VanEck has announced the imminent launch of a new ETF on the ASX, the VanEck Global Defence ETF (ASX: DFND).
InvestorDaily understands the ETF should launch on 12 September.
In a short market update this week, VanEck said: “We believe this is an opportunity for investors that is not readily available on ASX”.
The fund manager highlighted that defence companies offer portfolio stability due to mandated global government spending and the ongoing geopolitical environment driving increased expenditures. Additionally, the defence industry’s consistent growth and technological advancements across various regions make it a reliable investment.
In June, VanEck announced the addition of four new hires to its Australian business in a bid to increase its market share among financial advisers and institutional investors.
At the time, Arian Neiron, VanEck’s APAC chief executive and managing director said: “Demand is ramping up as advisers get better acquainted with the opportunities our investment strategies bring”.
“However, there’s still a lot of room to grow. ETFs currently make up only a fraction of the total $4.75 trillion of funds under management in Australia.
“Our market-leading ETF strategies have the potential to capture a much bigger slice of the pie, and our new hires will help bolster our efforts to achieve that growth.”
