Multi-asset ETF is a strategy of an investment across stocks, government bonds, corporate bonds and real estate stocks. It makes make investments more defensive, without necessarily eating into returns. It is practiced by the world’s most professional investors. Our Multi-Asset ETFs make Multi-Asset investing easy, bringing it within everybody’s reach.
Investing in multi-asset is like a swing. If one asset class goes down, another might go up and hence compensate.
The expected results are returns that are usually less volatile compared to only investing in a single asset class.
Source: VanEck, for illustrative purposes only.
Most professionals use this knowledge and invest in multiple asset classes.
Example asset allocation from top-1000 US public pension plans 2018
Source: Pensions & Investments, The Largest Retirement Funds. As of 4 February 2019.
You can invest in our VanEck Multi-Asset Allocation ETFs and get exposure to different asset classes with one portfolio. The Multi-Asset ETF strategies rebalance asset classes once a year to maintain a predefined risk profile, and invest in stocks and bonds from roughly 400 companies and governments. Total all-in costs are currently no more than 0.32% per year, which compare so far favorably to other solutions, like actively managed multi-asset funds.
To make sure that our Multi-Asset ETFs are widely diversified, we include four asset classes. Historically, they have tended not to move up and down in price together – what investment professionals call a low correlation. The asset classes are:
Bonds issued in Euro by Eurozone member states such as Germany, France, Italy and the Netherlands.
Bonds issued by large corporations with an investment-grade rating such as Anheuscher Busch, Daimler, JPMorgan and Siemens. All bonds are issued in euro, to avoid currency risk.
Stocks from the 250 largest listed firms in the world.
Global stocks of firms from which invest in real estate, such as offices, warehouses and apartments.
Our Multi-Asset ETFs let you choose how much risk you want to take. They have three levels of risk and return: conservative, balanced and growth. The higher the risk, the higher the expected return and vice versa. The graph below shows you how each of the three options has performed over the last 12 years.
Source: VanEck. Past performance is not a reliable indicator for future performance. Please note that the performance includes income distributions gross of Dutch withholding tax because Dutch investors receive a refund of the 15% Dutch withholding tax levied. Different investor types and investors from other jurisdictions may not be able to achieve the same level of performance due to their tax status and local tax rules. Please see disclaimers at the end of the website.
Risk: Investors should consider risks before investing. See dedicated risk factors section on this website.
The ETF invests in a multi-asset portfolio with a defensive focus.
The ETF invests in a multi-asset portfolio with a neutral focus.
The ETF invests in a multi-asset portfolio with an offensive focus.
While the diversification in a multi-asset strategy reduces risk, it’s important to remember that all investments carry some risk. Our multi-asset ETFs are subject to the four risks below:
Investments in real estate securities can be affected by the general performance of stock markets and the property sector. Interest rate changes, in particular, can have a negative impact. This is one of the risk factors to take into account when considering an investment in a Multi-Asset ETF.
Increases in interest rates have a significant impact on the value of fixed-income securities issued by governments and companies. Potential or actual downgrades in credit ratings can also impact prices. This is another factor to take into account before making an investment in a Multi-Asset ETF.
The value of stocks depends on daily market fluctuations. Other factors that influence them include political and economic news, company results and material corporate events. This is also one of the factors to think about when planning to make an investment in a Multi-Asset ETF.
If the issuer of a bond is unable to pay interest or repay capital, the value of that bond will fall. That is a further risk factor to take into consideration when considering an investment in a Multi-Asset ETF.
For more information on risks, please see the “Risk Factors” section of the relevant Fund’s prospectus, available on www.vaneck.com.