ETF Managers Trust New Issue
Top 10 Holdings
What is ETHO?
ETHO is the first broad based, diversified, socially responsible and fossil-free exchange-traded fund that does not have exposure to the energy sector. The diversified index ETF avoids fossil fuel companies and selects equities based primarily on an assessment of an equity s carbon footprint. The ETHO ETF seeks to provide investment results that, before fees and expenses, correspond generally to the price and yield performance of the Etho Climate Leadership Index (ECLI), an index of more than 350 companies listed on the NYSE Arca stock exchange that have the smallest carbon footprint in their industries. To build the ECLI, Etho Capital uses a positive selection methodology to review more than 5,000 of the most commonly traded public companies and identify the most carbon-efficient climate leaders in each industry. Using climate performance data from Trucost, Etho Capital ranks almost all public companies by carbon emissions per dollar invested and selects equities that are 50% more carbon efficient than their industry average into the ECLI s holdings. All fossil fuel, tobacco, weapons and gambling companies are eliminated from the index. Finally, a screen is conducted based on environmental, social and governance performance data with expertise from NGO partners and input from global stakeholders.
ETFs related toETHO
ETFs correlated to ETHO include IWR, EUSA, SIZE
What is ETF correlation?
Correlation is a measure of the strength of the relationship between two ETFs. It quantifies the degree to which prices of the two ETFs typically move together.
Here, correlation is measured over the past year with the Pearson correlation coefficient (Pearon’s r), which ranges from -1 to 1.
Using ETF correlations in portfolio and strategy construction
ETF correlations can help you create investing strategies and portfolios. Use them to:
- •Build a diversified portfolio from uncorrelated or inversely correlated ETFs with the aim of minimizing portfolio risk.
- •Compare correlated or related ETFs to find one with a lower expense ratio or higher trading volume.
- •Create an investing strategy that hedges an ETF with an uncorrelated or inversely correlated ETF.
Controlling for Volatility
Getting Defensive, Worried about Inflation?
Follow the Global Trend
Momentum, Lever Up, Go Global, Diversification
Create your own algorithmic trading strategy with ETHO using Composer
We show information directly obtained from our data provider, Xignite. Data shown here is provided by Xignite, an unaffiliated third party. Composer believes the information shown here is reliable, but has not been verified and there is no guarantee that the information is accurate.
We show information based on calculations performed by Composer using data from our provider. Information provided here is based on calculations performed by Composer using data sourced from Xignite, an unaffiliated third party. Composer believes this information is reliable, but has not verified the data and there is no guarantee that the calculations are accurate.