Market Vectors expands hard-assets indexes with new Global Oil Refiners

By Toni Weeks

San Luis Obispo, Calif., May 21 – Market Vectors Index Solutions said it has expanded its hard-assets indexes with the launch of the Market Vectors Global Oil Refiners index.

The new index is a pure-play index that covers the global space of oil refinery companies that provide at least 50% of their revenues from crude oil refining. These companies produce, among other things, gasoline, diesel, jet fuel, fuel oil, naphtha and other petrochemicals. The index coverage also includes companies that market and distribute such products, as long as the refining process is performed in company-owned refineries.

“The Global Oil Refiners index complements our energy indices that currently cover a wide range of investment themes such as oil services and fracking as well as nuclear and solar energy,” chief executive officer Lars Hamich said in a press release.

“The new index adds value to our index line-up – and to commodity investing – because it focuses on a segment of the oil market that other widely followed indices have neglected.

“The refining industry has, at times, performed differently than other sectors in the energy market. A financial product based on our index will be attractive to investors because it provides diversification within an energy portfolio.”

The new index, which is reviewed quarterly, is weighted by free-float market capitalization and is calculated in U.S. dollars as a price and a total return net index. Capping factors are applied to avoid overweighting of single index companies.

Market Vectors Index Solutions, a wholly owned subsidiary of Van Eck Associates Corp., develops, monitors and licenses the Market Vectors indexes, a selection of focused, investable and diversified benchmark indexes. Its head office is located in Frankfurt.

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