Chemicals Industry ETF

Chemicals Industry ETFs (see ETF and Index Fund) are listed Exchange Traded Funds particular to the Chemicals sector, and will likely contain huge multinationals, such as DuPont, BASF, Dow Chemical, Bayer AG (Monsanto), and others.

Vanguard Materials (VAW) would be an example of a Chemicals Industry ETF, of which there are quite a few. In general, Chemicals Industry ETFs also include agricultural and basic materials, as those industries are heavily tied to chemicals for manufactured substances used for farming, production, and manufacturing. The Chemicals sector is very sensitive to business cycles, so profits are fat during boom periods, and losses are common during lean times due to reduced margins.