(GUNR) FlexShares Morningstar - Ratings and Ratios

The FlexShares Morningstar Global Upstream Natural Resources Index Fund (GUNR) is designed to track the performance of companies operating in the upstream segment of natural resources. This includes sectors like energy, agriculture, and metals. The fund is structured as an ETF, listed on the NYSE ARCA under the ticker GUNR, and is passively managed to replicate the returns of its underlying index. It is non-diversified, meaning it can take larger positions in individual securities compared to diversified funds.

The fund invests at least 80% of its assets in the securities included in the Morningstar Global Upstream Natural Resources Index. This index is built to capture companies involved in the extraction and production of natural resources, rather than downstream activities like refining or manufacturing. The fund may also hold ADRs and GDRs of foreign companies to gain exposure to non-U.S. markets. This approach allows the fund to cover both developed and emerging markets, providing a global perspective on the natural resources sector.

GUNR is domiciled in the United States and managed by FlexShares, a provider known for its strategic ETF offerings. With an AUM of approximately $5.01 billion, it is a sizeable fund, indicating significant investor interest and liquidity. The fund does not focus on traditional valuation metrics like P/E or P/B, as its strategy is sector-specific and driven by the index methodology. Instead, it aims to align closely with the performance of its underlying index, minimizing tracking error.

For investors, GUNR offers exposure to the upstream natural resources sector, which is critical for understanding global economic trends, particularly as the world transitions to new energy sources and grapples with resource scarcity. The fund’s focus on upstream activities makes it a targeted play on companies involved in extraction, production, and the early stages of resource development.