A Gen Z ETF will invest in assets 'morally aligned' with the younger generation

• A new ETF filed this week is looking to cater to the values and preferences of Gen Z investors by choosing stocks that went public in 1997 or later.
• The ETF idea was thought up by a former child actor named Julian Feder in his junior year of high school, the SEC filings say.
• The tech-focused ETF will exclude stocks that debuted publicly prior to 1997, which would rule out notable big-cap stocks like Microsoft and Apple.

A new ETF filed this week is looking to cater to the values and preferences of Gen Z investors by choosing stocks that went public in 1997 or later, according to SEC filings.

The Gen Z ETF will grade stocks using a "Gen Z score" that is computed based on "how closely the company aligns with Gen Z's progressive values" and whether a company's "dominant customer focus is Gen Z rather than other age cohorts."

The ETF idea was thought up by a person named Julian Feder in his junior year of high school, the SEC filings say.

The Julian Feder mentioned in the filings appears to be a former child actor who has starred in movies including 2016's "A Boy Called Po," according to his IMDb page. His father, Lenny Feder, is in charge of "portfolio decisions and compliance" for an adviser to the Gen Z ETF.

The tech-focused ETF will exclude stocks that debuted publicly prior to 1997, which would rule out notable mega-cap stocks like Microsoft and Apple. It will also consider factors like innovation, environmental impact, and diversity in determining its holdings.

Other generational funds have been launched in recent years, including a handful of Millennial ETFs. The Principal Millennials Index ETF is up around 150% since its founding in 2016, versus around 95% for the broader market.