Asset Manager Seeks US ETFs Excluding Musk’s Tesla and SpaceX
Summary
- US asset manager Subversive is seeking to launch two ETFs that exclude Tesla and SpaceX.
- The funds would track the Nasdaq-100 and the S&P 500 and trade under the tickers 'QQNE' and 'SPNE,' respectively.
- The market has also pointed to growing personalization of the ETF market as more funds reflect investor preferences toward specific individuals.
Forecast Trend Report by Period
A pair of exchange-traded funds that would exclude Elon Musk-led Tesla Inc. and SpaceX is being prepared for launch in the US.
Bloomberg reported on July 9 that US asset manager Subversive filed paperwork with the Securities and Exchange Commission to launch two ETFs tracking the Nasdaq-100 and the S&P 500 while excluding Tesla and SpaceX.
The funds would trade under the tickers QQNE and SPNE. Subversive said it designed the products for investors who are put off by Musk’s political activities and management style.
The filing is also drawing criticism that ETF products are becoming too narrowly segmented. Bloomberg said the emergence of funds reflecting investor preferences toward a specific individual shows deepening personalization in the ETF market.
Nate Geraci, president of Novadius Wealth Management, said he understands the idea of reflecting investor views on Musk in an investment product. Excluding specific companies based solely on opinions about one person, however, would fragment the market too far, he added.
YM Lee
20min@bloomingbit.ioCrypto Chatterbox_ tlg@Bloomingbit_YMLEE