276 | 33,084 | 5,349 | 1,184 | ||||||||||||
Accrued expenses | 87,687 | 67,551 | 81,618 | 79,534 | ||||||||||||
Total liabilities | 5,012,075 | 2,630,549 | 86,975 | 154,014 | ||||||||||||
NET ASSETS | $ | 45,860,050 | $ | 25,224,755 | $ | 15,212,503 | $ | 20,324,716 | ||||||||
Shares outstanding | 2,900,000 | 1,850,000 | 600,000 | 650,000 | ||||||||||||
Net asset value, redemption and offering price per share | $ | 15.81 | $ | 13.64 | $ | 25.35 | $ | 31.27 | ||||||||
Net Assets consist of: | ||||||||||||||||
Aggregate paid in capital | $ | 116,281,448 | $ | 195,111,461 | $ | 20,774,307 | $ | 21,540,098 | ||||||||
Total distributable earnings (loss) | (70,421,398 | ) | (169,886,706 | ) | (5,561,804 | ) | (1,215,382 | ) | ||||||||
NET ASSETS | $ | 45,860,050 | $ | 25,224,755 | $ | 15,212,503 | $ | 20,324,716 | ||||||||
(1) Value of securities on loan | $ | 3,236,707 | $ | 1,864,249 | $ | 101,895 | $ | — | ||||||||
(2) Cost of investments - Unaffiliated issuers | $ | 44,299,767 | $ | 33,264,417 | $ | 16,930,683 | $ | 17,606,453 | ||||||||
(3) Cost of short-term investments held as collateral for securities loaned | $ | 1,102,056 | $ | 1,315,000 | $ | 8 | $ | — | ||||||||
(4) Cost of cash denominated in foreign currency | $ | 4,751,898 | $ | 982,509 | $ | 30,974 | $ | 94,540 |
(a) | Includes $21,439 on foreign investor minimum settlement reserve funds (see Note 2H). |
See Notes to Financial Statements
49 |
VANECK ETF TRUST
STATEMENTS OF ASSETS AND LIABILITIES
December 31, 2022
Digital India ETF | Egypt Index ETF | India Growth Leaders ETF (a) |
Indonesia Index ETF |
|||||||||||||
Assets: | ||||||||||||||||
Investments, at value (1) | ||||||||||||||||
Unaffiliated issuers (2) | $ | 1,390,229 | $ | 22,971,237 | $ | 51,319,271 | $ | 32,886,403 | ||||||||
Short-term investments held as collateral for securities loaned (3) | — | — | — | 214,156 | ||||||||||||
Cash | 109 | 2,432,301 | 150,040 | 179,555 | ||||||||||||
Cash denominated in foreign currency, at value (4) | 197 | 2,109,842 | 29,215 | — | ||||||||||||
Receivables: | ||||||||||||||||
Shares of beneficial interest sold | — | 8,208 | 1,210 | — | ||||||||||||
Due from Adviser | — | — | — | 177 | ||||||||||||
Dividends and interest | — | 21,351 | 6,273 | 1,255 | ||||||||||||
Prepaid expenses | — | 1,032 | 1,274 | 2,142 | ||||||||||||
Total assets | 1,390,535 | 27,543,971 | 51,507,283 | 33,283,688 | ||||||||||||
Liabilities: | ||||||||||||||||
Payables: | ||||||||||||||||
Collateral for securities loaned | — | — | — | 214,156 | ||||||||||||
Line of credit | — | 4,502,867 | — | — | ||||||||||||
Due to Adviser | 918 | 19,815 | 22,114 | — | ||||||||||||
Due to custodian | — | — | — | 17,935 | ||||||||||||
Deferred Trustee fees | — | 5,418 | 13,968 | 27,695 | ||||||||||||
Accrued expenses | — | 59,053 | 100,292 | 86,336 | ||||||||||||
Total liabilities | 918 | 4,587,153 | 136,374 | 346,122 | ||||||||||||
NET ASSETS | $ | 1,389,617 | $ | 22,956,818 | $ | 51,370,909 | $ | 32,937,566 | ||||||||
Shares outstanding | 50,000 | 1,124,974 | 1,574,967 | 1,900,000 | ||||||||||||
Net asset value, redemption and offering price per share | $ | 27.79 | $ | 20.41 | $ | 32.62 | $ | 17.34 | ||||||||
Net Assets consist of: | ||||||||||||||||
Aggregate paid in capital | $ | 1,815,466 | $ | 63,548,286 | $ | 129,541,203 | $ | 162,309,857 | ||||||||
Total distributable earnings (loss) | (425,849 | ) | (40,591,468 | ) | (78,170,294 | ) | (129,372,291 | ) | ||||||||
NET ASSETS | $ | 1,389,617 | $ | 22,956,818 | $ | 51,370,909 | $ | 32,937,566 | ||||||||
(1) Value of securities on loan | $ | — | $ | — | $ | — | $ | 1,005,397 | ||||||||
(2) Cost of investments - Unaffiliated issuers | $ | 1,747,837 | $ | 23,089,541 | $ | 47,460,393 | $ | 43,125,132 | ||||||||
(3) Cost of short-term investments held as collateral for securities loaned | $ | — | $ | — | $ | — | $ | 214,156 | ||||||||
(4) Cost of cash denominated in foreign currency | $ | 197 | $ | 2,113,268 | $ | 29,205 | $ | — |
(a) | Consolidated Statement of Assets and Liabilities |
See Notes to Financial Statements
50 |
VANECK ETF TRUST
STATEMENTS OF ASSETS AND LIABILITIES
December 31, 2022
Israel ETF | Vietnam ETF | |||||||
Assets: | ||||||||
Investments, at value (1) | ||||||||
Unaffiliated issuers (2) | $ | 58,907,927 | $ | 410,978,498 | ||||
Short-term investments held as collateral for securities loaned (3) | 1,025,144 | — | ||||||
Cash | 66,863 | 822,345 | ||||||
Cash denominated in foreign currency, at value (4) | — | 4,683,603 | ||||||
Receivables: | ||||||||
Shares of beneficial interest sold | — | 335,928 | ||||||
Dividends and interest | 17,767 | 1,565,879 | ||||||
Prepaid expenses | 2,240 | 7,122 | ||||||
Total assets | 60,019,941 | 418,393,375 | ||||||
Liabilities: | ||||||||
Payables: | ||||||||
Investment securities purchased | — | 4,882,601 | ||||||
Collateral for securities loaned | 1,025,144 | — | ||||||
Due to Adviser | 20,601 | 174,143 | ||||||
Due to custodian | 11 | — | ||||||
Deferred Trustee fees | 4,309 | 49,256 | ||||||
Accrued expenses | 48,747 | 217,838 | ||||||
Total liabilities | 1,098,812 | 5,323,838 | ||||||
NET ASSETS | $ | 58,921,129 | $ | 413,069,537 | ||||
Shares outstanding | 1,650,000 | 35,150,000 | ||||||
Net asset value, redemption and offering price per share | $ | 35.71 | $ | 11.75 | ||||
Net Assets consist of: | ||||||||
Aggregate paid in capital | $ | 60,976,162 | $ | 770,868,112 | ||||
Total distributable earnings (loss) | (2,055,033 | ) | (357,798,575 | ) | ||||
NET ASSETS | $ | 58,921,129 | $ | 413,069,537 | ||||
(1) Value of securities on loan | $ | 6,492,363 | $ | 3,862,078 | ||||
(2) Cost of investments - Unaffiliated issuers | $ | 50,380,123 | $ | 420,121,078 | ||||
(3) Cost of short-term investments held as collateral for securities loaned | $ | 1,025,144 | $ | — | ||||
(4) Cost of cash denominated in foreign currency | $ | — | $ | 4,665,956 |
See Notes to Financial Statements
51 |
VANECK ETF TRUST
For the Year Ended December 31, 2022
Africa Index ETF | Brazil Small-Cap ETF |
China Growth Leaders ETF |
ChiNext ETF | |||||||||||||
Income: | ||||||||||||||||
Dividends | $ | 2,492,044 | $ | 991,148 | $ | 453,727 | $ | 113,784 | ||||||||
Interest | 12 | — | 12,840 | 4,022 | ||||||||||||
Securities lending income | 43,967 | 39,404 | 2,817 | — | ||||||||||||
Foreign taxes withheld | (266,401 | ) | (55,287 | ) | (33,896 | ) | (11,688 | ) | ||||||||
Total income | 2,269,622 | 975,265 | 435,488 | 106,118 | ||||||||||||
Expenses: | ||||||||||||||||
Management fees | 265,905 | 147,700 | 91,730 | 124,671 | ||||||||||||
Professional fees | 39,129 | 38,969 | 33,957 | 63,391 | ||||||||||||
Custody and accounting fees | 69,993 | 43,917 | 35,056 | 45,407 | ||||||||||||
Reports to shareholders | 11,988 | 3,955 | 5,083 | 10,918 | ||||||||||||
Trustees’ fees and expenses | 1,230 | 609 | 486 | 750 | ||||||||||||
Registration fees | 5,937 | 5,937 | 4,580 | 8,270 | ||||||||||||
Insurance | 2,425 | 2,379 | 1,636 | 2,372 | ||||||||||||
Interest and taxes | 121,525 | 1,065 | 39,706 | 55,610 | ||||||||||||
Other | 3,053 | 533 | 587 | 1,489 | ||||||||||||
Total expenses | 521,185 | 245,064 | 212,821 | 312,878 | ||||||||||||
Waiver of management fees | — | (69,706 | ) | (91,730 | ) | (124,671 | ) | |||||||||
Expenses assumed by the Adviser | — | — | (10,930 | ) | (26,077 | ) | ||||||||||
Net expenses | 521,185 | 175,358 | 110,161 | 162,130 | ||||||||||||
Net investment income (loss) | 1,748,437 | 799,907 | 325,327 | (56,012 | ) | |||||||||||
Net realized gain (loss) on: | ||||||||||||||||
Investments | (4,088,310 | ) | (1,546,157 | ) | (3,715,135 | ) | (3,574,107 | ) | ||||||||
In-kind redemptions | 191,465 | 47,871 | (182,451 | ) | — | |||||||||||
Increase from payment from Advisor (See Note 3) | — | — | 22,940 | — | ||||||||||||
Foreign currency transactions and foreign denominated assets and liabilities | (168,305 | ) | (3,824 | ) | (3,812 | ) | (66,777 | ) | ||||||||
Net realized loss | (4,065,150 | ) | (1,502,110 | ) | (3,878,458 | ) | (3,640,884 | ) | ||||||||
Net change in unrealized appreciation (depreciation) on: | ||||||||||||||||
Investments | (7,790,943 | ) | (2,566,170 | ) | (4,265,341 | ) | (9,384,706 | ) | ||||||||
Foreign currency translations and foreign denominated assets and liabilities | (733,349 | ) | 2,439 | (7,025 | ) | (4,554 | ) | |||||||||
Net change in unrealized appreciation (depreciation) | (8,524,292 | ) | (2,563,731 | ) | (4,272,366 | ) | (9,389,260 | ) | ||||||||
Net Decrease in Net Assets Resulting from Operations | $ | (10,841,005 | ) | $ | (3,265,934 | ) | $ | (7,825,497 | ) | $ | (13,086,156 | ) |
See Notes to Financial Statements
52 |
VANECK ETF TRUST
STATEMENTS OF OPERATIONS
For the Year Ended December 31, 2022
Digital India ETF (a) |
Egypt Index ETF | India Growth Leaders ETF (b) |
Indonesia Index ETF |
|||||||||||||
Income: | ||||||||||||||||
Dividends | $ | 21,590 | $ | 734,155 | $ | 1,736,087 | $ | 1,918,317 | ||||||||
Interest | — | 1,475 | 2,056 | 2,233 | ||||||||||||
Securities lending income | — | 410 | — | 535 | ||||||||||||
Foreign taxes withheld | (4,122 | ) | (35,094 | ) | (363,921 | ) | (342,099 | ) | ||||||||
Total income | 17,468 | 700,946 | 1,374,222 | 1,578,986 | ||||||||||||
Expenses: | ||||||||||||||||
Management fees | 10,128 | 84,239 | 281,518 | 281,236 | ||||||||||||
