AdvisorShares, the Bethesda, Md.-based fund provider known for
its actively managed ETFs, has a socially responsible ETF in the
works that would donate at least half of its management fee to a
foundation run by the grandson of the late oceanography legend and
scuba inventor Jacques Cousteau.
The AdvisorShares Global Echo ETF (NYSEArca:GIVE) would be the
market's first multimanager ETF, and will be developed with
Philippe Cousteau Jr., 31. The ETF would generate absolute returns
using a sustainable investment mandate.
"Through my work with individuals and organizations around the
globe, I've seen an opportunity and a need for creative solutions
to the global challenges we face," Cousteau Jr., co-founder and
chairman of the Global Echo Foundation, said in a press release.
"It's critical that we find innovative models for the financial
market that create positive impact for investors, and the world,
beyond financial returns."
Cousteau Jr. has to a great extent picked up the oceanographic
mantle of his grandfather and his father, Philippe, who died in a
boating accident during an ocean expedition before Philippe Jr. was
The donation piece of the project recalls a similar gesture of
social responsibility made by New York-based ETF sponsor Global X,
which said it will donate the management fee of its recently
launched Global X Food ETF (NYSEArca:EATX) to Action Against
Hunger/ACF International, a global humanitarian organization.
Global X said the deal would kick in once the ETF turns
The fund, which AdvisorShares put into registration with the
Securities and Exchange Commission on July 15, is the latest piece
of a growing family of active ETFs hatched by the firm.
The fund will have economic, environmental, technological and
social themes, according to the paperwork AdvisorShares filed with
- The economic themes would include:corporate governance, risk
and crisis management, community investment, energy efficiency,
food and green building.
- The environmental themes would focus on air, water and
- The technology themes would include mobility, renewable
energy, and access)
- Social themes include human health, such as occupational
health and safety.
AdvisorShares Chief Executive Officer Noah Hamman said he hopes
his firm will have built up a reputation as the dominant purveyor
of active ETF strategies before the still-reluctant legion of
reputed mutual funds firms takes the plunge and tries to stake a
claim in the rapidly expanding world of ETFs.
AdvisorShares manages more than $360 million in assets in its 10
actively managed ETFs, according to company data. Its most
successful strategy is the Cambria Global Tactical ETF
(NYSEArca:GTAA), a fund of funds using index ETFs that has almost
$186 million in assets, according to data compiled by
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