Before investing, investors may question if an ETF that seeks to provide U.S. large-cap equity exposure aligned with Jewish interests will impact performance.
The JLens 500 Jewish Advocacy U.S. Index ETF (TOV ) is the first and only large-cap U.S. equity Jewish-themed ETF. TOV offers investors the opportunity to align their investments with Jewish values. This includes combating antisemitism and supporting Israel, while aiming to deliver performance comparable to index funds tracking the 500 largest U.S. public companies.
Importantly, since launch, TOV has closely tracked the S&P 500 Index. The Fund has succeeded in offering returns that are primarily in line with those of the largest market index ETFs, such as the iShares Core S&P 500 ETF (IVV ) and the SPDR S&P 500 ETF Trust (SPY ). This suggests TOV can potentially be used as a core equity holding in portfolios with minimal impact on performance.
Since TOV’s launch in late February, the ETF is up 5.5%, while market giants SPY and IVV are each up 5.7%. While performance is similar, TOV offers a distinct advantage by integrating Jewish values into the investment process — a feature absent in broader market offerings like SPY and IVV.
Why TOV Performs Similarly to Other Domestic Large-Cap ETFs
When comparing TOV’s underlying index to the S&P 500, there is a very high correlation between the two indexes, Ari Hoffnung, managing director at JLens, said during a webcast on June 23. This is particularly significant when looking at backtesting periods of three, five, and 10 years, according to Hoffnung.
“It has the risk and return profile of other large-cap U.S. equity vehicles that you might be familiar with. If you look at our top 10 constituents, these are names that are familiar to you. These are weightings that are familiar to you," he said.
It’s important to remember that TOV is a passive investment offering. “We like to say that we’re passive from a risk and return perspective, but we’re passionate when it comes to shareholder advocacy,” Hoffnung added. “So investors in this vehicle can expect a very similar risk and return profile to other large-cap index funds.”
TOV uses shareholder advocacy to engage with the largest companies in the world, holding them accountable on issues important to the Jewish community. This engagement may include advocating for policies that combat online hate speech. Additionally, engagement may look like promoting corporate support for initiatives countering antisemitism and bolstering relationships with Israel.
For more news, information, and analysis, visit the Faith-Based Investing Channel.
VettaFi.com is owned by VettaFi LLC (“VettaFi”). VettaFi is the index provider for TOV, for which it receives an index licensing fee. However, TOV is not issued, sponsored, endorsed, or sold by VettaFi. The Fund has no obligation or liability in connection with the issuance, administration, marketing, or trading of TOV.
