VanEck Launches Wealth Builder ETF With Bitcoin Exposure

VanEck has launched its Wealth Builder ETF (WBMO), combining global stocks, bonds, real assets, and indirect Bitcoin exposure in an actively managed portfolio with a net annual expense ratio of 0.26%. According to the company's announcement on Oct. 27, the fund uses digital asset exchange-traded products to obtain cryptocurrency exposure rather than investing directly in digital assets.

The fund's gross expense ratio stands at 0.33%, which includes a 0.15% management fee and estimated acquired-fund expenses of 0.18%. A 0.07% waiver brings the net ratio down to 0.26%, with the adviser waiving management fees corresponding to fees received from underlying funds.

Structure and Cayman Subsidiary

WBMO's prospectus sets long-term capital appreciation and current income as its investment objective, with NYSE Arca listed as its principal U.S. exchange. Certain investments are held through a wholly owned Cayman Islands subsidiary, which provides exposure to digital assets, commodities, and related instruments through ETPs.

The investment in the Cayman subsidiary is generally capped at 25% of total assets at each fiscal quarter-end under federal tax limits. The fund does not invest directly in futures, options, or swaps, though its underlying ETPs may utilize derivatives.

Wealth Builder Model Portfolio

Built from existing Wealth Builder model portfolios, WBMO makes an investment approach previously offered to financial advisers through third-party platforms available as an exchange-traded fund. VanEck selects the underlying investments, manages allocations, and rebalances the portfolio using an open-architecture approach that includes both VanEck funds and third-party ETFs.

Portfolio allocations are determined through macroeconomic analysis, capital-market expectations, and assessments of each underlying product's strategy, liquidity, expenses, and risk-adjusted returns. VanEck reported $244.1 billion in assets under management as of Sep. 30.

Key facts

• VanEck launched the Wealth Builder ETF (WBMO) on Oct. 27 as an actively managed multi-asset portfolio.
• The fund charges a net annual expense ratio of 0.26%, reduced from 0.33% via fee waivers.
• Cryptocurrency exposure is obtained indirectly through digital asset ETPs rather than direct holdings.
• A wholly owned Cayman Islands subsidiary holds certain investments, capped at 25% of total assets at quarter-end.
• VanEck managed $244.1 billion in assets as of Sep. 30 across mutual funds, ETFs, and institutional accounts.