Impact investment group Engine No. 1 is gearing up to launch its first exchange-traded fund, called the Engine No. 1 Transform 500 ETF. The clue as to how it hopes to shake things up? It’s in the ticker: VOTE.
Instead of excluding companies with bad scores in environmental, social and governance metrics, or handing "good" companies a bigger weighting, the fund aims to encourage better behavior using its shareholder voting rights.