VanEck’s Wide Moat Strategy and Municipal Allocation Strategy now available to advisors using Envestnet’s platform; first time Wide Moat Strategy has been made available as a model
VanEck today announced that two of its model portfolios are now available on the Envestnet Wealth platform, which is used by tens of thousands of advisors across the country. These are the first VanEck model portfolios to be made available via Envestnet, which is a leading provider of intelligent systems for wealth management and financial wellness. The two models now available via the Envestnet platform are the VanEck Morningstar Wide Moat Strategy and the VanEck Municipal Allocation Strategy.
VanEck has been a leader in moat-focused strategies for several years, and this model, which packages the VanEck/Morningstar approach to moat investing in a model delivery format for the first time, is similar in approach to that which underpins the $3.4 billion VanEck Vectors Morningstar Wide Moat ETF (NYSE Arca: MOAT®).
The Municipal Allocation Strategy similarly draws upon VanEck’s years of investment experience, in this case municipal markets, and uses VanEck Vectors® Municipal Bond ETFs to pursue long-term capital appreciation and attractive yields while also seeking to reduce duration and credit risk.
"We could not be more excited to have our models on Envestnet’s platform for the first time," said Rick Potocki, Managing Director and Head of U.S. Distribution at VanEck. "Advisors seeking best-in-class income and capital preservation solutions for their clients will now have a powerful tool in our Municipal Allocation Strategy, while our moat-focused large-cap strategy, powered by Morningstar’s industry-leading equity research process, is now available as a model portfolio exclusively to advisors using Envestnet."
"VanEck’s track record as a provider of innovative equity- and income-focused solutions is well-respected in the industry, and these models are welcome additions to the approaches we make available to the advisors on our platform," said Jean Heath, CIMA, Managing Director and Head of the Asset Manager Network at Envestnet. "We look forward to strengthening our partnership with VanEck, and further educating advisors about the utility of these strategies and the roles they can play on behalf of clients."
VanEck has a history of looking beyond the financial markets to identify trends that are likely to create impactful investment opportunities. We were one of the first U.S. asset managers to offer investors access to international markets. This set the tone for the firm’s drive to identify asset classes and trends – including gold investing in 1968, emerging markets in 1993, and exchange traded funds in 2006 – that subsequently shaped the investment management industry.
Today, VanEck offers active and passive strategies with compelling exposures supported by well-designed investment processes. As of June 30, 2020, VanEck managed approximately $56.1 billion in assets, including mutual funds, ETFs and institutional accounts. The firm’s capabilities range from core investment opportunities to more specialized exposures to enhance portfolio diversification. Our actively managed strategies are fueled by in-depth, bottom-up research and security selection from portfolio managers with direct experience in the sectors and regions in which they invest. Investability, liquidity, diversity, and transparency are key to the experienced decision-making around market and index selection underlying VanEck’s passive strategies.
Since our founding in 1955, putting our clients’ interests first, in all market environments, has been at the heart of the firm’s mission.
An investment in the VanEck Municipal Allocation Strategy may be subject to risks which include, among others, municipal securities, credit, interest rate, call, California, New York, New Jersey, Illinois special tax bond, private activity bonds, health care bond, industrial development bond, tobacco bond, transportation bond, water and sewer bond, market, operational, sampling, index tracking, tax, authorized participant concentration, no guarantee of active trading market, trading issues, passive management, Fund shares trading, premium/discount and liquidity of Fund shares and concentration risks, all of which may adversely affect a Fund. High-yield municipal bonds are subject to greater risk of loss of income and principal than higher-rated securities, and are likely to be more sensitive to adverse economic changes or individual municipal developments than those of higher-rated securities. Municipal bonds may be less liquid than taxable bonds. There is no guarantee that a Funds’ income will be exempt from federal, state or local income taxes, and changes in those tax rates or in alternative minimum tax (AMT) rates or in the tax treatment of municipal bonds may make them less attractive as investments and cause them to lose value. Capital gains, if any, are subject to capital gains tax. A portion of the dividends you receive may be subject to AMT.
An investment in the VanEck Vectors Wide Moat ETF (MOAT) or Strategy may be subject to risks which include, among others, investing in equity securities, consumer discretionary, financials, health care, industrials and information technology sectors, medium-capitalization companies, market, operational, index tracking, authorized participant concentration, no guarantee of active trading market, trading issues, passive management, fund shares trading, premium/discount risk and liquidity of fund shares, non-diversified, and concentration risks, which may make these investments volatile in price or difficult to trade. Medium-capitalization companies may be subject to elevated risks.
The Morningstar® Wide Moat Focus IndexSM was created and is maintained by Morningstar, Inc. Morningstar, Inc. does not sponsor, endorse, issue, sell, or promote the VanEck Vectors Morningstar Wide Moat ETF and bears no liability with respect to that ETF or any security. Morningstar® is a registered trademark of Morningstar, Inc. Morningstar Wide Moat Focus Index is a service mark of Morningstar, Inc.
VanEck and Envestnet are separate and unaffiliated firms, and are not responsible for each other’s services or policies. This release should not be construed as a recommendation or endorsement of any particular product, service, or firm.
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 Funds or Strategies 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.
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New York, NY 10017
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Chris Sullivan/Julia Stoll
JConnelly for Envestnet