The Azoria 500 Meritocracy ETF will shun S&P 500 companies that hire employees based on race and gender rather than skill and merit for better shareholder returns.
The article from IBTimes discusses the upcoming launch of the "Meritocracy ETF" in 2025, spearheaded by former Barclays executive Jon Woods. This ETF aims to invest in companies that prioritize merit over diversity, equity, and inclusion (DEI) initiatives, which Woods argues lead to underperformance. The fund will exclude firms that focus on DEI, claiming that such policies detract from shareholder value by potentially overlooking more qualified candidates in favor of meeting diversity quotas. Woods, who has been vocal about his views on DEI, believes that companies should focus on merit to enhance performance and profitability. The ETF's strategy is based on the premise that companies adhering strictly to merit-based hiring and promotion practices will outperform those with DEI programs. This approach has sparked controversy, with critics arguing that it could perpetuate systemic inequalities and overlook the benefits of diversity in enhancing business outcomes.
Stocks & Investing
Thu, December 19, 2024 
