Don’t Want to Invest in Elon Musk? Check Out These Two New ETFs That Exclude Him.

As SpaceX gears up for its IPO, a flurry of stories has surfaced about early employees and investors set to reap significant rewards from their association with Elon Musk.

Nonetheless, due to Musk’s ties to DOGE, his comments on X, and the notorious gesture resembling a Nazi salute during Donald Trump’s inauguration, it’s clear that avoiding him may offer financial advantages.

An ETF creator called Subversive Capital has found a way to profit from this negative sentiment with the launch of two unique anti-Elon exchange-traded funds.

These ETFs function like mutual funds but are traded as regular stocks and are officially registered under Tidal Trust I, associated with the brand Subversive Markets Lab LLC. (This filing was first reported by Bloomberg.)

For the average investor, steering clear of the world’s richest individual presents challenges, particularly since they may be invested in mutual funds tied to indices like the S&P 500 and Nasdaq 100. SpaceX, now part of the FTSE Russell and MSCI indexes, was recently added to the Nasdaq 100, meaning it is included in funds that track these indices. Musk’s other publicly traded company, Tesla, has traditionally been a favorite among mutual funds, especially those that focus on large-cap and growth stocks.

The newly created ETFs are named Nasdaq-100 Ex-Elon Enterprises ETF and S&P 500 Ex-Elon Enterprises ETF, designed to avoid these companies. According to the prospectus, excluded entities include Tesla (TSLA) and Space Exploration Technologies Corp. (SPCX). Other companies owned by Musk, like Neuralink and The Boring Company, are not publicly traded.

It’s possible that the Ex-Elon funds might also exclude other companies that become closely linked with the near-trillionaire. The aim of the Ex-Elon funds is “to provide capital appreciation through exposure to a diverse range of large-capitalization U.S. equity securities while excluding the equity securities of companies founded, controlled, or managed by Elon Musk, or with which Mr. Musk is otherwise primarily affiliated,” as outlined in the document submitted to the U.S. Securities and Exchange Commission.

While these are authentic funds that will soon be available for trading, there’s a humorous element to this endeavor. Before introducing the Ex-Elon funds, Subversive drew attention for its other ETFs that allow everyday investors to “invest like the oligarchy.” One of these funds includes stocks commonly held by Democratic lawmakers and their spouses, while another mirrors those owned by Republicans.

It’s too soon to say whether investors will gravitate toward the Ex-Elon ETFs, which carry the tickers QQNE and SPNE, or if they will outperform funds that include Musk’s companies. Nevertheless, they reflect a growing interest in options to distance from Musk and may even mildly provoke him, given his well-known aversion to traders who shorted Tesla.