Van Eck Debuts Unconventional Oil & Gas ETF

Van Eck announced today the debut of an exchange-traded fund that offers exposure to companies employing “unconventional” approaches towards producing energy commodities such as crude oil and natural gas. The new Market Vectors Unconventional Oil & Gas ETF (FRAK) will seek to replicate an index comprised of companies operating in segments such as coalbed methane, coal seam gas, shale oil and gas, and oil sands. Under The Hood The new ETF will consist of companies that have the potential to generate at least 50% of their revenues from unconventional oil and gas. The underlying Market Vectors index consists of about 43 individual components, with U.S. companies (71%) and Canadian stocks (29%) representing the vast majority of the portfolio. FRAK has a tilt towards large cap companies, as about 84% of the underlying index consists of stocks with a market capitalization of $5 billion or more. The largest individual weightings include: [...] Click here to read the original article on ETFdb.com. Related Posts: Market Vectors Files For Unconventional Oil & Gas ETF Three Forgotten ETFs To Play Oil ETF Dividend Ideas For 2011 Claymore Changes Name To Guggenheim Funds Are Energy ETFs Now A Buy?