B3 Debuts RARA11 ETF to Play Critical Minerals Boom

Brazilian investors can now gain direct, local-currency exposure to the global critical minerals and rare earths sector. The newly launched ETF, RARA11, managed by Investo, officially began secondary market trading on the B3 exchange in late June 2026. The fund debuts at a time of heightened geopolitical focus on securing supply chains for electric vehicles (EVs), high-tech electronics, and advanced defense systems.

RARA11 replicates the performance of the US-listed VanEck Rare Earth & Strategic Metals ETF (REMX), which tracks the MVIS Global Rare Earth/Strategic Metals Index. This underlying index monitors leading global producers, refiners, and recyclers of these critical materials. By investing in RARA11, Brazilian market participants can access a diversified international portfolio of over 30 companies across China, Australia, the US, and Chile without needing to convert capital into foreign currency.

The fund charges a 0.5% annual administration fee and employs a strict "pure-play" investment strategy. To qualify for inclusion in the underlying index, constituent companies must derive at least 50% of their revenues from rare earths and strategic metals. This methodology ensures targeted exposure to the processing and mining giants that stand to benefit from a projected 50% to 60% surge in global rare earth demand by 2040, according to International Energy Agency (IEA) estimates.

The introduction of RARA11 comes amid broader market movements in Brazil. On the local exchange today, the Ibovespa index (IBOV) traded down 0.68% at 172,024.12. Major domestic commodity and financial heavyweights also registered minor losses, with Petrobras (PETR4) down 0.89% to 37.8, mining giant Vale (VALE3) slipping 0.32% to 77.88, and Itaú Unibanco (ITUB4) declining 0.54% to 42.18.