Sprott Asset Management has launched four exchange traded funds focused on providing investors pure-play exposure to critical minerals essential to the generation, transmission, and storage of cleaner energy. The four funds are the Sprott Energy Transition Materials ETF (SETM ), the Sprott Lithium Miners ETF (LITP ), the Sprott Junior Uranium Miners ETF (URNJ ), and the Sprott Junior Copper Miners ETF (COPJ ).
Sprott’s new Energy Transition ETFs enable investors to gain liquid exposure to the miners of critical minerals that may benefit from quickly increasing demand, limited supplies, and the challenges of bringing minerals to market.
SETM seeks to provide investment results that correspond generally to the total return performance of the Nasdaq Sprott Energy Transition Materials Index, which is designed to track the performance of a selection of global securities in the energy transition materials industry.
LITP seeks to provide investment results that correspond generally to the total return performance of the Nasdaq Sprott Lithium Miners Index, which is designed to track the performance of a selection of global securities in the lithium industry, including lithium producers, developers, and explorers.
URNJ seeks to provide investment results that correspond generally to the total return performance of the Nasdaq Sprott Junior Uranium Miners Index, which is designed to track the performance of mid-, small-, and micro-cap companies in uranium mining-related businesses.
COPJ seeks to provide investment results that correspond generally to the total return performance of the Nasdaq Sprott Junior Copper Miners Index, which is designed to track the performance of mid-, small-, and micro-cap companies in copper mining-related businesses.
“2022 was a global wake-up call regarding the importance of energy transition and security,” said John Ciampaglia, CEO of Sprott Asset Management. “Certain critical minerals serve as raw materials that are required to meet the growing need for low-carbon energy, increased electrification and the transition to electric vehicles.”
Ciampaglia added: “Due to years of underinvestment, demand for many energy transition materials now outstrips supply. We believe mining companies focused on energy transition minerals are well positioned to benefit from the significant investments that will be required over the coming decades.”
The funds track indexes that Sprott Asset Management has developed in partnership with Nasdaq, which will also list the ETFs on its exchange.
“We’re excited to support Sprott Asset Management with the launch of four Energy Transition ETFs as both the index provider and listing partner,” said Giang Bui, head of U.S. exchange traded products at Nasdaq. “Fueled by innovation, Nasdaq seeks to continue expanding our suite of unique indices that provides meaningful ways for the investment community to track the companies transforming tomorrow.”
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