Cathie Wood’s ARK Investment Management is gearing to roll out a new exchange-traded fund that will focus on firms linked to environmental, social, and governance standards, Bloomberg reported.
Dubbed as the Transparency ETF, the new fund will track an index largely composed of tech and consumer firms. It shuts stocks linked to vices such as alcohol and gambling, as well as banking, oil, and gas.
The fund will have a 100-company gauge, including Apple Inc., Chipotle Mexican Grill Inc., Nike Inc., Microsoft Corp., Salesforce.com Inc., and Tesla Inc. Analysts believe the fund does not have a “moralizing vibe” but encourages investors to pour money into transparent firms.
The planned fund will be Ark’s second this year, after its space-related fund launched in March. The ARK Space Exploration ETF has since gained 4% with over $600 million in assets.
Ark currently has eight other exchange-traded funds available, of which six are actively managed, and two are passive. AAPL is up 1.82%, CMG down 0.29%, NKE up 0.78%, MSFT up 0.83%, CRM up 1.50%, and TSLA up 0.68%.