Soaring Solar ETF Will Get a New Index
The suddenly hot Market Vectors Solar Energy ETF (NYSE: KWT) will be getting a new index. On or about March 18, KWT will begin tracking the Market Vectors Global Solar Energy Index (MVKWTTR). The $13.3 million ETF currently tracks the Ardour Solar Energy Index.
KWT is the latest ETF Van Eck, parent company of Market Vectors, has announced an index change for. On Tuesday, the firm said the popular Market Vectors Agribusiness ETF (NYSE: MOO) will also change indexes on or about March 18. The firm previously announced index changes for the Market Vectors Coal ETF (NYSE: KOL) and the Market Vectors Gaming ETF (NYSE: BJK).
KWT's news index uses the Market Vectors index methodology that focuses on investability, diversification and pure-play exposure to the relative asset class, according to a statement issued by the firm.
That is the same methodology used by popular Market Vectors ETFs such as the Market Vectors Russia ETF (NYSE: RSX), the Market Vectors Semiconductor ETF (NYSE: SMH) and the Market Vectors Junior Gold Miners ETF (NYSE: GDXJ).
In the past month alone, KWT has surged 26.4 percent as solar stocks have rocketed higher on news that China is stepping in to help its flailing solar firms and news of an asset sale by SunPower to a unit of Warren Buffett's Berkshire Hathaway (NYSE: BRK-A).
For more on ETFs, click here.
© 2016 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.