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New ‘anti-woke’ ETF makes Starbucks its first target

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New ‘anti-woke’ ETF makes Starbucks its first target

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A new fund aiming to punish “woke” companies will make Starbucks its first target, as politically motivated investors move to capitalise on Donald Trump’s election.

The actively managed fund, which Azoria Partners expects to launch early next year, will exclude S&P 500 companies that incorporate diversity, equity and inclusion considerations into their hiring processes.

The fund unveiled its Starbucks plan on Thursday at Trump’s Mar-a-Lago resort in Florida.

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The event was due to be attended by Cathie Wood and Kevin Roberts, the ideologue behind the Project 2025 blueprint for Trump’s government, according to an invitation seen by the FT. Wood and Roberts did not respond to requests for comment.

“Americans, whether they voted for president Trump or not, do not want to invest in companies running woke science experiments,” said James Fishback, one of Azoria’s founders, in an interview, referring to hiring practices that factor in diversity. “We are representing shareholders here, and human capital hiring quotas — that hurts all shareholders.”

The coffee chain, with a market capitalisation of about $110bn, denied in a statement to the Financial Times that it had “targets or quotas at any stage of the hiring process”. The chain said that policies cited by Azoria — which included reaching racial and ethnic diversity of at least 30 per cent among corporate employees — were aspirations not quotas, and that they recently expired and were not reinstated.

The new fund is the latest attempt by Trump-supporting investors to push back against DEI and environmental, social and governance initiatives by big US companies — and to profit from the coming change in government in Washington.

Shares in Starbucks, which has around 40,000 coffee shops globally, have lagged behind the broader market this year but have risen since August on hopes that newly appointed chief executive Brian Niccol would turn its struggling business around.

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The new “anti-woke” fund, created by Fishback and his Azoria co-founder Asaf Abramovich, has a list of about three dozen other companies it will exclude from the roster, unless they scrap their DEI policies.

Roberts, president of the Heritage Foundation think-tank, and Wood, founder of Ark Investment Management, were both scheduled to address the event at Trump’s resort on Thursday.

Fishback’s fund does not manage any money yet, meaning the Starbucks campaign lacks the financial heft to influence the retailer’s decisions. Powerful activist fund Elliott Management recently built a large stake in the chain, helping to spur replacement of its CEO earlier this year.

Unlike an activist hedge fund, which buys stakes in companies to agitate for change, Azoria will push its agenda by excluding companies from their index and publicly claim DEI policies are hurting their stock price.

The strategy borrows from so-called environmental, social and governance funds, which excluded investments in polluting industries and were attacked by many conservatives.

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Azoria’s new ETF is set to launch early next year under the ticker SPXM, which stands for S&P Meritocracy. In remarks at the Mar-a-Lago event, Fishback will claim the stocks of S&P 500 companies that factor diversity into hiring have underperformed their rivals.

Some research has contradicted that, including a McKinsey report last year that found companies in the top quartile of racial diversity were 39 per cent more likely to perform better than those in the bottom quartile.

Fishback, who previously worked at hedge fund Greenlight Capital and is mired in a legal dispute with its founder David Einhorn, is among Wall Street investors aiming to cash in on a conservative shift as Trump returns to the White House.

Other politically driven investors have punched far above their weight. The activist investor Engine No. 1 secured three board seats in 2021 at ExxonMobil by mounting a campaign against the oil major while only overseeing $240mn worth of assets.

Fishback argued hiring on ethnic and racial diversity grounds was a political act that would hurt shareholders.

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He said: “Cut that crap out. Hire the best and brightest. Don’t apologise for it, make money, give it to shareholders, and do the right thing.”

Additional reporting by Gregory Meyer and Antoine Gara in New York

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Graham Platner makes it official in Maine, submitting paperwork to leave Senate race

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Graham Platner makes it official in Maine, submitting paperwork to leave Senate race

Now-former Democratic Senate candidate Graham Platner speaks at his primary election night event on June 9 in Blue Hill, Maine. Platner officially dropped out of the race July 10 following rape allegations from a former romantic partner that he denies.

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Graham Platner, Maine’s Democratic nominee for Senate, is officially out of the race.

The Maine Secretary of State said Platner filed the necessary paperwork to withdraw his candidacy two days after he announced he planned to do so following an accusation of rape by a former romantic partner. Platner denies the allegation.

The Maine Democratic Party has until July 27 to pick Platner’s replacement.

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In his withdrawal notice, Platner said “people are desperate for change” and that’s why they voted “for a new kind of politics” by making him the Democratic nominee. He expressed gratitude for those who supported his campaign and said that he will continue to fight for “the movement we have built together and the future we believe in.”

He ended his notice with a strong statement aligned with the progressive platform.

“F*ck ICE. Free Palestine. Up the Hearts.”

