VanEck Takes Bold Step by Lowering Management Fee for CLO ETF to Enhance Investor Access

VanEck Reduces Management Fee for the CLO ETF

In a significant development aimed at improving investor outcomes, VanEck has announced a reduction in the management fee for the VanEck CLO ETF (CLOI), effective from September 8, 2025. The management fee will decrease from 0.40% to 0.36%, which reflects VanEck's commitment to providing cost-effective access to collateralized loan obligations (CLOs). This move not only strengthens CLOI's position within the crowded CLO ETF market but also highlights VanEck's dedication to delivering value to its shareholders.

William Sokol, the Director of Product Management at VanEck, emphasized the benefits of CLOI's active investment strategy. He stated that this strategy offers investors better opportunities to generate attractive yields while effectively controlling risk exposures compared to a ratings-constrained approach. Since its inception, CLOI has demonstrated impressive outperformance versus its benchmark and competitors, driven primarily by the robust decision-making framework of its investment management team.

The team, sub-advised by PineBridge Investments, comprises seasoned professionals with extensive experience in structured credit and leveraged finance. This expertise enables them to navigate a market landscape that has traditionally been dominated by institutional investors. CLOI gives investors access to investment-grade CLO tranches, delivering risk-managed exposure, diversification, and structural protections—all within a transparent, liquid, and operationally efficient ETF framework.

CLOI recently celebrated its three-year anniversary, marking a track record of substantial performance and notable growth that positions it as a leader in the CLO ETF space. The ETF offers investors enhanced potential for higher income and attractive total returns, making it an appealing option for those looking to diversify their portfolios.

In addition to CLOI, VanEck's suite of CLO investment options includes the VanEck CLO AA-BB ETF (CLOB), which is also sub-advised by PineBridge. CLOB primarily targets AA to BB rated tranches of CLOs across various maturities. VanEck's diverse lineup of income-oriented ETFs further features the VanEck IG Floating Rate ETF (FLTR), which focuses on U.S.-denominated floating-rate notes issued by investment-grade corporate entities.

VanEck continues to provide valuable insights and updates on CLOs and income investing strategies through its official website. Investors interested in learning more about the VanEck CLO ETF (CLOI) can explore additional information available there.

About VanEck

With a legacy rooted in identifying impactful investment opportunities beyond conventional markets, VanEck has paved the way for groundbreaking investment strategies. Being one of the first U.S. asset managers to grant access to emerging international markets, VanEck has continually adapted to shifts in the financial landscape. Noteworthy highlights include pioneering gold investing in 1968, tapping into emerging markets in 1993, and launching ETFs in 2006.

As of July 31, 2025, VanEck managed approximately $135.8 billion in assets across mutual funds, ETFs, and institutional accounts. The firm’s offerings span core investment avenues to specialized sectors, ensuring portfolio diversification. Its actively managed strategies are driven by in-depth research and professional security selection by portfolio managers with hands-on experience in their respective fields.

VanEck's ongoing commitment to its clients revolves around prioritizing their interests and needs in all market conditions. This mission has helped cement the firm's reputation as a trusted partner in the financial industry since its establishment in 1955.