Cobalt exchange-traded funds (ETFs) offer exposure to a metal that is vital to modern technology. Cobalt is typically produced as a byproduct of copper and nickel mining and is used across industrial, commercial, and defense applications.
Demand in recent years has grown, driven largely by electric vehicles, where cobalt is a key ingredient in lithium-ion batteries. As EV adoption grows, long-term demand for cobalt will rise.
Because few companies mine cobalt as a primary product, direct exposure can be hard to find. Cobalt-focused ETFs provide a more diversified way to invest in the sector. Below, we highlight some of the top cobalt ETFs to consider.
Top cobalt ETFs in 2026
Since cobalt is obtained as a byproduct of mining other metals, no ETF focuses solely on the metal. However, investors can access this essential element through various mining stocks and base-metals ETFs.
Exchange-Traded Fund | Annual Expense Ratio | Assets Under Management | Description |
|---|---|---|---|
Vanguard Materials ETF (NYSEMKT:VAW) | 0.09% | $3.0 billion | An ETF that invests in mining and base materials stocks |
iShares MSCI Global Metals & Mining Producers ETF (NYSEMKT:PICK) | 0.39% | $1.9 billion | An ETF that holds a portfolio of metal and material mining stocks from around the world |
Global X Lithium & Battery Technology ETF (NYSEMKT:LIT) | 0.75% | $1.7 billion | A fund focused on stocks in the lithium battery industry |
Amplify Lithium & Battery Technology ETF (NYSEMKT:BATT) | 0.59% | $110.9 million | A fund focused on stocks in the lithium battery industry |
1. Vanguard Materials ETF
The Vanguard Materials ETF is a large fund that focuses on companies producing base materials and metals. It offers broad exposure to the materials sector (including cobalt) at a very low expense ratio of 0.09%.
NYSEMKT: VAW
Key Data Points
The ETF held over 110 stocks as of early 2026. It's most heavily weighted toward specialty chemicals (21.7% of the fund's holdings) and industrial gases (18.2%). However, it offers exposure to copper producers (5.1%), many of which also tend to produce cobalt.
The Vanguard Materials ETF offers a modest dividend yield of 1.3% (higher than the S&P 500's yield of around 1.2%), making it an option for investors seeking passive investment income. Although it's not a pure-play on cobalt, this ETF is lower risk because it offers broader exposure to the materials sector.
NYSEMKT: PICK
Key Data Points
The iShares MSCI Global Metals & Mining Producers ETF has top holdings in some of the world's largest cobalt producers, including Glencore (GLNCY -1.50%). Meanwhile, the fund's top holding is the leading copper producer, BHP Group (BHP +0.39%), which obtains cobalt from its nickel and copper refining operations.
3. Amplify Lithium & Battery Technology ETF
The Amplify Lithium & Battery Technology ETF isn't a direct investment in cobalt either. The fund focuses more on battery technology, which is a key driver of cobalt demand. The small ETF held nearly 55 battery-related stocks as of early 2026.
NYSEMKT: BATT
Key Data Points
Amplify's offering has a diverse list of stocks involved in the development and manufacturing of lithium-ion battery technology. It also holds metal mining and production stocks that provide the raw materials used in battery manufacturing. As of early 2026, cobalt stocks comprised 5.4% of the fund's investments. It also counted notable cobalt producers BHP Group and Freeport McMoRan (FCX +0.37%) among its top five holdings.
4. Global X Lithium & Battery Tech ETF
The Global X Lithium & Battery Tech ETF invest in the lithium sector, from mining and refining through battery production.
NYSEMKT: LIT
Key Data Points
As of early 2026, it held over 40 companies. Many of its top holdings are lithium stocks, including its top two holdings, Rio Tinto and Albemarle. It also owns battery makers and electric vehicle manufacturers. Given its focus on lithium and batteries, the ETF's holdings have significant growth potential as EV adoption accelerates.
Benefits and risks of investing in cobalt ETFs
Investing in cobalt ETFs has pros and cons. Some of the benefits include:
- Growth potential: Demand for cobalt should rise in the future due to its importance for making battery electrodes.
- Diversification: ETFs can provide broad exposure to companies that mine cobalt and other metals, as well as battery technology companies.
Meanwhile, some of the risks of investing in cobalt ETFs are:
- No pure plays: No mining companies or ETFs focus solely on cobalt because it's a byproduct produced by mining other metals. Because of that, you can't invest specifically in a pure-play cobalt ETF.
- Underperformance potential: An ETF might underperform a mining company with significant cobalt exposure due to its diversification.
How to choose a cobalt ETF
Investors need to consider a few factors to determine which cobalt ETF is right for them, including:
- Investment focus: Since there are no true pure-play cobalt ETFs, investors need to decide whether they want an ETF focused on mining stocks or battery technology to gain exposure to cobalt.
- Fund size: Small ETFs are at risk of closing and returning capital to investors.
- Cost: Investors need to determine whether an ETF's expense ratio is worth it.
Cobalt ETF vs. Cobalt Stocks
Investing in cobalt stocks provides direct exposure to the cobalt industry's growth. While investing in cobalt stocks is riskier, as an individual cobalt company can underperform due to specific issues, they offer higher overall return potential. Meanwhile, since there are no pure-play cobalt ETFs, the funds available offer less direct exposure to cobalt. ETFs are best for investors seeking a thematic fund to capitalize on the growing adoption of electric vehicles.
Future Outlook for the Cobalt Industry
According to the Cobalt Institute, demand for cobalt will grow at a 7% compound annual rate through 2030, rising from 222,000 tons to 400,000 tons. The main driver is the growing adoption of electric vehicles. Demand will grow faster than supply, causing the market to go from a surplus to a deficit by the early 2030s. That should boost cobalt prices. This outlook suggests that cobalt producers could deliver meaningful production and profit growth in the coming years.
The bottom line
Cobalt is a critical input for electric vehicle batteries, but investing directly in the metal is difficult since it’s typically produced as a byproduct of other mining activities. As a result, there are no pure-play cobalt ETFs.
Cobalt-focused ETFs offer a practical alternative by providing diversified exposure to mining and battery-related companies tied to cobalt demand. While returns won’t track cobalt prices perfectly, these funds can make sense for investors who believe in the long-term growth of EVs and energy storage and are comfortable with commodity-driven volatility.
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FAQs on investing in cobalt ETFs
About the Author
Matt DiLallo has positions in BHP Group. The Motley Fool recommends BHP Group. The Motley Fool has a disclosure policy.