Platner announced his plan to withdraw from the race in an 11-minute video he posted to social media on July 8. He said he had no choice but to suspend his campaign, citing it was no longer viable financially.

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“We are going to lose our ability to fundraise. We are going to lose our ability to access voter data. We are going to lose all of the things that any campaign needs on the basic level simply to function,” he said.

Platner added that dropping out was not an admission of guilt. Rather, the decision, he said, is to keep the progressive movement in Maine alive to defeat Republican Sen. Susan Collins in November. Platner blamed the “political establishment” for his downfall and argued the goal was to force him out of the race.

“We built a campaign. We engaged in electoral politics. We motivated people. We banded together. We did it the way that we were told we are supposed to make change and we won. And now they are not going to let us have it. Not if it’s me,” he said.

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Waymo called the cops on teen riders, raising privacy concerns

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Waymo called the cops on teen riders, raising privacy concerns

A Waymo robotaxi drives in San Francisco’s North Beach neighborhood this week.

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Police in San Mateo, Calif., posted Monday on social media that they had apprehended a pair of teenagers from a Waymo driverless robotaxi after the company alerted authorities to suspected criminal activity. It’s the latest incident involving video surveillance of passengers and others by autonomous vehicles — raising questions about the limits of privacy in such vehicles.

The Facebook post by the San Mateo County Police said: “Parents do you know where your teens are? @waymo does!”

The 15-year-olds were allegedly drinking alcohol and shooting toy guns from the car, according to the police. They said Waymo’s systems detected behavior that then triggered a safety response, after which the company disabled the vehicle and contacted police.

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Waymo’s cars, equipped with an array of cameras, microphones and other sensors to monitor passengers and other nearby vehicles, are becoming more common in cities across the United States. Experts say the detention of the two teens in San Mateo highlights a potential — but not inevitable — trade-off between privacy and convenience. It also questions the extent to which companies similar to Waymo are required to hand over private data, including audio and video of passengers, in situations where a crime is suspected.

NPR reached out to Waymo, which is owned by Alphabet, the parent company of Google, for comment on the details of the San Mateo incident and how the company responded, but did not hear back. But on its website, the company says that as many as 29 cameras in its autonomous cars provide an all-around view and “are designed with high dynamic range and thermal stability, to see in both daylight and low-light conditions, and tackle more complex environments.”

“There already exist laws that govern duty to report or even duty to protect” for carriers such as Waymo, according to Alessandro Acquisti, a professor of information technology at the MIT Sloan School of Management. “The privacy problems arise when and if driverless carrier companies used such laws or ethical obligations as a pretext for blanket, indiscriminate accumulation of identifiable data for unspecified future purposes.”

That includes not just monitoring people inside the cars, but outside too. Take, for example, a hit-and-run investigation last year in Los Angeles. Media reported that the police inquiry was aided by video captured by a Waymo taxi that had a clear view of the crime. Critics suggested at the time that authorities were using the company’s vehicles as a mobile surveillance platform. And during 2025 protests in Los Angeles against Immigration and Customs Enforcement crackdowns, demonstrators vandalized Waymos, apparently angry that video recorded by the vehicles could be used by police, although there is no evidence that happened.

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Trump fires last members of election commission, inciting fears of midterm ‘chaos’

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Trump fires last members of election commission, inciting fears of midterm ‘chaos’

Donald Trump has terminated the remaining members of the independent, federal commission that assists election administration officials nationwide just a few months before the midterm elections, multiple outlets reported Thursday.

The remaining three commissioners of the four-member bipartisan commission ⁠were forced out on Thursday in different ways. The one Republican appointee resigned and the other ⁠two, Democratic appointees were notified of their terminations via email from ​the White House presidential personnel office.

“On ‌behalf of President ‌Donald J Trump, I am writing to inform you that your position ‌as Commissioner of the Election Assistance Commission is terminated, effective immediately. Thank you for your service,” the email, seen by Reuters, said.

The White House did not immediately respond to a request for comment.

The Election Assistance Commission serves as a “national clearinghouse of information on election ‌administration”, accredits testing laboratories and certifies voting systems, and maintains the national mail-voter registration form developed by the National ​Voter Registration Act of 1993, according to the commission’s website. The terminations follow Trump and top administration officials’ advocacy to change vote-by-mail requirements and investigations into the 2020 election outcome, which Trump lost to Democrat Joe Biden.

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“It is ⁠irresponsible and dangerous that this Administration remains dead set on ​causing chaos for ​our election officials across this ​country,” Arizona secretary of state Adrian Fontes said in a ​Thursday statement. “This ‌move undermines the integrity ​of nonpartisan ​election administration.”

The 2002 law that established the commission, the Help America Vote Act, states the president can appoint replacements to the commission.

It is unclear how Trump will move ahead with the commission.

Reuters contributed reporting

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