VanEck Vectors Environmental Services ETF (EVX US) - Portfolio Construction Methodology

Core Insights - The VanEck Vectors Environmental Services ETF (EVX US) provides exposure to U.S.-listed companies primarily engaged in environmental services [1] - The underlying index includes companies involved in solid-waste collection, recycling, soil remediation, and wastewater management [1] Index Construction Methodology - The NYSE Arca Environmental Services Index employs a rules-based approach to select eligible companies, requiring a market capitalization above 100 million USD and a three-month average daily traded value exceeding 1 million USD [1] - Constituents are reviewed quarterly, with companies falling below a market cap of 75 million USD or a traded value of 750,000 USD being removed to maintain at least 90% of index weight in qualifying securities [1] - The index utilizes a modified equal-weighting scheme, where the four largest companies collectively account for 40% of the index weight, while the smallest five contribute 10%, and the remaining constituents share the residual 50% equally [1] - Quarterly reviews reset both memberships and weights within the index [1]