Professional fees | — | 36,097 | 51,785 | 37,877 | ||||||||||||
Custody and accounting fees | — | 35,455 | 54,186 | 42,230 | ||||||||||||
Reports to shareholders | — | 4,040 | 5,196 | 4,934 | ||||||||||||
Trustees’ fees and expenses | — | 355 | 6,597 | 1,253 | ||||||||||||
Registration fees | — | 5,937 | 4,569 | 5,937 | ||||||||||||
Insurance | — | 1,508 | 2,530 | 2,295 | ||||||||||||
Interest and taxes | 118 | 50,401 | 35,199 | 663 | ||||||||||||
Other | — | 9,091 | 6,883 | 955 | ||||||||||||
Total expenses | 10,246 | 227,123 | 448,463 | 377,380 | ||||||||||||
Waiver of management fees | — | (18,353 | ) | — | (56,101 | ) | ||||||||||
Net expenses | 10,246 | 208,770 | 448,463 | 321,279 | ||||||||||||
Net investment income | 7,222 | 492,176 | 925,759 | 1,257,707 | ||||||||||||
Net realized gain (loss) on: | ||||||||||||||||
Investments | (68,176 | ) | (1,511,415 | ) | 1,428,008 | (5,494,998 | ) | |||||||||
In-kind redemptions | — | 35,058 | 485,407 | 4,472,124 | ||||||||||||
Foreign currency transactions and foreign denominated assets and liabilities | 6,212 | (270,570 | ) | (351,827 | ) | (19,579 | ) | |||||||||
Net realized gain (loss) | (61,964 | ) | (1,746,927 | ) | 1,561,588 | (1,042,453 | ) | |||||||||
Net change in unrealized appreciation (depreciation) on: | ||||||||||||||||
Investments | (357,607 | ) | (3,995,557 | ) | (19,322,983 | ) | (4,318,178 | ) | ||||||||
Foreign currency translations and foreign denominated assets and liabilities | — | (7,606 | ) | (1,991 | ) | (155 | ) | |||||||||
Net change in unrealized appreciation (depreciation) | (357,607 | ) | (4,003,163 | ) | (19,324,974 | ) | (4,318,333 | ) | ||||||||
Net Decrease in Net Assets Resulting from Operations | $ | (412,349 | ) | $ | (5,257,914 | ) | $ | (16,837,627 | ) | $ | (4,103,079 | ) |
(a) | For the period February 16, 2022 (commencement of operations) through December 31, 2022. |
(b) | Consolidated Statement of Operations |
See Notes to Financial Statements
53 |
VANECK ETF TRUST
STATEMENTS OF OPERATIONS
For the Year Ended December 31, 2022
Israel ETF | Vietnam ETF | |||||||
Income: | ||||||||
Dividends | $ | 1,650,725 | $ | 7,918,666 | ||||
Interest | 1,221 | 32,874 | ||||||
Securities lending income | 125,422 | 92,011 | ||||||
Foreign taxes withheld | (369,397 | ) | (456,178 | ) | ||||
Total income | 1,407,971 | 7,587,373 | ||||||
Expenses: | ||||||||
Management fees | 339,749 | 2,120,507 | ||||||
Professional fees | 36,128 | 57,027 | ||||||
Custody and accounting fees | 37,579 | 318,908 | ||||||
Reports to shareholders | 5,617 | 38,501 | ||||||
Trustees’ fees and expenses | 1,813 | 9,388 | ||||||
Registration fees | 5,937 | 960 | ||||||
Insurance | 3,232 | 9,911 | ||||||
Interest and taxes | 2,211 | 258,144 | ||||||
Other | 602 | 457 | ||||||
Total expenses | 432,868 | 2,813,803 | ||||||
Waiver of management fees | (29,747 | ) | — | |||||
Net expenses | 403,121 | 2,813,803 | ||||||
Net investment income | 1,004,850 | 4,773,570 | ||||||
Net realized gain (loss) on: | ||||||||
Investments | (2,646,009 | ) | (55,476,093 | ) | ||||
In-kind redemptions | 474,851 | 321,029 | ||||||
Foreign currency transactions and foreign denominated assets and liabilities | (9,595 | ) | (1,031,762 | ) | ||||
Net realized loss | (2,180,753 | ) | (56,186,826 | ) | ||||
Net change in unrealized appreciation (depreciation) on: | ||||||||
Investments | (19,705,769 | ) | (200,784,341 | ) | ||||
Foreign currency translations and foreign denominated assets and liabilities | (31 | ) | (211 | ) | ||||
Net change in unrealized appreciation (depreciation) | (19,705,800 | ) | (200,784,552 | ) | ||||
Net Decrease in Net Assets Resulting from Operations | $ | (20,881,703 | ) | $ | (252,197,808 | ) |
See Notes to Financial Statements
54 |
VANECK ETF TRUST
STATEMENTS OF CHANGES IN NET ASSETS
Africa Index ETF | Brazil Small-Cap ETF | |||||||||||||||
Year Ended December 31, 2022 |
Year Ended December 31, 2021 |
Year Ended December 31, 2022 |
Year Ended December 31, 2021 |
|||||||||||||
Operations: | ||||||||||||||||
Net investment income | $ | 1,748,437 | $ | 1,512,749 | $ | 799,907 | $ | 1,031,653 | ||||||||
Net realized gain (loss) | (4,065,150 | ) | 607,063 | (1,502,110 | ) | 4,567,945 | ||||||||||
Net change in unrealized appreciation (depreciation) | (8,524,292 | ) | (935,663 | ) | (2,563,731 | ) | (14,729,558 | ) | ||||||||
Net increase (decrease) in net assets resulting from operations | (10,841,005 | ) | 1,184,149 | (3,265,934 | ) | (9,129,960 | ) | |||||||||
Distributions to shareholders from: | ||||||||||||||||
Distributable earnings | (1,670,110 | ) | (2,475,050 | ) | (971,850 | ) | (951,015 | ) | ||||||||
Return of capital | — | — | (3,075 | ) | — | |||||||||||
Total distributions | (1,670,110 | ) | (2,475,050 | ) | (974,925 | ) | (951,015 | ) | ||||||||
Share transactions*: | ||||||||||||||||
Proceeds from sale of shares | — | 13,099,656 | 1,379,038 | 976,221 | ||||||||||||
Cost of shares redeemed | (817,849 | ) | (5,051,376 | ) | (3,800,241 | ) | (13,670,320 | ) | ||||||||
Increase (decrease) in net assets resulting from share transactions | (817,849 | ) | 8,048,280 | (2,421,203 | ) | (12,694,099 | ) | |||||||||
Total increase (decrease) in net assets | (13,328,964 | ) | 6,757,379 | (6,662,062 | ) | (22,775,074 | ) | |||||||||
Net Assets, beginning of year | 59,189,014 | 52,431,635 | 31,886,817 | 54,661,891 | ||||||||||||
Net Assets, end of year | $ | 45,860,050 | $ | 59,189,014 | $ | 25,224,755 | $ | 31,886,817 | ||||||||
*Shares of Common Stock Issued (no par value) | ||||||||||||||||
Shares sold | — | 600,000 | 100,000 | 50,000 | ||||||||||||
Shares redeemed | (50,000 | ) | (250,000 | ) | (200,000 | ) | (650,000 | ) | ||||||||
Net increase (decrease) | (50,000 | ) | 350,000 | (100,000 | ) | (600,000 | ) |
See Notes to Financial Statements
55 |
VANECK ETF TRUST
STATEMENTS OF CHANGES IN NET ASSETS
China Growth Leaders ETF | ChiNext ETF | |||||||||||||||
Year Ended December 31, 2022 |
Year Ended December 31, 2021 |
Year Ended December 31, 2022 |
Year Ended December 31, 2021 |
|||||||||||||
Operations: | ||||||||||||||||
Net investment income (loss) | $ | 325,327 | $ | 209,347 | $ | (56,012 | ) | $ | (56,408 | ) | ||||||
Net realized gain (loss) | (3,901,398 | ) | 2,246,096 | (3,640,884 | ) | 15,492,912 | ||||||||||
Increase from payment from Advisor (See Note 3) | 22,940 | — | — | 19,569 | ||||||||||||
Net change in unrealized appreciation (depreciation) | (4,272,366 | ) | (7,717,109 | ) | (9,389,260 | ) | (11,688,824 | ) | ||||||||
Net increase (decrease) in net assets resulting from operations | (7,825,497 | ) | (5,261,666 | ) | (13,086,156 | ) | 3,767,249 | |||||||||
Distributions to shareholders from: | ||||||||||||||||
Distributable earnings | (345,000 | ) | (1,404,410 | ) | — | (3,198,624 | ) | |||||||||
Return of capital | — | — | — | (601,386 | ) | |||||||||||
Total distributions | (345,000 | ) | (1,404,410 | ) | — | (3,800,010 | ) | |||||||||
Share transactions*: | ||||||||||||||||
Cost of shares redeemed | (3,181,758 | ) | (18,287,121 | ) | (7,788,438 | ) | (7,716,947 | ) | ||||||||
Decrease in net assets resulting from share transactions | (3,181,758 | ) | (18,287,121 | ) | (7,788,438 | ) | (7,716,947 | ) | ||||||||
Total decrease in net assets | (11,352,255 | ) | (24,953,197 | ) | (20,874,594 | ) | (7,749,708 | ) | ||||||||
Net Assets, beginning of year | 26,564,758 | 51,517,955 | 41,199,310 | 48,949,018 | ||||||||||||
Net Assets, end of year | $ | 15,212,503 | $ | 26,564,758 | $ | 20,324,716 | $ | 41,199,310 | ||||||||
*Shares of Common Stock Issued (no par value) | ||||||||||||||||
Shares redeemed | (100,000 | ) | (400,000 | ) | (200,000 | ) | (150,000 | ) | ||||||||
Net decrease | (100,000 | ) | (400,000 | ) | (200,000 | ) | (150,000 | ) |
See Notes to Financial Statements
56 |
VANECK ETF TRUST
STATEMENTS OF CHANGES IN NET ASSETS
Digital India ETF | Egypt Index ETF | |||||||||||
Period Ended December 31, 2022 (a) |
Year Ended December 31, 2022 |
Year Ended December 31, 2021 |
||||||||||
Operations: | ||||||||||||
Net investment income | $ | 7,222 | $ | 492,176 | $ | 629,784 | ||||||
Net realized loss | (61,964 | ) | (1,746,927 | ) | (1,215,585 | ) | ||||||
Net change in unrealized appreciation (depreciation) | (357,607 | ) | (4,003,163 | ) | 2,368,154 | |||||||
Net increase (decrease) in net assets resulting from operations | (412,349 | ) | (5,257,914 | ) | 1,782,353 | |||||||
Distributions to shareholders from: | ||||||||||||
Distributable earnings | (13,500 | ) | (300,031 | ) | (565,063 | ) | ||||||
Share transactions*: | ||||||||||||
Proceeds from sale of shares | 1,815,466 | 9,835,882 | 10,557,639 | |||||||||
Cost of shares redeemed | — | (2,992,178 | ) | (9,316,583 | ) | |||||||
Increase in net assets resulting from share transactions | 1,815,466 | 6,843,704 | 1,241,056 | |||||||||
Total increase in net assets | 1,389,617 | 1,285,759 | 2,458,346 | |||||||||
Net Assets, beginning of period | — | 21,671,059 | 19,212,713 | |||||||||
Net Assets, end of period | $ | 1,389,617 | $ | 22,956,818 | $ | 21,671,059 | ||||||
*Shares of Common Stock Issued (no par value) | ||||||||||||
Shares sold | 50,000 | 475,000 | 425,000 | |||||||||
Shares redeemed | — | (150,000 | ) | (375,000 | ) | |||||||
Net increase | 50,000 | 325,000 | 50,000 |
(a) | For the period February 16, 2022 (commencement of operations) through December 31, 2022. |
