Today Pacer ETFs is rolling out an ETF that invests in companies whose employment policies are friendly to veterans of the U.S. military. The Pacer Military Times Best Employers ETF (VETS) joins a similar fund from InsightShares by UBS that launched earlier this year, the InsightShares Patriotic Employers ETF (HONR).
VETS has an expense ratio of 0.60% and lists on the Nasdaq exchange. HONR charges 0.65%.
The new fund’s index methodology is not unlike that of HONR. It is based on The Military Times Best for Vets list that uses surveys to evaluate and rank U.S.-listed companies according to how well they recruit and support veteran and active service members through their culture, policies and accommodations, the prospectus says.
The index is derived directly from the list, which includes the top 60% of companies based on their scores. The stocks included in the index must be included in the list for the prior three years, have sufficient liquidity and have a market capitalization of at least $200 million. Companies making the cut are weighted equally within the index, the document says.