The deadliest weapons ever manufactured are now a common holding among Europe's nearly $9 trillion environmental, social, and governments or ESG funds. ESG funds, especially in Europe, which accounts for about 80% of the world ESG assets, have been loosening the restriction on investing in defense companies, and that includes those involved in nuclear arms. Firm managers says it's different word now.With wars in Ukraine and the Middle East, they argue it's no longer realistic to ban all defense related inve ...

ESG Funds & Defense Investments - Europe's ESG funds, managing approximately $9 trillion, are easing restrictions on defense company investments, including those in nuclear arms [1] - Wars in Ukraine and the Middle East are cited as reasons for re-evaluating the ban on defense-related investments [2] - An S&P index tracking aerospace and defense has increased by over 40% this year [2] - This growth is more than double the gain in an S&P index dedicated to clean energy stocks [2] Defense Spending & ESG Opposition - Defense spending is projected to increase significantly, with countries like Germany increasing core defense spending [3] - Some voices within the ESG community are beginning to oppose the trend of investing in defense [3] - The shift occurs as the 80th anniversary of the atomic bombings of Hiroshima and Nagasaki is commemorated [3]

Fund Performance & Comparison - Anti-woke funds, like ESG funds, may sacrifice returns for ideological purity [1] - American Conservative Values ETF's top holdings largely overlap with the S&P 500 [2] - PointBridge America First ETF (MAGA) has underperformed the S&P 500 by over 20 percentage points in the past 3 years [3] - Most principles-based ETFs have underperformed the market in the past year [4] Fees & Costs - Anti-woke funds may have higher fees that negatively impact returns [1][2] - Investing based on principles can come at a steep cost [4] Fund Characteristics - American Conservative Values ETF holds around 370 stocks [2] - Principles-based ETFs aim to align investments with political, religious, or social beliefs [3][4] - Examples of principles-based ETFs include women's empowerment ETFs and funds based on Islamic principles [4]