Advisors' Top Questions About the TOV ETF

The JLens 500 Jewish Advocacy U.S. ETF (TOV) tracks an index of the 500 largest U.S. companies, screened and scored based on alignment with Jewish values, excluding those with significant revenue from tobacco, oil sands, thermal coal, for-profit prisons, or involvement in anti-Israel activities; currently, Altria, Philip Morris, ConocoPhillips, and General Mills are excluded. TOV employs an "own and advocate" approach, engaging with corporate leadership to combat antisemitism, support Israel, and promote Jewish principles, while also retaining the ability to vote on shareholder proposals.

Analysis

The JLens 500 Jewish Advocacy U.S. ETF (TOV) offers exposure to the 500 largest U.S. public companies, applying a unique investment methodology rooted in Jewish values and active corporate engagement. Its underlying index screens companies based on alignment with these values, leading to the exclusion of firms with significant revenue from tobacco, oil sands, thermal coal, for-profit prisons, or those involved in anti-Israel activities; notably, Altria (MO), Philip Morris (PM), ConocoPhillips (COP), and General Mills (GIS) were excluded at the ETF's February 2025 launch. A core tenet of TOV's strategy is "own and advocate," prioritizing constructive dialogue with corporate leadership to combat antisemitism, support Israel, and promote Tikkun Olam, rather than broad exclusions. This approach allows JLens to leverage its shareholdings, for example, by voting on proposals for improved energy efficiency in fossil fuel companies it holds and engaging on issues like antisemitism education. Excluded companies are reviewed quarterly for potential reinstatement based on changes in their practices. VettaFi acts as the index provider for TOV, receiving a licensing fee, but holds no responsibility for the ETF's issuance or trading. The sentiment surrounding the ETF's methodology is neutral, while the identified excluded companies carry a slightly negative sentiment due to their non-conformance with the fund's criteria, reflecting the ETF's targeted approach within ESG, corporate governance, and sustainable finance themes.

Key Decisions for Investors

• Investors seeking large-cap U.S. equity exposure aligned with specific Jewish values and an emphasis on corporate advocacy should consider TOV, particularly if they favor engagement over divestment.
• The ETF's "own and advocate" policy means its portfolio will include companies sometimes screened out by other ESG funds, offering a distinct avenue for influencing corporate behavior that may appeal to investors focused on active stewardship.
• Prospective investors should be aware that the exclusion list is currently small, with only four of the 500 largest U.S. companies screened out, and is subject to change based on quarterly reviews, potentially leading to modest portfolio adjustments.