New Listing

VanEck launches hydrogen economy ETF

HDRO tracks the MVIS Global Hydrogen index and has a fee of 0.55%

Tom Eckett

Martijn Rozemuller

VanEck has expanded its thematics range with the launch of a hydrogen economy ETF.

The VanEck Vectors Hydrogen Economy UCITS ETF (HDRO) is listed on the London Stock Exchange (LSE) with a total expense ratio (TER) of 0.55%.

HDRO tracks the MVIS Global Hydrogen index which offers exposure to companies in the global hydrogen economy such as hydrogen producers, fuel cell manufacturers or companies in the electrolysis sector.

In order to capture the megatrend, HDRO invests in companies that mainly generate at least 50% of their sales in the hydrogen industry.

Martijn Rozemuller (pictured), head of Europe at VanEck, commented: “Together with our index team at MVIS, we have worked to develop the most targeted investment solution in the hydrogen space, differentiating it from the broader solutions that have come before.

“The importance of hydrogen as an elementary energy source and raw material in many areas of industry and economy will continue to grow in order to successfully drive their decarbonisation.”

VanEck becomes the second issuer to list a hydrogen economy ETF in Europe. The first was Legal & General Investment Management (LGIM) which unveiled the L&G Hydrogen Economy UCITS ETF (HTWO) in February.

HTWO tracks the Solactive Hydrogen Economy index which offers exposure to 28 companies at a fee of 0.48% and has gathered $294m assets since launch.

VanEck has made a significant push in the thematic ETFs space in recent months. In February, the VanEck Vectors Video Gaming & eSports UCITS ETF (ESPO) passed $1bn assets under management (AUM) while the issuer launched Europe’s first semiconductor ETF, the VanEck Vectors Semiconductor UCITS ETF (SMGB).

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