ICOP: ISHARES COPPER AND METALS MINING ETF
ETF Education Report: iShares Copper and Metals Mining ETF (ICOP)
What this ETF is trying to do
The iShares Copper and Metals Mining ETF (ticker: ICOP) is an exchange-traded fund designed to give investors exposure to companies involved in mining metals, specifically copper. Instead of buying just one mining company, this ETF holds many different companies at once.
Top Holdings
The following are some of the largest companies held by this ETF (note that this is a partial list):
• BHP Group Ltd (8.36%)
• Anglo American PLC (8.29%)
• Freeport-McMoRan Inc (7.94%)
• Grupo Mexico SAB de CV Class B (7.92%)
• Newmont Corp (5.64%)
• Teck Resources Ltd Class B (5.47%)
• First Quantum Minerals Ltd (4.58%)
• Evolution Mining Ltd (4.29%)
• Lundin Mining Corp (4.21%)
• Southern Copper Corp (4.19%)
What the numbers show
When looking at how an ETF performs, it is important to understand two different types of returns: price return (how much the share price changed) and total return (the share price change plus any cash distributions received).
Based on the data provided:
• Year-to-Date (YTD): The price return is approximately 22.91%, while the total return is approximately 23.50%.
• One-Year: The price return was approximately 43.01%, and the total return was approximately 45.84%.
• Three-Year: The price return was approximately 132.83%, and the total return was approximately 149.53%.
To visualize the price change, the estimated price from roughly one year ago was $38.08. The current price is $54.46.
Income and distribution explanation
Some investors look for "distributions," which are cash payments made by the ETF. ICOP has a distribution yield of approximately 1.64%. Over the last 12 months, it made three distributions. These payments are described as "irregular," meaning they do not happen on a strict, predictable schedule.
It is important to remember that a distribution yield is not the same as total return. While distributions provide cash, they are separate from the growth of the share price itself.
NAV erosion explanation
"NAV erosion" refers to a situation where the value of the underlying assets in the fund decreases significantly over time. StockValueFinder uses an "erosion-risk score" to measure this risk. For ICOP, the erosion score is 100, and the label indicates "No price erosion detected." There is no severe erosion-risk flag for this ETF.
Pros
• Strong Price Growth: The ETF has shown significant positive price returns over the one-year and three-year periods.
• Total Return: The total return figures are higher than the price return figures, meaning distributions added to the overall value.
Cons
• Irregular Income: The distributions do not follow a regular schedule, which might make it harder to predict when cash will be received.
Beginner takeaway
ICOP tracks companies in the metals mining industry. It has experienced significant growth in its share price over the last three years. While it does pay out cash distributions, they occur irregularly. Always remember to look at both the price return and the total return to get a full picture of how an ETF is performing.
Top Holdings
Structured portfolio holdings supplied by the ETF data provider. These figures are not generated by the AI article.
| # | Holding | Ticker | Weight |
|---|---|---|---|
| 1 | BHP GROUP LTD | n/a | 8.36% |
| 2 | ANGLO AMERICAN PLC | n/a | 8.29% |
| 3 | FREEPORT-MCMORAN INC | FCX | 7.94% |
| 4 | GRUPO MEXICO SAB DE CV CLASS B | n/a | 7.92% |
| 5 | NEWMONT CORP | NEM | 5.64% |
| 6 | TECK RESOURCES LTD CLASS B (SUB VOTING) | n/a | 5.47% |
| 7 | FIRST QUANTUM MINERALS LTD | n/a | 4.58% |
| 8 | EVOLUTION MINING LTD | n/a | 4.29% |
| 9 | LUNDIN MINING CORP | LUNMF | 4.21% |
| 10 | SOUTHERN COPPER CORP | SCCO | 4.19% |