See Notes to Financial Statements
57 |
VANECK ETF TRUST
STATEMENTS OF CHANGES IN NET ASSETS
India Growth Leaders ETF (a) | Indonesia Index ETF | |||||||||||||||
Year Ended December 31, 2022 |
Year Ended December 31, 2021 |
Year Ended December 31, 2022 |
Year Ended December 31, 2021 |
|||||||||||||
Operations: | ||||||||||||||||
Net investment income | $ | 925,759 | $ | 163,404 | $ | 1,257,707 | $ | 521,549 | ||||||||
Net realized gain (loss) | 1,561,588 | 14,403,481 | (1,042,453 | ) | (5,923,730 | ) | ||||||||||
Net change in unrealized appreciation (depreciation) | (19,324,974 | ) | 4,822,915 | (4,318,333 | ) | 4,485,428 | ||||||||||
Net increase (decrease) in net assets resulting from operations | (16,837,627 | ) | 19,389,800 | (4,103,079 | ) | (916,753 | ) | |||||||||
Distributions to shareholders from: | ||||||||||||||||
Distributable earnings | (875,052 | ) | — | (1,200,040 | ) | (570,015 | ) | |||||||||
Share transactions*: | ||||||||||||||||
Proceeds from sale of shares | 8,391,562 | 2,036,081 | 37,473,208 | 26,398,550 | ||||||||||||
Cost of shares redeemed | (17,649,066 | ) | (11,443,172 | ) | (53,056,741 | ) | (6,936,585 | ) | ||||||||
Increase (decrease) in net assets resulting from share transactions | (9,257,504 | ) | (9,407,091 | ) | (15,583,533 | ) | 19,461,965 | |||||||||
Total increase (decrease) in net assets | (26,970,183 | ) | 9,982,709 | (20,886,652 | ) | 17,975,197 | ||||||||||
Net Assets, beginning of year | 78,341,092 | 68,358,383 | 53,824,218 | 35,849,021 | ||||||||||||
Net Assets, end of year | $ | 51,370,909 | $ | 78,341,092 | $ | 32,937,566 | $ | 53,824,218 | ||||||||
*Shares of Common Stock Issued (no par value) | ||||||||||||||||
Shares sold | 250,000 | 50,000 | 1,800,000 | 1,300,000 | ||||||||||||
Shares redeemed | (500,000 | ) | (300,000 | ) | (2,600,000 | ) | (350,000 | ) | ||||||||
Net increase (decrease) | (250,000 | ) | (250,000 | ) | (800,000 | ) | 950,000 |
(a) | Consolidated Statement of Changes in Net Assets |
See Notes to Financial Statements
58 |
VANECK ETF TRUST
STATEMENTS OF CHANGES IN NET ASSETS
Israel ETF | Vietnam ETF | |||||||||||||||
Year Ended December 31, 2022 |
Year Ended December 31, 2021 |
Year Ended December 31, 2022 |
Year Ended December 31, 2021 |
|||||||||||||
Operations: | ||||||||||||||||
Net investment income | $ | 1,004,850 | $ | 463,888 | $ | 4,773,570 | $ | 3,102,974 | ||||||||
Net realized gain (loss) | (2,180,753 | ) | 5,192,896 | (56,186,826 | ) | 48,603,835 | ||||||||||
Net change in unrealized appreciation (depreciation) | (19,705,800 | ) | 1,978,244 | (200,784,552 | ) | 56,165,880 | ||||||||||
Net increase (decrease) in net assets resulting from operations | (20,881,703 | ) | 7,635,028 | (252,197,808 | ) | 107,872,689 | ||||||||||
Distributions to shareholders from: | ||||||||||||||||
Distributable earnings | (799,920 | ) | (1,025,145 | ) | (3,867,660 | ) | (2,850,715 | ) | ||||||||
Share transactions*: | ||||||||||||||||
Proceeds from sale of shares | 1,155,251 | 5,887,632 | 130,365,153 | 41,690,264 | ||||||||||||
Cost of shares redeemed | (1,016,637 | ) | (7,100,586 | ) | (51,914,363 | ) | (13,317,449 | ) | ||||||||
Increase (decrease) in net assets resulting from share transactions | 138,614 | (1,212,954 | ) | 78,450,790 | 28,372,815 | |||||||||||
Total increase (decrease) in net assets | (21,543,009 | ) | 5,396,929 | (177,614,678 | ) | 133,394,789 | ||||||||||
Net Assets, beginning of year | 80,464,138 | 75,067,209 | 590,684,215 | 457,289,426 | ||||||||||||
Net Assets, end of year | $ | 58,921,129 | $ | 80,464,138 | $ | 413,069,537 | $ | 590,684,215 | ||||||||
*Shares of Common Stock Issued (no par value) | ||||||||||||||||
Shares sold | 25,000 | 125,000 | 10,700,000 | 2,200,000 | ||||||||||||
Shares redeemed | (25,000 | ) | (150,000 | ) | (3,200,000 | ) | (650,000 | ) | ||||||||
Net increase (decrease) | — | (25,000 | ) | 7,500,000 | 1,550,000 |
See Notes to Financial Statements
59 |
VANECK ETF TRUST
For a share outstanding throughout each year:
(a) | Calculated based upon average shares outstanding |
(b) | The amount shown does not correspond with the aggregate net gain (loss) on investments for the period due to the timing of sales and repurchase of shares in relation to fluctuating market values of the investments of the Fund. |
(c) | Returns include adjustments in accordance with U.S. Generally Accepted Accounting Principles. Net asset values and returns for financial reporting purposes may differ from those for shareholder transactions. |
(d) | Portfolio turnover rate excludes in-kind transactions. |
See Notes to Financial Statements
60 |
VANECK ETF TRUST
FINANCIAL HIGHLIGHTS
For a share outstanding throughout each year:
(a) | Calculated based upon average shares outstanding |
(b) | For the year ended December 31, 2019, 0.55% of total return, representing $0.11 per share, consisted of a payment from the Adviser (See Note 3). |
(c) | Amount represents less than $0.005 per share. |
(d) | Returns include adjustments in accordance with U.S. Generally Accepted Accounting Principles. Net asset values and returns for financial reporting purposes may differ from those for shareholder transactions. |
(e) | The ratios presented do not reflect the Fund’s proportionate share of income and expenses from the Fund’s investment in underlying funds. |
(f) | Portfolio turnover rate excludes in-kind transactions. |
See Notes to Financial Statements
61 |
VANECK ETF TRUST
FINANCIAL HIGHLIGHTS
For a share outstanding throughout each year:
(a) | Calculated based upon average shares outstanding |
(b) | For the year ended December 31, 2022, 0.11% of total return, representing $0.04 per share, consisted of a payment from the Adviser (See Note 3). |
(c) | For the year ended December 31, 2020, 0.12% of total return, representing $0.05 per share, consisted of a payment from the Adviser (See Note 3). |
(d) | Returns include adjustments in accordance with U.S. Generally Accepted Accounting Principles. Net asset values and returns for financial reporting purposes may differ from those for shareholder transactions. |
(e) | Effective January 10, 2019, the Fund includes interest expense in the calculation of the expense limitation. The ratio only excludes interest expense accrued prior to January 10, 2019 and not waived under the expense limit agreement. |
(f) | Portfolio turnover rate excludes in-kind transactions. |
See Notes to Financial Statements
62 |
VANECK ETF TRUST
FINANCIAL HIGHLIGHTS
For a share outstanding throughout each year:
(a) | Calculated based upon average shares outstanding |
(b) | For the year ended December 31, 2021, 0.04% of total return, representing $0.02 per share, consisted of a payment from the Adviser (See Note 3). |
(c) | For the year ended December 31, 2020, 0.07% of total return, representing $0.02 per share, consisted of a payment from the Adviser (See Note 3). |
(d) | Amount represents less than $0.005 per share. |
(e) | Returns include adjustments in accordance with U.S. Generally Accepted Accounting Principles. Net asset values and returns for financial reporting purposes may differ from those for shareholder transactions. |
(f) | Effective January 10, 2019, the Fund includes interest expense in the calculation of the expense limitation. The ratio only excludes interest expense accrued prior to January 10, 2019 and not waived under the expense limit agreement. |
(g) | Portfolio turnover rate excludes in-kind transactions. |
See Notes to Financial Statements
63 |
VANECK ETF TRUST
FINANCIAL HIGHLIGHTS
For a share outstanding throughout each period:
(a) | For the period February 16, 2022 (commencement of operations) through December 31, 2022. |
(b) | Calculated based upon average shares outstanding |
(c) | Returns include adjustments in accordance with U.S. Generally Accepted Accounting Principles. Net asset values and returns for financial reporting purposes may differ from those for shareholder transactions. |
(d) | Not Annualized |
(e) | Annualized |
(f) | Portfolio turnover rate excludes in-kind transactions. |
See Notes to Financial Statements
64 |
VANECK ETF TRUST
FINANCIAL HIGHLIGHTS
For a share outstanding throughout each year:
(a) | Calculated based upon average shares outstanding |
(b) | The amount shown does not correspond with the aggregate net gain (loss) on investments for the period due to the timing of sales and repurchase of shares in relation to fluctuating market values of the investments of the Fund. |
(c) | Returns include adjustments in accordance with U.S. Generally Accepted Accounting Principles. Net asset values and returns for financial reporting purposes may differ from those for shareholder transactions. |
(d) | Portfolio turnover rate excludes in-kind transactions. |
See Notes to Financial Statements
65 |
VANECK ETF TRUST
FINANCIAL HIGHLIGHTS
For a share outstanding throughout each year:
(a) | Consolidated Financial Highlights |
(b) | Calculated based upon average shares outstanding |
(c) | The amount shown does not correspond with the aggregate net gain (loss) on investments for the period due to the timing of sales and repurchase of shares in relation to fluctuating market values of the investments of the Fund. |
