I love the idea, but I do not want to sacrifice performance.
We understand the importance of performance. Nobody wants to leave money on the table. For that reason, ACVF is not “ideologically pure,” but a balance between performance and advocacy. ACVF is a diversified large-cap portfolio that maintains sector and style exposure similar to the overall market. We are seeking to balance performance, competitive with benchmarks such as the S&P 500 and Russell 1000, with the advocacy of boycotting liberal companies. If we boycotted all the “liberal” companies, sadly we would not have many left to invest in. We cannot boycott them all, so we start with the worst.
I’m concerned about the fund’s small size and low trading volume.
Why aren’t you boycotting xzy corp, they are so liberal?
How can I buy it?
How does not owning their stock hurt the company?
My favorite is executive compensation. Typically, senior managers are rewarded when their companies stock price rises. When we sell their stock or withhold from buying, it is less likely to go up. For example, the largest, large-cap ETF owns over $7 billion dollars of Facebook (FB). If half of those dollars are politically conservative and investors subsequently sell FB, it will be noticed.