EQS-News: Benzinga
/ Key word(s): Financial
By Drew Voros, Benzinga DETROIT, MICHIGAN - March 5, 2026 (NEWMEDIAWIRE) - For the latest standardized performance and holdings of the Sprott Copper Miners and Sprott Junior Copper Miners ETFs, please visit the individual website pages COPP and COPJ. Past performance is no guarantee of future results. As artificial intelligence becomes more of a fixture in everyday life and business, one key commodity could stand to see increased demand from the construction of AI infrastructure and the ongoing support of industries that revolve around it. Copper demand, both in construction and technical infrastructure, could continue to increase as economies around the globe increase their focus on infrastructure. The metal is a chemical element that is soft, malleable and ductile with very high thermal and electrical conductivity. Copper is used as a conductor of heat and electricity and is easily mined and processed. The metal occurs naturally but can also be used cast and shaped in a mold for a variety of uses. Like with other precious and strategic metals, exchange-traded funds offer easy access to the metal rather than having to open a commodity brokerage account. Of course, ordinary brokerage fees apply. For investors looking to potentially capitalize on the metal, some funds offer mining options as a play and can be accessed through ETFs focused on mining companies. ETFs May Allow For Efficient Copper Miners Investing* Fund options include Sprott Copper Miners ETF (NASDAQ: COPP) from Sprott, which launched in March of 2024 and has attracted $290 million in assets under management as of Feb. 18 and carries an expense ratio of 0.65%. There is also a potential play on junior copper miners with Sprott Junior Copper Miners ETF (NASDAQ: COPJ), which has $375 million in AUM as of Feb.18 and has an expense ratio of 0.35%. AI Likely Drives Growth Expansion New global facilities are needed to keep pace with growth projections for artificial intelligence. According to UN Trade and Development statistics, the AI market is forecast to rise from roughly $200-$400 billion to more than $1.8 trillion-$4.8 trillion by 2030-2033. One key building material for those projects will be copper, for use from plumbing to electrical infrastructure, as the industry builds out to meet growth. At the forefront of AI governance initiatives are the G7 countries (U.S., Canada, France, Germany, Italy, Japan and the United Kingdom). Other countries are watching how those initiatives develop for adaptation. Furthermore, the companies seen shaping the AI landscape are multinational giants such as Apple, Meta, Open A.I., Microsoft and Nvidia that have the resources to invest into AI now and into the future. Bechtel Corp., Turner Construction Co., Kiewet Corp., Fluor Corp., DPR Construction and AECOM all have annual revenues between $14 billion and $23 billion. An increasing share of revenues from those countries could correlate with increased copper demand. Copper's Supply Chain Copper can be found throughout the world. Chile produces the most copper, extracting 5.3 million tons in 2024, followed by the Democratic Republic of the Congo (3.3M tons), Peru (2.6M tons) and China (1.8M tons). Production is expected to grow in the mid-single digits throughout this decade, according to the UN Trade and Development organization. Due to copper's essential role in the green energy transition and industries stepping away from fossil fuels, its demand is growing and, for many observers, is expected to be sustained. By the early 2030s, this demand is expected to exceed supply by more than 6 million metric tonnes annually, with copper consumption rising from 25 million metric tons in 2021 to 39 million metric tons by 2040, according to the UN Trade and Development statistics. However, current mining rates may only see a 16% increase in primary copper production by 2040, far below the needed 56%, indicating a substantial shortfall. While recycled copper currently bridges some of the supply gap, new mines and improved recycling are essential to prevent severe copper shortages by 2040, according to Addionics. Riding The Wave Total return performance has also been robust for COPP and COPJ, with COPP up 98% in the past year and COPJ at 140%, as of February 2026. At the same time, it is necessary to keep in mind that past performance does not guarantee future performance. Access to metal has gotten easier over the years, with the funds mentioned that can all be purchased through any online brokerage or by asking your financial advisor. Check out Sprott's website for more information here. *An ETF is described as efficient when it is structured to seek its intended investment exposure with relatively low costs and limited operational frictions, such as tracking differences or trading spreads. Efficiency does not imply better performance or results and can vary over time. None of the company names mentioned above comprise current holdings of either COPP or COPJ. All holdings are subject to change. Featured image from Shutterstock. This content was originally published on Benzinga. Read further disclosures here. This post contains sponsored content. This content is for informational purposes only and is not intended to be investing advice. An investor should consider the investment objectives, risks, charges and expenses of each fund carefully before investing. To obtain a fund's Prospectus, which contains this and other information, contact your financial professional, call 1.888.622.1813 or visit SprottETFs.com. Read the Prospectus carefully before investing. Exchange Traded Funds (ETFs) are considered to have continuous liquidity because they allow for an individual to trade throughout the day, which may indicate higher transaction costs and result in higher taxes when fund shares are held in a taxable account. The funds are non-diversified and can invest a greater portion of assets in securities of individual issuers, particularly those in the natural resources and/or precious metals industry, which may experience greater price volatility. Relative to other sectors, natural resources and precious metals investments have higher headline risk and are more sensitive to changes in economic data, political or regulatory events, and underlying commodity price fluctuations. Risks related to extraction, storage and liquidity should also be considered. Shares are not individually redeemable. Investors buy and sell shares of the funds on a secondary market. Only "authorized participants" may trade directly with the fund, typically in blocks of 10,000 shares. Sprott Asset Management USA, Inc. is the Investment Adviser to the Sprott ETFs. ALPS Distributors, Inc. is the Distributor for the Sprott ETFs and is a registered broker-dealer and FINRA Member. ALPS Distributors, Inc. is not affiliated with Sprott Asset Management USA, Inc. View the original release on www.newmediawire.com News Source: Benzinga 05.03.2026 CET/CEST Dissemination of a Corporate News, transmitted by EQS News - a service of EQS Group. |
| Language: | English |
| Company: | Benzinga |
| United States | |
| EQS News ID: | 2286522 |
| End of News | EQS News Service |
2286522 05.03.2026 CET/CEST