(d) | Returns include adjustments in accordance with U.S. Generally Accepted Accounting Principles. Net asset values and returns for financial reporting purposes may differ from those for shareholder transactions. |
(e) | Portfolio turnover rate excludes in-kind transactions. |
See Notes to Financial Statements
66 |
VANECK ETF TRUST
FINANCIAL HIGHLIGHTS
For a share outstanding throughout each year:
(a) | Calculated based upon average shares outstanding |
(b) | Returns include adjustments in accordance with U.S. Generally Accepted Accounting Principles. Net asset values and returns for financial reporting purposes may differ from those for shareholder transactions. |
(c) | Portfolio turnover rate excludes in-kind transactions. |
See Notes to Financial Statements
67 |
VANECK ETF TRUST
FINANCIAL HIGHLIGHTS
For a share outstanding throughout each year:
(a) | Calculated based upon average shares outstanding |
(b) | Returns include adjustments in accordance with U.S. Generally Accepted Accounting Principles. Net asset values and returns for financial reporting purposes may differ from those for shareholder transactions. |
(c) | Portfolio turnover rate excludes in-kind transactions. |
See Notes to Financial Statements
68 |
VANECK ETF TRUST
FINANCIAL HIGHLIGHTS
For a share outstanding throughout each year:
(a) | Calculated based upon average shares outstanding |
(b) | Returns include adjustments in accordance with U.S. Generally Accepted Accounting Principles. Net asset values and returns for financial reporting purposes may differ from those for shareholder transactions. |
(c) | The ratios presented do not reflect the Fund’s proportionate share of income and expenses from the Fund’s investment in underlying funds. |
(d) | Portfolio turnover rate excludes in-kind transactions. |
See Notes to Financial Statements
69 |
VANECK ETF TRUST
December 31, 2022
Note 1—Fund Organization—VanEck ETF Trust (the “Trust”) is registered under the Investment Company Act of 1940, as amended, as an open-end management investment company. The Trust was incorporated in Delaware as a statutory trust on March 15, 2001. The Trust operates as a series fund, and offers multiple investment portfolios, each of which represents a separate series of the Trust. These financial statements relate only to the investment portfolios listed in the diversification table below (each a “Fund” and, collectively, the “Funds”).
Fund | Diversification Classification |
Africa Index ETF | Diversified |
Brazil Small-Cap ETF | Diversified |
China Growth Leaders ETF | Diversified |
ChiNext ETF | Diversified |
Digital India ETF | Non-Diversified |
Egypt Index ETF | Non-Diversified |
India Growth Leaders ETF | Diversified |
Indonesia Index ETF | Non-Diversified |
Israel ETF | Non-Diversified |
Vietnam ETF | Non-Diversified |
Each Fund’s investment objective is to replicate as closely as possible, before fees and expenses, the price and yield performance of its index which are listed in the table below.
Fund | Index |
Africa Index ETF | MVIS® GDP Africa Index |
Brazil Small-Cap ETF | MVIS® Brazil Small-Cap Index |
China Growth Leaders ETF | MarketGrader China All-Cap Growth Leaders Index |
ChiNext ETF | ChiNext Index |
Digital India ETF | MVIS® Digital India Index |
Egypt Index ETF | MVIS® Egypt Index |
India Growth Leaders ETF | MarketGrader India All-Cap Growth Leaders Index |
Indonesia Index ETF | MVIS® Indonesia Index |
Israel ETF | Bluestar Israel Global Index® |
Vietnam ETF | MVIS® Vietnam Index |
Each Fund was created to provide investors with the opportunity to purchase a security representing a proportionate undivided interest in a portfolio of securities consisting of substantially all of the common stocks in approximately the same weighting as their index. China Asset Management (Hong Kong) Limited (the “Sub-Adviser”) is the sub-adviser to China Growth Leaders ETF and ChiNext ETF. China Growth Leaders ETF and ChiNext ETF seek to achieve their investment objectives by primarily investing directly in A-shares through the Hong Kong-Shanghai Stock Connect program and via the A-share quota granted to the Sub-Adviser. India Growth Leaders ETF makes its investments through MV SCIF Mauritius (the “Subsidiary”), a wholly owned subsidiary organized in the Republic of Mauritius.
Note 2—Significant Accounting Policies—The preparation of financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts and disclosures in the financial statements. Actual results could differ from those estimates.
The Funds are investment companies and follow accounting and reporting requirements of Accounting Standards Codification (“ASC”) 946, Financial Services-Investment Companies.
The following summarizes the Funds’ significant accounting policies.
A. | Security Valuation— The Funds value their investments in securities and other assets and liabilities at fair value daily. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants on the measurement date. Securities traded on national exchanges are valued at the closing price on the markets in which the securities trade. Securities traded on the NASDAQ Stock Market LLC (“NASDAQ”) are valued at the NASDAQ official closing price. |
70 |
Over-the-counter securities not included on NASDAQ and listed securities for which no sale was reported are valued at the mean of the bid and ask prices. To the extent these securities are actively traded they are categorized as Level 1 in the fair value hierarchy (described below). Certain foreign securities, whose values may be affected by market direction or events occurring before the Funds’ pricing time (4:00 p.m. Eastern Time) but after the last close of the securities’ primary market, are fair valued using a pricing service and are categorized as Level 2 in the fair value hierarchy. The pricing service considers the correlation of the trading patterns of the foreign security to intraday trading in the U.S. markets, based on indices of domestic securities and other appropriate indicators such as prices of relevant ADR’s and futures contracts. The Funds may also fair value securities in other situations, such as when a particular foreign market is closed but the Fund is open. Short-term debt securities with sixty days or less to maturity are valued at amortized cost, which with accrued interest approximates fair value. Money market fund investments are valued at net asset value and are considered as Level 1 in the fair value hierarchy. The Board of Trustees (“Trustees”) has designated Van Eck Associates Corporation (the “Adviser”) as valuation designee under Rule 2a-5 to perform the Funds’ fair value determinations, subject to board oversight and certain reporting and other requirements. The Adviser has adopted policies and procedures reasonably designed to comply with the requirements of Rule 2a-5. Among other things, these procedures allow the Funds to utilize independent pricing services, quotations from securities dealers, and other market sources to determine fair value. The Pricing Committee convenes regularly to review the fair value of financial instruments or other assets. If market quotations for a security or other asset are not readily available, or if the Adviser believes they do not otherwise reflect the fair value of a security or asset, the security or asset will be fair valued by the Pricing Committee in accordance with the Funds’ valuation policies and procedures. The Pricing Committee employs various methods for calibrating the valuation approaches utilized to determine fair value, including a regular review of key inputs and assumptions, periodic comparisons to valuations provided by other independent pricing services, transactional back-testing and disposition analysis.
Certain factors such as economic conditions, political events, market trends, the nature of and duration of any restrictions on disposition, trading in similar securities of the issuer or comparable issuers and other security specific information are used to determine the fair value of these securities. Depending on the relative significance of valuation inputs, these securities may be categorized either as Level 2 or Level 3 in the fair value hierarchy. The price which the Funds may realize upon sale of an investment may differ materially from the value presented in the Schedules of Investments.
The Funds utilize various methods to measure the fair value of their investments on a recurring basis, which includes a hierarchy that prioritizes inputs to valuation methods used to measure fair value. The fair value hierarchy gives highest priority to unadjusted quoted prices in active markets for identical assets and liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The three levels of the fair value hierarchy are described below:
Level 1 — Quoted prices in active markets for identical securities.
Level 2 — Significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.).
Level 3 — Significant unobservable inputs (including each Fund’s own assumptions in determining the fair value of investments).
A summary of the inputs and the levels used to value the Funds’ investments are located in the Schedules of Investments. Additionally, tables that reconcile the valuation of the Funds’ Level 3 investments and that present additional information about valuation methodologies and unobservable inputs, if applicable, are located in the Schedules of Investments.
