Pacer ETFs on Tuesday launched the Pacer Military Times Best Employers ETF (VETS), which invests in companies rated best for hiring military veterans for civilian jobs.
The fund tracks the Military Times Best for VETS Index created by VETS Indexes, a boutique New York City-based index provider focused on environmental, social and governance principles with a smart beta bent. Specifically, this index is based on the Military Times Best for Vets Employers annual ranking of companies deemed most supportive of military veterans, service members and their families.
The ranking, which surveys companies with U.S. operations, gauges such areas as the recruiting of U.S. armed forces veterans and service members, company culture and reservist policies. Responses to each category of questions are weighted to create a composite score, and companies that score in the top 60 percent among all participating companies make the Best for Vets list.
The VETS index comprises companies that have made the Best for Vets list for the past three consecutive years, have a minimum market capitalization of $200 million and meet a liquidity threshold of more than $1 million in average daily trading volume.