This ETF offers exposure to the global coal industry, making it one option for investors who believe that demand for this fuel source will increase. Because coal consumption depends on the health of the global economy, KOL will generally be a high beta play that exhibits heightened sensitivity to global equity markets. As a narrowly-focused fund, KOL is likely too targeted for most investors seeking to devise a long-term portfolio. But it can be useful as a satellite holding for those with a bullish outlook on this sector. Given the targeted focus, it isn't surprising that KOL is somewhat concentrated; the underlying portfolio consists of about 40 stocks and makes significant allocations to a few of the largest companies in the underlying index. The other coal ETF options in PKOL; that ETF maintains a higher allocation to international stocks than does KOL, and suffers from some of the same concentration issues. KOL is more competitive from a cost perspective.