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Impact Shares Launches NAACP-Affiliated ETF: Portfolio Products

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Impact Shares in partnership with the NAACP announced the launch of the Impact Shares NAACP Minority Empowerment ETF (NACP).

NACP is designed to reflect NAACP’s values of justice, equality and inclusivity. The ETF invests in large-cap companies that empower minorities including hiring, pay and promotion practices as well as their products, services and supply chains.

The fund seeks investment results that generally correspond to the price and yield performance of the Morningstar Minority Empowerment Index, built in collaboration with Morningstar and Sustainalytics.

“The ongoing social issues affecting communities of color present us with an opportune time to offer our members another way to advance our mission,” Marvin Owens, senior director of the NAACP Economic Department, said in a statement. “The NACP ETF is the first of its kind in that investors can allocate money to the companies that have a track record of supporting the NAACP’s vision for corporate America and our constituents.

Unlike other ETFs where operating profits are captured by a Wall Street investment firm, Impact Shares will direct its net advisory profits from this ETF back to the NAACP and to our mission as a non-profit.

Bloomberg reports, citing Ethan Powell, the founder of Impact Shares, that this means the NAACP will receive about $5 a year for every $1,000 invested in the fund, which charges investors $7.50.

ProShares Launches ETF Focused on Companies Reshaping Online Shopping

ProShares launched a new ETF that invests only in retailers principally selling online or through other non-store channels.

The ProShares Online Retail ETF (ONLN) focuses on the largest players in the space—such as companies like Amazon and Alibaba. ONLN has an expense ratio of 0.58%.

ONLN tracks the ProShares Online Retail Index, which was designed to measure the performance of publicly traded companies that principally sell online or through other non-store channels, such as mobile or app purchases, rather than through bricks-and-mortar store locations.

The index uses a modified market-capitalization weighting approach. The ProShares Online Retail Index’s constituents may include U.S. and non-U.S. companies listed on a U.S. stock exchange.

Companies in the index must be classified as an online retailer, an e-commerce retailer or an internet or direct marketing retailer, according to standard industry classification systems. These companies also must have a market capitalization of at least $500 million and a six-month daily average value traded of at least $1 million and meet other requirements.

Impax Launches Pax Global Opportunities Fund

Impax Asset Management announced the launch of the Pax Global Opportunities Fund (PXGOX). This is the first product introduction since Pax World Management was acquired by Impax Asset Management Group plc in January 2018.

The Pax Global Opportunities Fund seeks to deliver capital growth by investing in companies positioned to benefit from the transition to a more sustainable global economy. Impax believes that demographic change, resource scarcity, inadequate infrastructure and environmental constraints will disrupt private sector markets profoundly in the coming years, creating opportunities for well-positioned companies and increased risk for companies unable or unwilling to adapt.

The fund aims to invest in companies that possess sustainable competitive advantages and track records of consistent returns on investment. Environmental, Social and Governance (ESG) analysis is an integral part of Impax’s investment research and process, providing risk mitigation and important insight into the character of a company.

The investment managers intend to take a five-year view of a company’s prospects before investing, hold a concentrated portfolio of 35 to 45 companie, and run the fund with a low level of turnover. The portfolio has broad geographic and sector exposure and is overweight to mid-cap companies relative to the MSCI ACWI benchmark. The fund has a net expense ratio of 0.98%.

American Funds Launches a Tax-Advantaged Savings Plan for Disability Expenses

American Funds launched a tax-advantaged savings plan called ABLEAmerica, which aims to be the first ABLE plan available through financial advisors for individuals with disabilities and their families.

In general, ABLEAmerica accounts are available to U.S. citizens and permanent residents with a disability or blindness that occurred before the age of 26. Financial advisors can assist eligible individuals open ABLEAmerica accounts and can also help individuals with disabilities and their families create savings and investing plans for long-term financial health.

For an ABLE account, qualified disability expenses include, but are not limited to, the beneficiary’s basic living expenses, housing, health and wellness, transportation, education, employment training and support, assistive technology, financial management, professional services and legal fees.

For the 2018 tax year, the annual contribution limit is $15,000. Each account is subject to a $500,000 account maximum, after which no additional contributions will be accepted but earnings will continue to accrue.

Motif Announces Diversified Cryptoassets Portfolio for Individual Investors

Fintech company Motif announced that it plans to be the first broker-dealer to offer access to a diversified portfolio of cryptoassets to individual investors.

The launch is scheduled for later this year, and right now Motif is allowing investors to sign up to a “wait list.”

According to Hardeep Walia, CEO & Founder at Motif, Motif’s approach is “to offer a way to easily invest in a diversified portfolio of these emerging assets.”

“We see this as an important step forward that will offer Motif customers a way to smartly include Bitcoin and other digital assets in their investment portfolios,” he said in a statement.

—Read last week’s roundup of portfolio products here: ImpactAssets Unveils Portfolio Directory of Impact Investing Deals


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