New fund replicates performance of more than 50 companies with global operations

As of Tuesday July 5, B3, Brazil’s exchange, will launch a new index fund for investors looking to invest in the international agribusiness market. The FOOD11 ETF, which is managed by Investo, will mirror in Brazil the well-known VanEck Agribusiness ETF (MOO®), a fund that tracks the performance of the MVIS®Global Agribusiness index (MVMOOTR).

 

The MVMOOTR index, in turn, replicates the performance of the largest and most liquid companies in the world’s agribusiness scenario. More than 50 companies are involved from a wide range of sectors, from seeds and fertilizers to agricultural equipment and food processing machinery.

 

In the last ten years, the MVMOOTR index has more than tripled its absolute value reflecting the appreciation of the agribusiness sector, which is essential for the world’s population. The geographic diversity of this index is concentrated 51% in the United States and the rest in companies headquartered in countries like Germany, Canada, Norway, and Japan, among others.

 

The FOOD11 ETF is available on the Brazilian market at the total initial share price of BRL100 (including structuring costs) and comes as a low-cost alternative to diversify agricultural investments by companies with global operations. The ETF is managed by Banco BNP Parisbas S.A and has a management fee of 0.30% p.a., a settlement period of T+1 for payment and T+3 for redemption.

 

Before investing, investors should be aware of their risk appetite and how the product works. Click here to learn more about how ETFs work.