By comparing top Global Resources ETFs available to the US investor with global mining conglomerates, our theme attempts to highlight key factors to prepare an investment in commodities
- The miners have benefited from a strong trend over the past 24 months (20016-2017), staging a comeback from very low points in 2015 but, compared to most ETFs, their shares have tended to be more volatile (which is especially true of Vale
and the price the company pays for a sterling performance). The product mix, and much sought after specialties such as cobalt, have also helped the miners dominate the rooster - It can be argued that global resource and metal ETFs provide more stability and differentiation and that, in deciding on an ETF investment, volatility (often related to liquidity of the fund) should weigh as much as past performance. But in making this choice, diversification of the fund in its chosen Material segment must be considered
- Stark differences between the base materials are highlighted in our dedicated theme