Subversive Capital Files for 'Ex-Elon' ETFs Excluding Tesla, SpaceX

Subversive Capital has filed a proposal with the U.S. Securities and Exchange Commission (SEC) to launch two exchange-traded funds (ETFs) that would exclude Elon Musk's companies, Tesla (TSLA) and SpaceX, from the S&P 500 and Nasdaq-100 indices.

Fund Details

The proposed funds, dubbed "Ex-Elon," aim to track the performance of the two major indices while removing any exposure to stocks of companies associated with Elon Musk. Subversive Capital has not yet disclosed the expense ratios or potential launch dates.

Pricing and Availability

Pricing details have not been announced and are expected to be determined upon SEC approval. The funds would be available for trading on U.S. exchanges.

Competition

This move comes amid growing interest in specialized funds that exclude certain companies based on environmental, social, and governance (ESG) criteria. However, specifically targeting Musk's companies is a unique approach.

Potential Impact on the Company

If launched, these funds could reduce demand for Tesla shares from some institutional investors who prefer index exposure without Musk's firms. However, given Tesla's large weighting in the indices, the impact may be limited.