What is the main difference between REMX and XME?

REMX focuses on rare earth and strategic metals essential for technology, while XME offers broader exposure to the metals and mining sector including steel, gold, and copper. REMX is a thematic fund with a higher expense ratio of 0.53%, whereas XME is a diversified sector fund with a lower expense ratio of 0.35%. Understanding these core differences helps investors interpret the funds' performance and risk profiles effectively.

What does a higher expense ratio mean for my returns?

An expense ratio is an annual fee deducted from a fund's assets. REMX has a 0.53% expense ratio, which is 0.18 percentage points higher than XME's 0.35%. This means REMX costs more to hold over time. While the difference seems small, it compounds annually, potentially reducing net returns. Lower fees are generally preferable for identical exposures, but thematic funds like REMX often charge more for specialised management.

How do the dividend yields of REMX and XME compare?

REMX currently offers a dividend yield of 1.84%, whereas XME provides a yield of 0.32%. REMX's higher yield may appeal to those seeking some income, but this does not necessarily indicate better performance or stability. Dividend yields fluctuate with stock prices and company payouts. Investors should consider that REMX's yield is part of its specific strategic metals focus, while XME's low yield reflects its broad mining sector holdings.

Do REMX and XME hold the same companies?

There is limited overlap. The only shared top-10 holding is MP. REMX's top holdings include ALB, SQM, and ALM, focusing on rare earth and lithium companies. In contrast, XME's largest positions are CLF, RS, and NEM, representing diversified metals like steel and gold. This distinct composition shows that while both are in natural resources, they target very different segments of the supply chain.

Which fund is associated with critical technology materials?

REMX is typically associated with critical technology materials, as it tracks companies involved in rare earth elements and strategic metals essential for renewable energy and electronics. XME, by contrast, covers a wider range of traditional metals and mining operations. If your interest lies specifically in the supply chain for modern tech or green energy components, REMX's focused mandate aligns more closely with that thematic exposure than XME's broad sector approach.

How do the assets under management influence liquidity?

XME has net assets of $4.4 billion, compared to REMX's $2.0 billion. Larger asset bases often correlate with higher trading liquidity, making it easier for investors to buy or sell shares without significantly impacting the price. While both funds have substantial capital pools, XME's greater size may offer tighter bid-ask spreads for frequent traders. However, REMX's significant assets indicate it is also a stable and accessible vehicle for investors.

What are the concentration risks for these funds?

Both funds face concentration risks in their top holdings. REMX concentrates in specific rare earth and lithium companies, increasing sensitivity to individual corporate performance. XME, while diversified across metals, has significant exposure to major players like CLF and NEM. High concentration in the top ten holdings means that poor performance by a few companies can disproportionately impact the fund's overall return, regardless of broader sector trends.

How do I interpret the shared holding MP in both funds?

MP appears in the top ten holdings for both REMX (6.75%) and XME (4.76%). This indicates that MP is a significant player in both the strategic metals niche and the broader mining sector. However, its weight is higher in REMX, reflecting the fund's tighter focus on rare earths. Observing this overlap helps investors understand that some companies serve multiple market segments, though the relative importance varies by fund strategy.

Why are sector weights not available for these ETFs?

The provided data indicates that sector weights are 'not available' for both REMX and XME. This is common for thematic or specialised funds where companies may span traditional sector classifications. For REMX, the focus on rare earths defies simple sub-sector grouping. Investors should rely on top holdings and fund prospectuses to understand exposure, rather than expecting standard sector weight breakdowns that apply more naturally to broad market indices.

What should I remember when reading this ETF comparison?

Remember that this page is for educational purposes only and does not constitute financial advice. The data, including expense ratios of 0.53% for REMX and 0.35% for XME, are current as of the fetch date. Always verify latest information with official sources. Understand that past performance, such as yield or asset growth, does not guarantee future results, and consider your own risk tolerance before investing.

REMX vs XME

Two funds, one decision: we compare cost, performance and what each ETF actually holds in September 2026.

Compare REMX (VanEck Vectors Rare Earth/Strategic Metals ETF) and XME (S&P Metals and Mining SPDR ETF). This page examines their fees, holdings, dividends and how each fund tracks its market. REMX has a 0.53% expense ratio and 1.84% yield, while XME offers 0.35% fees and 0.32% yield. Note that both have a shared top-10 holding: MP. Educational content, not financial advice.

Compare REMX (VanEck Vectors Rare Earth/Strategic Metals ETF) and XME (S&P Metals and Mining SPDR ETF). This page examines their fees, holdings, dividends and how each fund tracks its market. REMX has...

Fund Snapshot

Key Fund Metrics

REMX

Metric

XME

0.53%

Expense Ratio

0.35%

1.84%

Dividend Yield

0.32%

$1.97B

Net Assets

$4.40B

36

Holdings

39

Oct 27, 2010

Inception Date

Jun 19, 2006

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Index Tracked

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Natural Resources

Fund Category

Natural Resources

XME costs about $18.00 less per year for every $10,000 invested.

Shared Top Holdings

Holding	REMX	XME
MPMP Materials Corp.	6.75%	4.76%

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Investment Analysis

REMX

Pros

VanEck Rare Earth ETF offers strategic exposure to critical materials essential for modern technology and renewable energy sectors.
The fund provides a distinct focus on rare earth elements and strategic metals, differentiating it from broader commodity baskets.
Recent assets under management reach $2 billion, indicating a significant and stable pool of capital for investors.

Considerations

Its expense ratio is 0.53 percent, which is relatively high for a thematic exchange traded fund.
The dividend yield of 1.84 percent may underperform income seekers compared to broader industrial sectors.
Concentration in the top ten holdings, including lithium and rare earth companies, increases specific company risk.

XME

Pros

The fund's expense ratio is only 0.35 percent, providing a lower cost option for sector exposure.
With $4.4 billion in assets, SPDR Metals and Mining demonstrates strong liquidity for institutional and retail traders.
It offers diversified exposure across metals and mining, covering steel, gold, copper, and coal sectors.

Considerations

The fund tracks a cyclical sector, resulting in high volatility during economic downturns or commodity price swings.
Its dividend yield of 0.32 percent is low, potentially limiting income for dividend-focused investors.
Top holdings include major companies like Cliffs Natural Resources and Newmont, creating concentration risk.

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