2ndVote Advisers

About 2ndVote Advisers

At 2ndVote Advisers (2VA) we believe that companies focused on shareholder returns are better for investors than companies focused on political activism or social agendas. Our investment strategy is consistent with the view of renowned economist Milton Friedman that a business’ first responsibility is to generate returns for its shareholders. We also believe that investors should be able to invest without offending their values.

Our products embrace those common-sense beliefs.

Your money – Your values.

Investment Products

2VA offers Exchange Traded Funds (ETFs), Indexes and Separately Managed Accounts, which include companies consistent with our investors’ values, and that we believe will best maximize long term shareholder returns.

Research

2ndVote Research dives deep to weed out companies that advocate for progressive agendas. To determine which companies are eligible for inclusion in our products, we license the research of 2ndVote, Inc. (2VR), a separate but affiliated company that has completed a social/political audit of every company in the S&P 1500.

2VR’s proprietary research analyzes a company’s activities such as its, advocacy, philanthropy, sponsorships, corporate statements, and lobbying to determine that company’s social or political activism. Each company is scored on a scale ranging from 1 (liberal) to 5 (conservative) on each of six issues (basic freedoms, civil safe society, 2nd Amendment, environment, life and education) and, in some cases, overall.

Companies evaluated for our 2VA investment products have 2VR scores of neutral (3) or neutral and conservative (3-5) on either a specific issue or overall, depending on the product. Neutral means that a company takes no notable position – in support of or in opposition to – the six issues 2VR scores (basic freedoms, civil safe society, 2nd Amendment, environment, life and education) either separately or (for our Shareholder First products) cumulatively.

Investment Methodology

To determine which companies eligible for inclusion in our investment products are most likely to generate the best returns, we apply one of two investment strategies.

For our 2VA Life (LYFE) and Society Defended (EGIS) ETFs, our sub-adviser, Laffer/Tengler Investments, Inc., (LTI) applies two proven stock valuation metrics (Relative Dividend Yield and Relative-Price-to-Sales Ratio) focused on financial information: Dividends and Sales. It then applies its rigorous, proprietary investment analysis – including specific fundamental qualitative and quantitative factors – to help ensure diverse portfolios of high-quality companies.

For 2VA Indexes and all other products, we apply an inventive, well-established financial model to analyze each company’s financial metrics and economic conditions to identify those companies that have the financial characteristics most likely to outperform the market given current monetary conditions. The resulting model index is replicable, investable, rules-based and transparent, and navigates changing monetary conditions to improve portfolio returns across all regimes. We access this model via a licensing agreement with Economic Index Associates (EIA).

Your Money – Your Values

At 2VA, our goal is to invest in alignment with our investors’ personal values and to
maximize their returns.

Focus

“Profits not politics” is the focus of our investment strategy. There’s no need to compromise your principles or pocketbook by investing in companies that violate your values. 2VA invests in large and mid-cap companies that are rated, at minimum, Neutral in 2VR’s social/political audit. This allows individuals to align their investments and their values. Our motto is: “Your Money – Your Values.”

Unlike funds that use ESG, DE&I or similar investment criteria, 2VA does not require that a company be aligned with our values to be in our products. We only require that companies don’t oppose your values. We are not supportive of Environmental, Social and Governance (“ESG”), Diversity, Equity and Inclusion (“DE&I”) or similarly “fashionable” investment criteria that place ideological, social or political goals ahead of our investors’ financial interests. We put performance ahead of ideology and won’t play politics with your money.

Investment Philosophy

At 2VA we believe that companies focused on shareholder returns are better for investors than companies focused on political activism or social agendas.

First, we use 2VR’s proprietary database of a company’s social and political activisim to establish a universe of companies in which to invest and then, depending on the product, (1) our sub-adviser LTI applies proven stock valuation metrics to help ensure diverse portfolios of high-quality companies, or (2) we use an inventive, well-established financial model to analyze each company’s financial metrics and economic conditions to identify those companies that have the financial characteristics most likely to outperform the market given monetary conditions.