B. | Basis for Consolidation—The Subsidiary, an Indian exempted company, was incorporated on February 25, 2010 and acts as an investment vehicle for the India Growth Leaders ETF (the “Fund”) in order to effect |
71 |
VANECK ETF TRUST
NOTES TO FINANCIAL STATEMENTS
(continued)
certain investments on behalf of the Fund. The Fund is the sole shareholder of the Subsidiary, and it is intended that the Fund will remain the sole shareholder and will continue to control the Subsidiary. The consolidated financial statements of the Fund include the financial results of its wholly owned subsidiary. All material interfund account balances and transactions have been eliminated in consolidation. | |
C. | Federal Income Taxes—It is each Fund’s policy to comply with the provisions of the Internal Revenue Code applicable to regulated investment companies and to distribute all of its net investment income and net realized capital gains, if any, to its shareholders. Therefore, no federal income tax provision is required. |
D. | Distributions to Shareholders— Dividends to shareholders from net investment income and distributions from net realized capital gains, if any, are declared and paid annually by each Fund. Income dividends and capital gain distributions are determined in accordance with U.S. income tax regulations, which may differ from such amounts determined in accordance with GAAP. |
E. | Currency Translation— Assets and liabilities denominated in foreign currencies and commitments under foreign currency contracts are translated into U.S. dollars at the closing prices of such currencies each business day as quoted by one or more sources. Purchases and sales of investments are translated at the exchange rates prevailing when such investments are acquired or sold. Foreign denominated income and expenses are translated at the exchange rates prevailing when accrued. The portion of realized and unrealized gains and losses on investments that result from fluctuations in foreign currency exchange rates is not separately disclosed in the financial statements. Such amounts are included with the net realized and unrealized gains and losses on investment securities in the Statements of Operations. Recognized gains or losses attributable to foreign currency fluctuations on foreign currency denominated assets, other than investments, and liabilities are recorded as net realized gain (loss) and net change in unrealized appreciation (depreciation) on foreign currency transactions and foreign denominated assets and liabilities in the Statements of Operations. |
F. | Restricted Securities—The Funds may invest in securities that are subject to legal or contractual restrictions on resale. These securities generally may be resold in transactions exempt from registration or to the public if the securities are registered. Disposal of these securities may involve time-consuming negotiations and expense, and prompt sale at an acceptable price may be difficult. Information regarding restricted securities, if any, is included at the end of each Fund’s Schedule of Investments. |
G. | Offsetting Assets and Liabilities— In the ordinary course of business, the Funds enter into transactions subject to enforceable master netting or other similar agreements. Generally, the right of offset in those agreements allows the Funds to offset any exposure to a specific counterparty with any collateral received or delivered to that counterparty based on the terms of the agreements. The Funds may receive cash and or securities as collateral for securities lending. For financial reporting purposes, the Funds present securities lending assets and liabilities on a gross basis in the Statements of Assets and Liabilities. Cash collateral received for securities lending in the form of money market fund investments, if any, at December 31, 2022 is presented in the Schedules of Investments and in the Statements of Assets and Liabilities. Non-cash collateral is disclosed in Note 9 (Securities Lending). |
H. | Other— Security transactions are accounted for on trade date. Realized gains and losses are determined based on the specific identification method. Dividend income is recorded on the ex-dividend date except that certain dividends from foreign securities are recognized upon notification of the ex-dividend date. Interest income, including amortization of premiums and discounts, is accrued as earned. |
The Funds earn interest income on uninvested cash balances held at the custodian bank. Such amounts, if any, are presented as interest income in the Statements of Operations. | |
In the normal course of business, the Funds enter into contracts that contain a variety of general indemnifications. The Funds’ maximum exposure under these agreements is unknown as this would involve future claims that may be made against the Funds that have not yet occurred. However, the Adviser believes the risk of loss under these arrangements to be remote. |
72 |
At December 31, 2022, ChiNext ETF included $21,439 in cash, at value on the Statements of Assets and Liabilities, which represents foreign investor minimum settlement reserve funds required by China Securities Depository and Clearing Corporation Limited. |
Note 3—Investment Management and Other Agreements—The Adviser is the investment adviser to the Funds. The Adviser receives a management fee, calculated daily and payable monthly based on an annual rate of each Fund’s average daily net assets. The Adviser has agreed, until at least May 1, 2023, to waive management fees and assume expenses to prevent each Fund’s total annual operating expenses (excluding acquired fund fees and expenses, interest expense, trading expenses, taxes and extraordinary expenses) from exceeding the expense limitations for the Funds listed in the table below. Effective January 10, 2019, China Growth Leaders ETF and ChiNext ETF no longer exclude interest expense from their expense limitations. Refer to the Statements of Operations for the amounts waived/assumed by the Adviser for the year ended December 31, 2022.
The management fee rates and expense limitations for the year ended December 31, 2022, are as follows:
Fund | Management Fees |
Expense Limitations | ||||||
Africa Index ETF | 0.50 | % | 0.78 | % | ||||
Brazil Small-Cap ETF | 0.50 | 0.59 | ||||||
China Growth Leaders ETF | 0.50 | 0.60 | ||||||
ChiNext ETF | 0.50 | 0.65 | ||||||
Egypt Index ETF | 0.50 | 0.94 | ||||||
India Growth Leaders ETF | 0.50 | 0.75 | ||||||
Indonesia Index ETF | 0.50 | 0.57 | ||||||
Israel ETF | 0.50 | 0.59 | ||||||
Vietnam ETF | 0.50 | 0.76 |
Digital India ETF utilizes a unitary management fee structure where the Adviser will pay all Fund expenses, except for the fee payment under the investment management agreement, acquired fund fees and expenses, interest expense, trading expenses, taxes and extraordinary expenses.
Fund | Unitary Management Fee Rate | |||
Digital India ETF | 0.75 | % |
During the year ended December 31, 2019, the Adviser reimbursed the Brazil Small-Cap ETF $372,975 for an investment loss. The per share and total return impact to the Fund is reflected in the Financial Highlights.
During the year ended December 31, 2020, the Adviser reimbursed the China Growth Leaders ETF and ChiNext ETF $57,732 and $17,518, respectively, for transactional losses. The per share and total return impacts to the Funds are reflected in the Financial Highlights.
During the year ended December 31, 2021, the Adviser reimbursed the ChiNext ETF $19,569 for an investment loss. This reimbursement is reflected in the Statements of Changes in Net Assets as a net increase from payment from Adviser. The per share and total return impact to the Fund is reflected in the Financial Highlights.
During the year ended December 31, 2022, the Adviser reimbursed the China Growth Leaders ETF $22,940 for an operational error. This reimbursement is reflected in the Statements of Operations and Statements of Changes in Net Assets as a net increase from payment from Adviser. The per share and total return impact to the Fund is reflected in the Financial Highlights
In addition, Van Eck Securities Corporation (the “Distributor”), an affiliate of the Adviser, acts as the Funds’ distributor. Certain officers and a Trustee of the Trust are officers, directors or stockholders of the Adviser and Distributor.
73 |
VANECK ETF TRUST
NOTES TO FINANCIAL STATEMENTS
(continued)
Note 4—Capital Share Transactions—As of December 31, 2022, there were an unlimited number of capital shares of beneficial interest authorized by the Trust with no par value. Fund shares are not individually redeemable and are issued and redeemed at their net asset value per share only through certain authorized broker-dealers (“Authorized Participants”) in blocks of shares (“Creation Units”).
The consideration for the purchase or redemption of Creation Units of the Funds generally consists of the in-kind contribution or distribution of a designated portfolio of securities (“Deposit Securities”) plus a balancing cash component to equate the transaction to the net asset value per share of the Fund on the transaction date. Cash may also be substituted in an amount equivalent to the value of certain Deposit Securities, generally as a result of market circumstances, or when the securities are not available in sufficient quantity for delivery, or are not eligible for trading by the Authorized Participant. The Funds may issue Creation Units in advance of receipt of Deposit Securities subject to various conditions, including, for the benefit of the Funds, a requirement to maintain cash collateral on deposit at the custodian equal to at least 115% of the daily marked to market value of the missing Deposit Securities.
Authorized Participants purchasing and redeeming Creation Units may pay transaction fees directly to the transfer agent. In addition, the Funds may impose variable fees on the purchase or redemption of Creation Units for cash, or on transactions effected outside the clearing process, to defray certain transaction costs. These variable fees, if any, are reflected in share transactions in the Statements of Changes in Net Assets.
Note 5—Investments—For the year ended December 31, 2022, purchases and sales of investments (excluding short-term investments and in-kind capital share transactions) and the purchases and sales of investments resulting from in-kind capital share transactions (excluding short-term investments) were as follows:
In-Kind Capital Share Transactions | ||||||||||||||||
Fund | Purchases | Sales | Purchases | Sales | ||||||||||||
Africa Index ETF | $ | 17,552,003 | $ | 18,721,334 | $ | — | $ | 560,535 | ||||||||
Brazil Small-Cap ETF | 12,633,631 | 14,779,375 | 226,352 | 531,094 | ||||||||||||
China Growth Leaders ETF | 13,541,101 | 15,872,277 | — | 882,020 | ||||||||||||
ChiNext ETF | 2,626,842 | 10,497,025 | — | — | ||||||||||||
Digital India ETF | 1,654,965 | 335,259 | 496,307 | — | ||||||||||||
Egypt Index ETF | 17,316,308 | 11,158,482 | 1,690,411 | 547,617 | ||||||||||||
India Growth Leaders ETF | 58,300,644 | 67,436,446 | 417,720 | 875,289 | ||||||||||||
Indonesia Index ETF | 13,964,044 | 14,064,512 | 37,475,469 | 53,028,444 | ||||||||||||
Israel ETF | 8,560,912 | 8,172,842 | 1,155,545 | 1,016,499 | ||||||||||||
Vietnam ETF | 321,158,198 | 246,770,040 | 5,324,691 | 1,049,085 |
Note 6—Income Taxes—As of December 31, 2022, for Federal income tax purposes, the identified cost, gross unrealized appreciation, gross unrealized depreciation and net unrealized appreciation (depreciation) of investments owned were as follows:
Fund | Tax Cost of Investments |
Gross Unrealized Appreciation |
Gross Unrealized Depreciation |
Net Unrealized Appreciation (Depreciation) |
||||||||||||
Africa Index ETF | $46,252,934 | $6,763,966 | $(6,170,681) | $593,285 | ||||||||||||
Brazil Small-Cap ETF | 39,375,018 | 176,653 | (12,990,661) | (12,814,008) | ||||||||||||
China Growth Leaders ETF | 16,992,220 | 1,902,708 | (3,695,482) | (1,792,774) | ||||||||||||
ChiNext ETF | 17,967,101 | 6,777,978 | (4,398,472) | 2,379,506 | ||||||||||||
Digital India ETF | 1,748,364 | 14,339 | (372,474) | (358,135) | ||||||||||||
Egypt Index ETF | 26,063,511 | 1,864,399 | (4,956,673) | (3,092,274) | ||||||||||||
India Growth Leaders ETF | 48,167,280 | 7,988,308 | (4,836,317) | 3,151,991 | ||||||||||||
Indonesia Index ETF | 44,004,510 | 1,603,724 | (12,507,675) | (10,903,951) | ||||||||||||
Israel ETF | 52,759,742 | 17,832,411 | (10,659,082) | 7,173,329 | ||||||||||||
Vietnam ETF | 445,969,342 | 62,814,374 | (97,805,218) | (34,990,844) |
At December 31, 2022, the components of total distributable earnings (losses) on a tax basis, for each Fund, were as follows:
74 |
Fund | Undistributed Ordinary Income |
(Accumulated Capital Losses)/ Undistributed Capital Gains |
Qualified Late-Year Losses* |
Other Temporary Differences |
Unrealized Appreciation (Depreciation) |
Total Distributable Earnings (Loss) | ||||||||||||||||||
Africa Index ETF | $– | $(70,215,623 | ) | $(8,094 | ) | $(12,262 | ) | $(185,419 | ) | $(70,421,398 | ) | |||||||||||||
Brazil Small-Cap ETF | – | (157,030,770 | ) | (11,998 | ) | (33,084 | ) | (12,810,855 | ) | (169,886,707 | ) | |||||||||||||
China Growth Leaders ETF | – | (3,763,883 | ) | (157 | ) | (5,349 | ) | (1,792,414 | ) | (5,561,803 | ) | |||||||||||||
ChiNext ETF | – | (3,568,859 | ) | (23,800 | ) | (1,183 | ) | 2,378,460 | (1,215,382 | ) | ||||||||||||||
Digital India ETF | – | (67,649 | ) | (66 | ) | – | (358,135 | ) | (425,850 | ) | ||||||||||||||
Egypt Index ETF | 288,392 | (37,774,647 | ) | – | (5,417 | ) | (3,099,796 | ) | (40,591,468 | ) | ||||||||||||||
India Growth Leaders ETF | – | (81,296,051 | ) | (11,402 | ) | (13,969 | ) | 3,151,127 | (78,170,295 | ) | ||||||||||||||
Indonesia Index ETF | 75,920 | (118,516,416 | ) | – | (27,694 | ) | (10,904,099 | ) | (129,372,289 | ) | ||||||||||||||
Israel ETF | 481,536 | (9,705,588 | ) | – | (4,310 | ) | 7,173,329 | (2,055,033 | ) | |||||||||||||||
Vietnam ETF | 5,603,903 | (328,368,401 | ) | – | (49,255 | ) | (34,984,822 | ) | (357,798,575 | ) |
*Qualified late year losses incurred after October 31, 2022 are deemed to arise on January 1, 2023.
