Fund Description: VanEck Vectors J.P. Morgan EM Local Currency Bond ETF, formerly Market Vectors J.P. Morgan EM Local Currency Bond ETF, formerly Market Vectors Emerging Markets Local Currency Bond ETF, is an exchange-traded index fund or Index ETF which is a separate investment portfolio of the VanEck Vectors ETF Trust, an open-ended investment management company. INVESTMENT OBJECTIVE: The VanEck Vectors J.P. Morgan EM Local Currency Bond ETF seeks to replicate as closely as possible, before fees and expenses, the price and yield performance of the J.P. Morgan Emerging Markets Global Core Index. INDEX DESCRIPTION: The J.P. Morgan Emerging Markets Global Core Index is designed to track the performance of bonds issued by emerging market governments and denominated in the local currency of the issuer. The Index is designed to be investible and includes only those countries that are accessible by most of the international investor base. The Index Provider, JPMorgan Securities Inc., selects bonds from each of the emerging market countries set forth below that are fixed-rate, domestic currency government bonds with greater than 13 months to maturity. Countries in the Index are eligible for inclusion in the Index as long as they are classified as having a low or middle per capita income by the World Bank for at least two consecutive years. A country is eligible for exclusion from the Index if it is classified as having a high income per capita by the World Bank for five consecutive years, based on data lagged one year. Changes in country eligibility may warrant the re-categorization of countries into and out of the Index. The Index excludes countries with explicit capital controls, but does not factor in regulatory/tax hurdles in assessing eligibility. The maximum weight to a country in the Index is capped at 10%, the minimum is 3%. The cap is applied monthly on each rebalance day. The excess is redistributed in proportion to the market capitalizations of the other countries in Index with weightings of less than 10%, which preserves the relative weightings of the other markets in the Index. The Index is calculated daily. Total returns are calculated based on the sum of price changes, gain/loss on repayments of principal, and coupon received or accrued, expressed as a percentage of beginning market value, adjusted for currency movements. The following types of bonds are excluded from the Index: floating rate bonds, inflation-linked bonds, capitalization/amortizing bonds, callable bonds, convertible bonds and puttable bonds. FUND STRATEGY: The Fund normally invests at least 80% of its total assets in securities that comprise the Fund’s benchmark index. The Fund’s benchmark is comprised of bonds issued by emerging market governments and denominated in the local currency of the issuer. The Fund, using a passive or indexing investment approach, attempts to approximate the investment performance of the Index. It is expected over time, the correlation between the Fund’s performance and that of the Index before fees and expenses will be 95% or better. A figure of 100% would indicate perfect correlation. Because of the practical difficulties and expense of purchasing all of the securities in the Index, the Fund does not purchase all of the securities in the Index. Instead, a sampling methodology is used in seeking to achieve the Fund’s objective. As such, the Fund may purchase a subset of the bonds in the Index in an effort to hold a portfolio of bonds with generally the same risk and return characteristics of the Index. The Fund may also utilize convertible securities and derivative instruments, such as swaps, options, warrants, futures contracts, currency forwards, structured notes and participation notes to seek performance that corresponds to the Index. Investments that have economic characteristics that are substantially identical to the economic characteristics of the component securities of the Index will count towards the 80% investment policy discussed above. The Fund will concentrate its investments in a particular industry or group of industries to the extent that the Index concentrates in an industry or group of industries. FUND MANAGEMENT: Van Eck Associates Corp. serves as the adviser to the Fund.