au en false false
DFNDAU VanEck Global Defence ETF Please read important disclosure Close important disclosure false
  • DFND
    VanEck Global Defence ETF

    DFND
    VanEck Global Defence ETF

    • NAV
      $21.08

      as at 04-Oct-24
    • Total Net Assets
      $7.38M
    • Dividend Frequency
      1 each year
    • Management fee (p.a.)
      0.65%
    • Number of securities
      28
    • Inception Date
      10-Sep-24
    The NAV is generally calculated daily after all markets are closed for that day based on the closing price of the securities on the relevant foreign stock exchange. The NAV is then converted to AUD based on the relevant London WM Reuters 4pm exchange rate. This means, due to Australia’s time zone, that the NAV will generally not be updated until around 3pm next business day.
    DFND Image

    Overview

    Fund Description

    DFND gives investors exposure to a portfolio of listed global companies involved in the military or defence industries. DFND aims to provide investment returns before fees and other costs which track the performance of the Index.

    Key benefits

    Focused portfolio

    Exposure to the largest global companies involved in aerospace & defence, research & consulting, application software and electronic equipment & instruments, that are typically under-represented in benchmarks.

    Advancing technological innovation

    The defence industry is at the forefront of technological innovation and development as governments require specialised hardware and software creating demand for new technologies including AI and cyber security capabilities.

    Differentiated exposure

    An investment in opportunities beyond our borders, with revenues that are not necessarily correlated to general economic cycles, but rather government spending.

    Index Key points

    Index name

    MarketVector Global Defence Industry (AUD) Index

    Overview

    The index measures the performance of companies that are involved in the military or defence industries.

    Methodology summary

    1. Eligible universe

    The Index includes only the largest and most liquid listed companies that generate at least 50% (25% for current constituents) of their revenues from military or defence industries. This may include companies whose business activity from the military and defence industries relates to: aerospace and defence products and services; communications systems and services, including satellites; unmanned vehicles; event response, security, or safety-related software; information technology hardware and services; cybersecurity software; training and simulation software and products; and digital forensics, detection devices, and e-authentication/biometric identification.

    Companies must have:

    • Market cap exceeding US$1 billion
    • 3-month average daily trading volume of at least US$1 million
    • At least 250,000 shares traded each month over the previous 6 months

    2. Business involvement screening

    The Fund does not have an ESG investment objective, nor does the Fund promote ESG outcomes. The Index applies two screens to exclude companies that violate certain criteria included in the following categories: controversial weapons and Norm-Based Research.

    The controversial weapons screen assigns an overall red, amber or green flag to companies based on the their involvement in matters including anti-personnel mines, biological or chemical weapons, cluster munitions, depleted uranium, incendiary weapons, nuclear weapons outside the Non-Proliferation Treaty and white phosphorous. Securities are assigned a red flag and consequently not eligible for inclusion in the Index if they have a verified involvement in the development, production, acquisition, stockpiling, retention, or transfer of these controversial weapons. This assessment covers companies that are directly involved in controversial weapons and key components thereof through its own operations, through a joint venture, through a subsidiary from which there is a majority ownership (≥50%) or controlling shareholder stake or as a bond issuer issuing debt for a company this is verifiably involved in controversial weapons.

    Norm-Based Research refers to the analysis and evaluation of companies failing to abide by global norms concerning society, environment and governance. The scope of the Norm Based Research is applied by the Index Provider and is aligned with the Principles of the U.N. Global Compact and the OECD Guidelines for the Multinational Enterprises. The screen assigns a 1-10 score to a company based on the company’s link with any violations of international standards relating to matters including union rights, work discrimination, bribery, child labour, environmental protection, human rights, forced labour, labour standards, money laundering, labour discrimination, (gender and racial) and boycotts. Companies that are assessed as having a score of 9 or 10 are consequently not eligible for inclusion in the Index. A score of 10 represents that a company has failed to respect established norms that has been verified by an authoritative body and the issue remains unaddressed. A score of 9 represents that a company will imminently fail to respect established norms as they have entered into a contract that would, when actualized, lead to a failure. This assessment covers companies that are directly involved in the controversial conduct through its own operations, through a joint venture, through a subsidiary from which there is a majority ownership (≥50%) or controlling shareholder stake or as a financial institution which provides financial services that may be directly traced to the controversial activity.

    The effectiveness of an exclusionary screen is limited by the accuracy, completeness and accessibility of information and disclosure the relevant entity makes available or is willing to make available. There may be instances where the above screens may not exclude a company if data about the company is incomplete, inaccurate or unavailable.

    You may have differing views, opinions and understanding of the meaning of the terminology used in this section and PDS, to VanEck or MarketVector or their third party providers (including ESG research providers), and therefore your expectations of permitted investments may be different to the actual investments of the Fund.

    3. Weighting

    The Index is a market capitalization weighted index which applies a 8% capping scheme to individual companies for diversification purposes.

    The Index includes a minimum of 25 companies.

    Index provider

    MarketVector Indexes (MarketVector), a related body corporate of VanEck Investments Limited, the responsible entity and issuer of DFND.

    MarketVector disclaimer

    The MarketVector Global Defence Industry (AUD) Index is created and maintained by MarketVector. MarketVector does not sponsor, endorse, issue, sell, or promote DFND and makes no representation or warranty, express or implied, to VanEck or any member of the public regarding the advisability of investing in securities generally or in DFND particularly and bears no liability with respect to DFND.

    Performance

    Holdings & allocations

    Dividends

    Election of Dividend Reinvestment Plan (DRP)

    You can elect DRP by logging into Link’s Investor Centre (https://investorcentre.linkmarketservices.com.au/Login). Once you are logged in, please proceed to the “Payments and Tax” tab and select “Reinvestment Update”.

    Documents & insights

    DFNDAU https://google.com/