GENZ vs NICO

GENZCVanEck Digital Native Economy ETF

NICODHexis Active Nicotine Engagement ETF

In short

GENZ Longevity is rare in thematics: GENZ dates back to 2008 and today tracks the MarketVector Digital Native Economy Index, roughly 40 US stocks, for 0.51% a year, below its peer group's median fee.

NICO Most staples funds own tobacco as a sliver next to soap and soda. This one makes it the whole trade: active management, a global mandate, and at least 80% of assets in tobacco and nicotine companies.

Stated mandate

GENZ GENZ seeks to replicate the MarketVector Digital Native Economy Index before fees and expenses. It uses a passive approach and normally invests at least 80% of assets in securities comprising that index.

NICO The Fund seeks long-term capital appreciation through active management, normally investing at least 80% of net assets in companies engaged in the global tobacco and nicotine sectors.

Why people hold it

• GENZ At 0.51% a year it undercuts the 0.57% median fee in its thematic peer group, so the theme doesn't carry a novelty markup.
• Rules over hunches: it replicates the MarketVector Digital Native Economy Index and normally keeps at least 80% of assets in that index's securities.
• A 2008 launch is old age in thematic land. This fund has traded through multiple full market cycles under the same issuer.

• NICO Pure-play by design: at least 80% of net assets go to global tobacco and nicotine names, not a slice of a diversified staples basket.
• Actively managed rather than index-tracking, with a global remit, so the manager can pick across markets instead of following a fixed weighting.
• Standard 1940 Act ETF plumbing: it trades like any ordinary stock fund, and shareholders get a 1099 rather than a K-1.sec.gov

Worth knowing

• GENZ Thinly traded with a small asset base, so spreads tend to be wider and the cost of getting in and out is a real part of the bill.
• Roughly 40 stocks in one theme. Individual names move the fund, and swings can run deeper than a broad US equity index.
• Cheaper tech-theme options sit in the same cohort (LRND at 0.14%, TECB at 0.30%), and GENZ lands in the lower half of that peer group on our review.

• NICO 0.70% a year is the price of active, single-theme access; the broad staples index funds in its group (XLP, VDC, FSTA) charge under a tenth of a percent.
• A small, thinly traded fund since its 2026 launch, so bid-ask spreads can run wider than on the giant staples funds.
• Income is not the mandate here: the objective is long-term capital appreciation, and regular payouts have not been a feature of the fund.

Full GENZ profile⁠

Full NICO profile⁠