The tax character of dividends paid to shareholders was as follows:
December 31, 2022 | December 31, 2021 | |||||||||||||||||||
Fund | Ordinary Income* |
Return of Capital |
Ordinary Income* |
Long-Term Capital Gains |
Return of Capital | |||||||||||||||
Africa Index ETF | $ | 1,670,110 | $– | $ | 2,475,050 | $– | $– | |||||||||||||
Brazil Small-Cap ETF | 971,850 | 3,075 | 951,015 | – | – | |||||||||||||||
China Growth Leaders ETF | 345,000 | – | 751,240 | 653,170 | – | |||||||||||||||
ChiNext ETF | – | – | – | 3,198,624 | 601,386 | |||||||||||||||
Digital India ETF | 13,500 | – | – | – | – | |||||||||||||||
Egypt Index ETF | 300,031 | – | 565,063 | – | – | |||||||||||||||
India Growth Leaders ETF | 875,052 | – | – | – | – | |||||||||||||||
Indonesia Index ETF | 1,200,040 | – | 570,015 | – | – | |||||||||||||||
Israel ETF | 799,920 | – | 1,025,145 | – | – | |||||||||||||||
Vietnam ETF | 3,867,660 | – | 2,850,715 | – | – |
* | Includes short-term capital gains (if any). |
At December 31, 2022, the Funds had capital loss carryforwards available to offset future capital gains, as follows:”
Fund | Short-Term Capital Losses with No Expiration |
Long-Term Capital Losses with No Expiration |
Total | |||||||||
Africa Index ETF | $ | (12,547,079 | ) | $ | (57,668,544 | ) | $ | (70,215,623 | ) | |||
Brazil Small-Cap ETF | (21,976,616 | ) | (135,054,154 | ) | (157,030,770 | ) | ||||||
China Growth Leaders ETF | (2,569,318 | ) | (1,194,565 | ) | (3,763,883 | ) | ||||||
ChiNext ETF | (3,379,373 | ) | (189,486 | ) | (3,568,859 | ) | ||||||
Digital India ETF | (67,649 | ) | – | (67,649 | ) | |||||||
Egypt Index ETF | (14,077,698 | ) | (23,696,949 | ) | (37,774,647 | ) | ||||||
India Growth Leaders ETF | (15,686,824 | ) | (65,609,227 | ) | (81,296,051 | ) | ||||||
Indonesia Index ETF | (39,262,199 | ) | (79,254,217 | ) | (118,516,416 | ) | ||||||
Israel ETF | (2,029,019 | ) | (7,676,569 | ) | (9,705,588 | ) | ||||||
Vietnam ETF | (108,199,071 | ) | (220,169,330 | ) | (328,368,401 | ) |
During the year ended December 31, 2022, India Growth Leaders ETF utilized $1,793,784 of its capital loss carryovers available from prior years.
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VANECK ETF TRUST
NOTES TO FINANCIAL STATEMENTS
(continued)
During the year ended December 31, 2022, as a result of permanent book to tax differences, primarily due to earnings attributable to the redemption of shares, tax net operating losses and the tax treatment of gains/ losses from securities redeemed in-kind, the Funds incurred differences that affected distributable earnings and aggregate paid in capital by the amounts in the table below. Net assets were not affected by these reclassifications.
Fund | Increase (Decrease) in Total Distributable Earnings (Loss) |
Increase (Decrease) in Aggregate Paid in Capital | ||||||
Africa Index ETF | $ | (160,115 | ) | $ | 160,115 | |||
Brazil Small-Cap ETF | (39,284 | ) | 39,284 | |||||
China Growth Leaders ETF | 182,450 | (182,450 | ) | |||||
ChiNext ETF | 99,125 | (99,125 | ) | |||||
Egypt Index ETF | (31,482 | ) | 31,482 | |||||
India Growth Leaders ETF | (485,407 | ) | 485,407 | |||||
Indonesia Index ETF | (4,337,974 | ) | 4,337,974 | |||||
Israel ETF | (448,875 | ) | 448,875 | |||||
Vietnam ETF | (321,025 | ) | 321,025 |
The Funds recognize the tax benefits of uncertain tax positions only where the position is “more-likely-than-not” to be sustained assuming examination by applicable tax authorities. Management has analyzed the Funds’ tax positions, and has concluded that no liability for unrecognized tax benefits should be recorded related to uncertain tax positions taken on return filings for all open tax years. The Funds do not have exposure for additional years that might still be open in certain foreign jurisdictions. Therefore, no provision for income tax is required in the Funds’ financial statements. However, the Funds are subject to foreign taxes on the appreciation in value of certain investments. The Funds provide for such taxes on both realized and unrealized appreciation.
The Funds recognize interest and penalties, if any, related to uncertain tax positions as income tax expense in the Statements of Operations. During the year ended December 31, 2022, the Funds did not incur any interest or penalties.
Investments in China: Uncertainties in the Chinese tax rules governing taxation of income and gains from investments in A-Shares could result in unexpected tax liabilities for the China Growth Leaders ETF and ChiNext ETF (the “Funds”). China generally imposes withholding income tax (“WHT”) at a rate of 10% on dividends derived by non-PRC resident enterprises (including a Qualified Foreign Institutional Investor (“QFII”) and a Renminbi Qualified Foreign Institutional Investor (“RQFII”)) from issuers resident in China. China imposes WHT at a rate of 10% on capital gains derived by non-PRC resident enterprises from the disposal in shares of PRC enterprises. Effective November 17, 2014, investments through the Hong Kong-Shanghai Stock Connect program, QFIIs and RQFIIs, which includes these Funds, were exempted temporarily from WHT with respect to gains derived from the trading of equity investments (including A-shares). However, uncertainties remain regarding the taxation of capital gains in China. PRC rules for taxation of RQFIIs (and QFIIs) and the PRC tax regulations to be issued by the PRC State Administration of Taxation and/or PRC MOF to clarify the subject matter may apply retrospectively, even if such rules are adverse to the nonresident investors. If the PRC tax authorities were to issue differing formal guidance or tax rules regarding the taxation of capital gains derived by QFIIs, RQFIIs and other nonresident investors WHT on gains from such investments the Funds could be subject to additional tax liabilities.
Investments in India: As a result of renegotiation of the India Mauritius Tax treaty, India commenced taxation on capital gains arising from disposition of shares acquired on or after April 1, 2017 in a company resident in India, with shares acquired on or before March 31, 2017 being grandfathered as exempt from capital gains taxation subject to treaty relief. India currently assesses a capital gains tax on shares sold on the exchange of 15% on short term capital gains and 10% on long term capital gains (plus applicable surcharge
76 |
and cess). Further, long-term capital gains on certain shares that were held as of January 31, 2018, may be eligible for a step up in cost basis which may reduce realized taxable gains. Existing Indian capital loss carryforwards may be utilized to offset capital gains realized on securities sold.
Note 7—Principal Risks—Non-diversified funds generally hold securities of fewer issuers than diversified funds (See Note 1) and may be more susceptible to the risks associated with these particular issuers, or to a single economic, political or regulatory occurrence affecting these issuers. The Funds may purchase securities on foreign exchanges. Securities of foreign issuers involve special risks and considerations not typically associated with investing in U.S. issuers. These risks include devaluation of currencies, currency controls, less reliable information about issuers, different securities transaction clearance and settlement practices, future adverse economic developments and political conflicts, or natural or other disasters, such as the coronavirus outbreak. Additionally, certain Funds may invest in securities of emerging market issuers, which are exposed to a number of risks that may make these investments volatile in price or difficult to trade. Political risks may include unstable governments, nationalization, restrictions on foreign ownership, laws that prevent investors from getting their money out of a country, sanctions and investment restrictions and legal systems that do not protect property risks as well as the laws of the United States. These and other factors can make emerging market securities more volatile and potentially less liquid than securities issued in more developed markets. Certain securities of Chinese issuers are, or may in the future become restricted, and the Funds may be forced to sell such restricted securities and incur a loss. There may be limitations or delays in the convertibility or repatriation of certain African currencies, which would adversely affect the U.S. dollar value and/or liquidity of a Fund’s investments denominated in such African currencies. This may impair a Fund’s ability to achieve its investment objective and/or may impede a Fund’s ability to satisfy redemption requests in timely manner.
Should the Chinese government impose restrictions on the ability of China Growth Leaders ETF and ChiNext ETF to repatriate funds associated with direct investment in A-Shares, the Funds may be unable to satisfy distribution requirements applicable to regulated investment companies (“RICs”) under the Internal Revenue Code of 1986, as amended, and the Funds may therefore be subject to Fund-level U.S. federal taxes.
