The Rare Earth stocks have been a bonanza for traders over the last two weeks, and now a lot more eyes are on the sector. Rare Earth Resources Ltd (REE) and Molycorp, Inc. (MCP) specifically have been extremely volatile, and are each up around 35% in the last eight trading days alone. Well, now you don’t have to keep track of all the names within the sector, because tomorrow Van Eck is set to begin trading on their new Market Vectors Rare Earth/Strategic Metals ETF (NYSE:REMX).
The ETF, with a total annual fund operating expense of 0.57%, will seek to replicate the price and yield performance of the Market Vectors Rare Earth/Strategic Metals Index. The stocks in this index are required to have a market cap of greater than $150 million and three month average daily trading volume value of at least $1.0 million. As of October 11, 2011 the index included stock in 24 companies with an average market cap of $1.2 billion. The fund invests at least 80% of total assets in rare earth-related companies.
US stocks in the benchmark index are:
Rare Element Resources Ltd. (AMEX:REE)
Titanium Metals Corporation (NYSE:TIE)
RTI International Metals, Inc. (NYSE:RTI)
Molycorp, Inc. (NYSE:MCP)
General Moly, Inc. (AMEX:GMO)
Thompson Creek Metals Company Inc. (NYSE: TC)
For more information about rare earth, read this article from last week.
