This is an active ETF that invests across the entire US stock market, using the Bloomberg US 3000 Total Return Index as its benchmark. It holds both growth and value stocks across a range of market capitalizations, from large caps to small and mid caps.

It suits long-term investors who want broad diversification across the US market along with values-based ethical screening.

The ETF is actively managed by Eventide.

Within the market capitalization range of the Bloomberg US 3000 Index, the fund selects growth and value stocks through fundamental and quantitative analysis. It applies a values-based approach that excludes gambling, pornography, tobacco, alcohol, and weapons-related industries and gives priority to companies that emphasize social and environmental responsibility.

• Values-based ethical exclusion screening
• Active management with broad market-cap diversification

Assets under management (AUM) stand at $198.3M, and the total expense ratio is 0.39% per year.

Because ethical screening and active selection are added on top of a broad core ETF, the management fee is somewhat higher.

The ETF tends to move in line with the broad US market, and short-term fluctuations are affected by interest rates, earnings seasons, and overall market risk appetite. Because the ethical exclusion screens remove some sectors, its trend can diverge from the benchmark.

Fund flows are shaped by demand for values-based investing, and during volatile markets, the fund's broad diversification tends to produce inflow and outflow patterns similar to those of core assets.

Broad diversification and values-based screening are its strengths, while the fee burden of active management and tracking error against the benchmark are its weaknesses.

DYNF, THRO, and JMEE, shown in the table, are US equity ETFs with active strategies such as factor rotation, theme rotation, and enhanced small and mid cap exposure, and they differ in management fees and strategy approach. ARKK is a high-risk active ETF concentrated in innovative growth stocks, which sets it apart in terms of volatility, while PSC differs in its focus on small-cap exposure. For investors who want to hold the broad US market more cheaply and widely, VTI, a total market core ETF, is the leading direct substitute, and for those who prefer large-cap exposure, VOO is also worth considering. What distinguishes this ETF is its values-based exclusion screening.

Here are the points to review before investing in ESUM. Although it is a broadly diversified ETF, you should check in advance how active management fees and values-based ethical screening can affect performance.

Active management fees and tracking error against the benchmark from ethical exclusion screening are the main sources of variation. Even with broad diversification, short-term losses can occur during market declines.

It is a suitable choice for long-term investors who want both values-based ethical screening and diversification across the broad US market. If cost and broad exposure matter more, low-fee core ETFs such as VTI and VOO can be alternatives.