Economies and financial markets throughout the world have experienced periods of increased volatility, uncertainty and distress as a result of conditions associated with the COVID-19 pandemic. To the extent these conditions continue, the risks associated with an investment in a Fund could be heightened and the Fund’s investments (and thus a shareholder’s investment in a Fund) may be particularly susceptible to sudden and substantial losses, reduced yield or income or other adverse developments.
A more complete description of risks is included in each Fund’s Prospectus and Statement of Additional Information.
Note 8—Trustee Deferred Compensation Plan—The Trust has a Deferred Compensation Plan (the “Plan”) for Trustees under which a Trustee can elect to defer receipt of their trustee fees until retirement, disability or termination from the Board. The fees otherwise payable to the participating Trustees are deemed invested in shares of the Funds of the Trust as directed by the Trustees.
The expense for the Plan is included in “Trustees’ fees and expenses” in the Statements of Operations. The liability for the Plan is shown as “Deferred Trustee fees” in the Statements of Assets and Liabilities. Digital India ETF commenced operations with a unitary management fee and therefore bears no costs or liabilities relative to the Plan.
Note 9—Securities Lending—To generate additional income, each of the Funds may lend its securities pursuant to a securities lending agreement with the securities lending agent. Each Fund may lend up to 33% of its investments requiring that the loan be continuously collateralized by cash, cash equivalents, U.S. government securities, or any combination of cash and such securities at all times equal to at least 102% (105% for foreign securities) of the market value of securities loaned. Daily market fluctuations could cause the value of loaned securities to be more or less than the value of the collateral received. When this occurs, the collateral is adjusted and settled on the next business day. During the term of the loan, the Funds will continue to receive any dividends, interest or amounts equivalent thereto, on the securities loaned while
77 |
VANECK ETF TRUST
NOTES TO FINANCIAL STATEMENTS
(continued)
receiving a fee from the borrower and or earning interest on the investment of the cash collateral. Such fees and interest are shared with the securities lending agent under the terms of the securities lending agreement. Securities lending income is disclosed as such in the Statements of Operations. Cash collateral is maintained on the Funds’ behalf by the lending agent and is invested in the State Street Navigator Securities Lending Government Money Market Portfolio. Non-cash collateral consists of U.S. Treasuries and U.S. Government Agency securities, and is not disclosed in the Funds’ Schedules of Investments or Statements of Assets and Liabilities as it is held by the agent on behalf of the Funds. The Funds do not have the ability to re-hypothecate those securities. Loans are subject to termination at the option of the borrower or the Funds. Upon termination of the loan, the borrower will return to the Fund securities identical to the securities loaned. The Funds bear the risk of delay in recovery of, or even loss of rights in, the securities loaned should the borrower of the securities fail financially. The value of loaned securities and related cash collateral, if any, at December 31, 2022 is presented on a gross basis in the Schedules of Investments and Statements of Assets and Liabilities. The following is a summary of the Funds’ securities on loan and related collateral as of December 31, 2022:
Fund | Market Value of Securities on Loan |
Cash Collateral |
Non-Cash Collateral |
Total Collateral | ||||||||||||
Africa Index ETF | $ | 3,236,707 | $ | 1,102,056 | $ | 2,287,585 | $ | 3,389,641 | ||||||||
Brazil Small-Cap ETF | 1,864,249 | 1,315,000 | 680,940 | 1,995,940 | ||||||||||||
China Growth Leaders ETF | 101,895 | 8 | 108,138 | 108,146 | ||||||||||||
Indonesia Index ETF | 1,005,397 | 214,156 | 834,979 | 1,049,135 | ||||||||||||
Israel ETF | 6,492,363 | 1,025,144 | 5,648,169 | 6,673,313 | ||||||||||||
Vietnam ETF | 3,862,078 | – | 4,081,681 | 4,081,681 |
The following table presents money market fund investments held as collateral by type of security on loan as of December 31, 2022:
Gross Amount of Recognized Liabilities for Securities Lending Transactions* in the Statements of Assets and Liabilities | ||||
Fund | Equity Securities | |||
Africa Index ETF | $ | 1,102,056 | ||
Brazil Small-Cap ETF | 1,315,000 | |||
China Growth Leaders ETF | 8 | |||
Indonesia Index ETF | 214,156 | |||
Israel ETF | 1,025,144 |
* | Remaining contractual maturity: overnight and continuous |
Note 10—Bank Line of Credit—The Funds may participate in a $200 million committed credit facility (the “Facility”) to be utilized for temporary financing until the settlement of sales or purchases of portfolio securities, the repurchase or redemption of shares of the Funds at the request of the shareholders and other temporary or emergency purposes. The Funds have agreed to pay commitment fees, pro rata, based on the unused but available balance. Interest is charged to the Funds based on prevailing market rates in effect at the time of borrowings. During the year ended December 31, 2022, the following Funds borrowed under this Facility:
Fund | Days Outstanding |
Average Daily Loan Balance |
Average Interest Rate | |||||||||
Africa Index ETF | 359 | $ | 2,150,642 | 3.03 | % | |||||||
Brazil Small-Cap ETF | 36 | 145,352 | 2.17 | |||||||||
China Growth Leaders ETF | 192 | 936,797 | 1.99 | |||||||||
ChiNext ETF | 341 | 653,230 | 2.97 | |||||||||
Egypt Index ETF | 354 | 1,492,969 | 3.03 | |||||||||
India Growth Leaders ETF | 210 | 604,181 | 2.81 |
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Fund | Days Outstanding |
Average Daily Loan Balance |
Average Interest Rate | |||||||||
Indonesia Index ETF | 29 | 255,067 | 1.97 | |||||||||
Israel ETF | 27 | 216,322 | 4.40 | |||||||||
Vietnam ETF | 280 | 3,646,561 | 2.60 |
Outstanding loan balances as of December 31, 2022, if any, are reflected in the Statements of Assets and Liabilities.
79 |
VANECK ETF TRUST
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
To the Board of Trustees of VanEck ETF Trust and Shareholders of each of the ten funds listed in the table below
Opinions on the Financial Statements
We have audited the accompanying statements of assets and liabilities, including the schedules of investments (the consolidated statement of assets and liabilities, including the consolidated schedule of investments, for VanEck India Growth Leaders ETF) of each of the funds indicated in the table below (ten of the funds constituting VanEck ETF Trust, hereafter collectively referred to as the “Funds”) as of December 31, 2022, the related statements of operations and of changes in net assets for each of the periods indicated in the table below, including the related notes, and the financial highlights for each of the periods indicated in the table below (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of each of the Funds as of December 31, 2022, the results of each of their operations, the changes in each of their net assets and each of the financial highlights for each of the periods indicated in the table below, in conformity with accounting principles generally accepted in the United States of America.
Funds | ||
VanEck Africa Index ETF (1) | VanEck Egypt Index ETF (1) | |
VanEck Brazil Small-Cap ETF | VanEck India Growth Leaders ETF (3) | |
VanEck China Growth Leaders ETF (1) | VanEck Indonesia Index ETF (1) | |
VanEck ChiNext ETF (1) | VanEck Israel ETF (1) | |
VanEck Digital India ETF (2) | VanEck Vietnam ETF (1) |
(1) Statement of operations, statement of changes in net assets and financial highlights for the year ended December 31, 2022
(2) Statement of operations, statement of changes in net assets and financial highlights for the period February 16, 2022 (commencement of operations) through December 31, 2022
(3) Consolidated statement of operations, consolidated statement of changes in net assets and consolidated financial highlights for the year ended December 31, 2022
The financial statements of the Funds (other than VanEck India Growth Leaders ETF) as of and for the year or period ended December 31, 2021, and the financial highlights for each of the periods ended on or prior to December 31, 2021 (not presented herein, other than the statements of changes in net assets and the financial highlights) were audited by other auditors whose report dated February 28, 2022, expressed an unqualified opinion on those financial statements and financial highlights.
The financial statements of VanEck India Growth Leaders ETF as of and for the year ended December 31, 2021, and the financial highlights for each of the years ended on or prior to December 31, 2021 (not presented herein, other than the statements of changes in net assets and the financial highlights) were audited by other auditors whose report dated March 10, 2022, expressed an unqualified opinion on those financial statements and financial highlights.
Basis for Opinions
These financial statements are the responsibility of the Funds’ management. Our responsibility is to express an opinion on the Funds’ financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.
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We conducted our audits of these financial statements in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud.
Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. Our procedures included confirmation of securities owned as of December 31, 2022, by correspondence with the custodian, transfer agent and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinions.
/s/PricewaterhouseCoopers LLP
New York, New York
February 27, 2023
We have served as the auditor of one or more investment companies in the VanEck Funds complex since 2022.
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VANECK ETF TRUST
(unaudited)
The following information is provided with respect to the distributions paid during the taxable year ended December 31, 2022:
Fund | Ordinary Income Amount Paid Per Share |
Qualified Dividend Income for Individuals* |
Dividends Qualifying for the Dividend Received Deduction for Corporations* |
Foreign Source Income* |
Foreign Taxes Paid Per Share** | |||||||||||||||
Africa Index ETF | $ | 0.5759 | 68.27 | % | – | % | 100.00 | % | $ | 0.0912 | ||||||||||
Brazil Small-Cap ETF | 0.5553 | 2.48 | – | 91.20 | 0.0313 | |||||||||||||||
China Growth Leaders ETF | 0.5750 | 97.65 | – | 93.10 | 0.0565 | |||||||||||||||
Digital India ETF | 0.2700 | 100.00 | – | 77.47 | 0.0824 | |||||||||||||||
Egypt Index ETF | 0.2667 | 100.00 | – | 88.10 | 0.0305 | |||||||||||||||
India Growth Leaders ETF | 0.5556 | 100.00 | – | 100.00 | 0.2287 | |||||||||||||||
Indonesia Index ETF | 0.6316 | 100.00 | – | 99.13 | 0.1800 | |||||||||||||||
Israel ETF | 0.4848 | 97.93 | 0.35 | 83.96 | 0.2239 | |||||||||||||||
Vietnam ETF | 0.1140 | 9.67 | – | 73.67 | 0.0127 |
Fund | Return of Capital Per Share*** | |||
Brazil Small-Cap ETF | $ | 0.0018 |
* Expressed as a percentage of the cash distribution grossed up for foreign taxes.
** The foreign taxes paid represent taxes incurred by the Fund on income received by the Fund from foreign sources. Foreign taxes paid may be included in taxable income with an offsetting deduction from gross income or may be taken as a credit for taxes paid to foreign governments.
*** A return of capital is not considered taxable income to shareholders. The portion of a distribution which is a dividend is includable in gross income while the portion of the distribution which is not a dividend shall be applied against and reduces the adjusted basis of the stock. Accordingly, shareholders who received these distributions should not include these amounts in taxable income, but instead should treat them as a reduction of the cost basis of the applicable shares upon which these distributions were paid.
