Bringing you live news and features since 2006 

ACA’s ESG Data & Analytics Solution certifies first ETF as Carbon Neutral


ACA Group (ACA) has announced that their ESG Data & Analytics solution has certified an ETF as carbon neutral under its plant-based innovation certification.

VegTech Invest’s Plant-based Innovation & Climate ETF, EATV (NYSE: EATV), is the first ETF that ACA has certified as carbon neutral based on the positive impact of replacing animal products with plant-based innovation solutions for a more resource-efficient and less damaging food and materials supply system.

ACA’s carbon neutral certification is designed for mutual funds, ETFs, separately managed accounts (SMAs), portfolios, and other investment products to help meet growing market demand for assessments of innovations that are intended to reduce emissions and support ESG and impact goals.

As part of the certification to identify emissions reduction potential, ACA reviewed a variety of lifecycle analyses (assessments of the carbon footprint of a product over its entire “lifecycle”) from the University of Michigan, Boston Consulting Group, and others. These analyses quantify the typical emissions reduction associated with converting from beef to plant-based meat, implementing green vertical farming, investing in plant-based products and innovations, and making other transitions to a plant-based industry.

ACA compared the estimated carbon footprint of the holdings in EATV (the Scope 1, 2, and 3 emissions that EATV is responsible for through its investment in each holding) with the expected impact of emissions that are avoided for each holding. Based on this analysis, ACA determined that the aggregate carbon avoidance potential of all EATV holdings was greater than the estimated carbon footprint – i.e., an investment in EATV results in a net reduction of carbon when considering the expected emissions avoided.

“New investment approaches such as EATV are seeking groundbreaking solutions that address the global food and material supply system that work toward stabilising food insecurity and reducing greenhouse gas emissions,” says Luke Wilcox, partner at ACA Group and founder of Ethos ESG. “We are proud to highlight ACA’s expanded offerings in certifying the fund as carbon neutral.”

“Our factory-animal food supply system causes tremendous damage to the planet through deforestation and its emissions, most notably producing about one third of the world’s methane according to the EPA,” says Elysabeth Alfano, CEO of VegTech Invest. “It also uses a disproportionate amount of critical resources, such as land and water, needed for a growing global population. We won’t sufficiently impact climate change in the short time needed if we don’t innovate for solutions to animal factories. That’s why we created EATV. We want to drive capital to the companies who are innovating to replace animal products for sustainable consumption and allow investors to partake in the megatrend of creating an efficient, global food supply system.”

Latest News

Some big forces moved further into ETF issuance this week, with Capital Group launching 12 new active/passive model portfolios, and..
ASYMmetric ETFs has announced the launch of two new funds, ASYMmetric Smart Income ETF (NYSE: MORE) and ASYMmetric Smart Alpha..
First Trust Advisors has announced the launch of a new actively managed ETF, the First Trust Multi-Strategy Alternative ETF (NYSE..
Allianz Investment Management LLC (AllianzIM), a wholly-owned subsidiary of Allianz Life Insurance Company of North America has announced the launch..

Related Articles

We are very pleased to open the voting for service providers (selected by nominations) and ETP issuers, selected by our data partners, Trackinsight, for the European ETF Express Awards, in...
Osprey Funds’ founder and CEO, Greg King, has written an open letter to Barry Silbert, majority owner of Digital Currency Group which owns Grayscale, suggesting that he uses his powers...
Comparing multifactor ETFs to the popular Marvel Avengers series may seem a bit of a stretch but recent analysis from Morningstar suggests the investment strategies have more in common with...
Canadian asset manager Mackenzie Investments, with CAD186.6 billion under management, has published its annual Mackenzie Investments Year-End ETF Report. ...
Subscribe to the ETF Express newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by