Anti-Musk ETF Topic Ahead Of Listing Excludes Tesla, SpaceX Portfolio
![A bust of Elon Musk taken on the day of SpaceX's initial public offering (IPO) in Brownsville, Texas. [Reuters Yonhap News]](https://wimg.mk.co.kr/news/cms/202607/13/rcv.YNA.20260613.PRU20260613032601009_P1.jpg)
A unique exchange-traded fund (ETF), which excludes companies led by Elon Musk from the investment target, is seeking to be listed in the U.S. Amid controversy over Musk’s political moves and corporate governance, it is drawing attention in that it is a product aimed at investors who want to avoid “Musk risk” while maintaining the advantages of index investment.
According to Market Watch and others on the 9th (local time), US ETF management company Subversive ETFs submitted two types of listing registration documents for Ex-Elon ETFs to the US Securities and Exchange Commission (SEC).
The new products are QQNE and SPNE, excluding Musk-related companies in the Nasdaq 100 and S&P 500 indexes. QQNE follows the index excluding both SpaceX and Tesla, which have recently been incorporated into the Nasdaq 100, and SPNE has the effect of excluding Tesla, an S&P 500 component.
Until now, there have been ETFs excluding Tesla based on leverage ETFs that sell Tesla short or ESG (Environmental, Responsibility, and Transparent Management) standards, but this is actually the first product that fundamentally excludes companies related to Musk, a specific businessman, from investment targets.
The management company noted that demand for themed ETFs, which reflect investors’ values, has been growing recently. Some investors recognize Musk’s political activities, social media X (formerly Twitter) operations, and decision-making structures focused on CEO individuals as corporate risks. It is also explained that there is a demand that Musk companies do not want to invest while holding index ETFs.
Subversive ETF, which introduced this product, is a company that has made its name known as a unique idea product on Wall Street. It is evaluated that it is pioneering the market with a niche ETF that combines political and social issues with investment strategies. In fact, it drew attention by releasing NANC ETFs, which are managed based on stock trading details of U.S. Democratic lawmakers, and KRUZ ETFs, which contain investment stocks of Republican lawmakers. The net assets (AUM) of the flagship NANC ETF are about $280 million as of recently, mainly holding Nvidia, Alphabet Class C, Microsoft, and Amazon. The recent one-year yield is about 20%.