Please consult your tax advisor for proper treatment of this information.
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VANECK ETFs
BOARD OF TRUSTEES AND OFFICERS
December 31, 2022 (unaudited)
Name,
Address1 and Year of Birth |
Position(s) Held with the Trust |
Term
of Office2 and Length of Time Served |
Principal
Occupation(s) During Past Five Years |
Number of Portfolios in Fund Complex3 Overseen |
Other
Directorships Held By Trustee During Past Five Years | |||||
Independent Trustees | ||||||||||
David H. Chow, 1957*† | Trustee Chairperson | Since 2006
2008 to 2022 |
Founder and CEO, DanCourt Management LLC (financial/ strategy consulting firm and Registered Investment Adviser), March 1999 to present. | 69 | Trustee, Berea College of Kentucky, May 2009 to present and currently Chairman of the Investment Committee; Trustee, MainStay Fund Complex4, January 2016 to present and currently Chairman of the Investment Committee. Formerly, Member of the Governing Council of the Independent Directors Council, October 2012 to September 2020. | |||||
Laurie A. Hesslein, 1959*† | Trustee | Since 2019 | Citigroup, Managing Director and Business Head, Local Consumer Lending North America, and CEO and President, CitiFinancial Servicing LLC (2013 - 2017). | 69 | Formerly, Trustee, First Eagle Senior Loan Fund, March 2017 to December 2021; and Trustee, Eagle Growth and Income Opportunities Fund, March 2017 to December 2020. | |||||
R. Alastair Short, 1953*† | Trustee | Since 2006 | President, Apex Capital Corporation (personal investment vehicle). | 81 | Chairman and Independent Director, EULAV Asset Management; Lead Independent Director, Total Fund Solution; Independent Director, Contingency Capital, LLC; Trustee, Kenyon Review; Trustee, Children’s Village. Formerly, Independent Director, Tremont offshore funds. | |||||
Peter J. Sidebottom, 1962*† | Chairperson Trustee | Since 2022 Since 2012 |
Global Lead Partner, Financial Services Strategy, Accenture, January 2021 to present; Lead Partner, North America Banking and Capital Markets Strategy, Accenture, May 2017 to December 2021. | 69 | Formerly, Board Member, Special Olympics, New Jersey, November 2011 to September 2013; Director, The Charlotte Research Institute, December 2000 to 2009; Board Member, Social Capital Institute, University of North Carolina Charlotte, November 2004 to January 2012; Board Member, NJ-CAN, July 2014 to 2016. | |||||
Richard D. Stamberger, 1959*† | Trustee | Since 2006 | Senior Vice President, B2B, Future Plc (a global media company), July 2020 to August 2022; President, CEO and co-founder, SmartBrief, Inc., 1999 to 2020. | 81 | Director, Food and Friends, Inc., 2013 to present. | |||||
Interested Trustee | ||||||||||
Jan F. van Eck, 19635 | Trustee, Chief Executive Officer and President | Trustee (Since 2006); Chief Executive Officer and President (Since 2009) | Director, President and Chief Executive Officer of Van Eck Associates Corporation (VEAC), Van Eck Absolute Return Advisers Corporation (VEARA) and Van Eck Securities Corporation (VESC); Officer and/or Director of other companies affiliated with VEAC and/or the Trust. | 81 | Director, National Committee on US-China Relations. |
1 | The address for each Trustee and officer is 666 Third Avenue, 9th Floor, New York, New York 10017. |
2 | Each Trustee serves until resignation, death, retirement or removal. Officers are elected yearly by the Trustees. |
3 | The Fund Complex consists of the VanEck Funds, VanEck VIP Trust and the Trust. |
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VANECK ETFs
BOARD OF TRUSTEES AND OFFICERS
(unaudited) (continued)
4 | The MainStay Fund Complex consists of MainStay Funds, MainStay Funds Trust, MainStay VP Funds Trust and MainStay MacKay Defined Term Municipal Opportunities Fund. |
5 | “Interested person” of the Trust within the meaning of the Investment Company Act of 1940, as amended. Mr. van Eck is an officer of VEAC, VEARA and VESC. |
* | Member of the Audit Committee. |
† | Member of the Nominating and Corporate Governance Committee. |
Officer’s
Name, Address1 and Year of Birth |
Position(s) Held with the Trust |
Term
of Office2 And Length of Time Served |
Principal Occupation(s) During Past Five Years | |||
Officer Information | ||||||
Matthew A. Babinsky, 1983 | Assistant Vice President and Assistant Secretary | Since 2016 | Assistant Vice President, Assistant General Counsel and Assistant Secretary of VEAC, VEARA and VESC; Officer of other investment companies advised by VEAC and VEARA. | |||
Russell G. Brennan, 1964 | Assistant Vice President and Assistant Treasurer | Since 2008 | Assistant Vice President of VEAC; Officer of other investment companies advised by VEAC and VEARA. | |||
Charles T. Cameron, 1960 | Vice President | Since 2006 | Portfolio Manager of VEAC; Officer and/or Portfolio Manager of other investment companies advised by VEAC and VEARA. Formerly, Director of Trading of VEAC. | |||
John J. Crimmins, 1957 | Vice President, Treasurer, Chief Financial Officer and Principal Accounting Officer | Vice President, Chief Financial Officer and Principal Accounting Officer (Since 2012); Treasurer (Since 2009) | Vice President of VEAC and VEARA; Officer of other investment companies advised by VEAC and VEARA. Formerly, Vice President of VESC. | |||
Susan Curry, 1966 | Assistant Vice President | Since 2022 | Assistant Vice President of VEAC, VEARA and VESC; Formerly, Managing Director, Legg Mason, Inc. | |||
Eduardo Escario, 1975 | Vice President | Since 2012 | Regional Director, Business Development/Sales for Southern Europe and South America of VEAC. | |||
F. Michael Gozzillo, 1965 | Chief Compliance Officer | Since 2018 | Vice President and Chief Compliance Officer of VEAC and VEARA; Chief Compliance Officer of VESC; Officer of other investment companies advised by VEAC and VEARA. Formerly, Chief Compliance Officer of City National Rochdale, LLC and City National Rochdale Funds. | |||
Laura Hamilton, 1977 | Vice President | Since 2019 | Assistant Vice President of VEAC and VESC; Officer of other investment companies advised by VEAC and VEARA. Formerly, Operations Manager of Royce & Associates. | |||
Nicholas Jackson, 1974 | Assistant Vice President | Since 2018 | Director, Business Development of VanEck Australia Pty Ltd. Formerly, Vice President, Business Development of VanEck Australia Pty Ltd. | |||
Laura I. Martínez, 1980 | Vice President and Assistant Secretary | Vice President (Since 2016); Assistant Secretary (Since 2008) | Vice President, Associate General Counsel and Assistant Secretary of VEAC, VEARA and VESC; Officer of other investment companies advised by VEAC and VEARA. Formerly, Assistant Vice President of VEAC, VEARA and VESC. | |||
Matthew McKinnon, 1970 | Assistant Vice President | Since 2018 | Head of Asia - Business Development of VanEck Australia Pty Ltd. Formerly, Director, Intermediaries and Institutions of VanEck Australia Pty Ltd. | |||
Lisa A. Moss, 1965 | Assistant Vice President and Assistant Secretary | Since 2022 | Assistant Vice President of VEAC, VEARA and VESC; Formerly, Senior Counsel, Perkins Coie LLP; Assistant General Counsel, Fred Alger Management, Inc. | |||
Arian Neiron, 1979 | Vice President | Since 2018 | CEO (since 2021) & Managing Director and Head of Asia Pacific of VanEck Australia Pty Ltd.; Officer and/or Director of other companies affiliated with VEAC and/or the Trust. |
84 |
James Parker, 1969 | Assistant Treasurer | Since 2014 | Assistant Vice President of VEAC and VEARA; Manager, Portfolio Administration of VEAC and VEARA. Officer of other investment companies advised by VEAC and VEARA. | |||
Adam Phillips, 1970 | Vice President | Since 2018 | ETF Chief Operating Officer of VEAC; Director of other companies affiliated with VEAC. | |||
Philipp Schlegel, 1974 | Vice President | Since 2016 | Managing Director of Van Eck Switzerland AG. | |||
Jonathan R. Simon, 1974 | Senior Vice President, Secretary and Chief Legal Officer | Senior Vice President (Since 2016); Secretary and Chief Legal Officer (Since 2014) | Senior Vice President, General Counsel and Secretary of VEAC, VEARA and VESC; Officer and/or Director of other companies affiliated with VEAC and/or the Trust. Formerly, Vice President of VEAC, VEARA and VESC. | |||
Andrew Tilzer, 1972 | Assistant Vice President | Since 2021 | Vice President of VEAC and VEARA; Vice President of Portfolio Administration of VEAC. Formerly, Assistant Vice President, Portfolio Operations of VEAC. |
1 | The address for each Trustee and officer is 666 Third Avenue, 9th Floor, New York, New York 10017. |
2 | Officers are elected yearly by the Trustees. |
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This report is intended for the Funds’ shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by a VanEck ETF Trust (the “Trust”) prospectus and summary prospectus, which includes more complete information. Investing involves substantial risk and high volatility, including possible loss of principal. An investor should consider the investment objective, risks, charges and expenses of the Fund carefully before investing. To obtain a prospectus and summary prospectus, which contains this and other information, call 800.826.2333 or visit vaneck.com. Please read the prospectus and summary prospectus carefully before investing.
Additional information about the Trust’s Board of Trustees/Officers and a description of the policies and procedures the Trust uses to determine how to vote proxies relating to portfolio securities are provided in the Statement of Additional Information. The Statement of Additional Information and information regarding how the Trust voted proxies relating to portfolio securities during the most recent twelve month period ending June 30 is available, without charge, by calling 800.826.2333, or by visiting vaneck.com, or on the Securities and Exchange Commission’s website at http://www.sec.gov.
The Trust files its complete schedule of portfolio holdings with the Securities and Exchange Commission for the first and third quarters of each fiscal year on Form N-PORT. The Trust’s Form N-PORT filings are available on the Commission’s website at http://www.sec.gov and may be reviewed and copied at the Commission’s Public Reference Room in Washington, D.C. Information on the operation of the Public Reference Room may be obtained by calling 202.942.8090. The Funds’ complete schedules of portfolio holdings are also available by calling 800.826.2333 or by visiting vaneck.com.
Investment Adviser: | VanEck Associates Corporation | |
Distributor: | VanEck Securities Corporation | |
666 Third Avenue, New York, NY 10017 | ||
vaneck.com | ||
Account Assistance: | 800.826.2333 | INTLAR |