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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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Video: Who Is Trying to Replace Planned Parenthood?

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Video: Who Is Trying to Replace Planned Parenthood?

new video loaded: Who Is Trying to Replace Planned Parenthood?

As efforts to defund Planned Parenthood lead to the closure of some of its locations, Christian-based clinics that try to dissuade abortions are aiming to fill the gap in women‘s health care. Our reporter Caroline Kitchener describes how this change is playing out in Ames, Iowa.

By Caroline Kitchener, Melanie Bencosme, Karen Hanley, June Kim and Pierre Kattar

December 22, 2025

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Weather tracker: Further flood watches issued across California

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Weather tracker: Further flood watches issued across California

After prolonged heavy rainfall and devastating flooding across the Pacific north-west in the past few weeks, further flood watches have been issued across California through this week.

With 50-75mm (2-3in) of rainfall already reported across northern California this weekend, a series of atmospheric rivers will continue to bring periods of heavy rain and mountain snow across the northern and central parts of the state, with flood watches extending until Friday.

Cumulative rainfall totals are expected to widely exceed 50mm (2in) across a vast swathe of California by Boxing Day, but with totals around 200-300mm (8-12in) possible for the north-western corner of California and western-facing slopes of the northern Sierra Nevada mountains.

Los Angeles could receive 100-150mm (4-6in) of rainfall between Christmas Eve and Christmas Day, which could make it one of the wettest Christmases on record for the city. River and urban flooding are likely – particularly where there is run-off from high ground – with additional risks of mudslides and rockslides in mountain and foothill areas.

Winter storm warnings are also in effect for Yosemite national park, with the potential for 1.8-2.4 metres (6-8ft) of accumulating snow by Boxing Day. Heavy snow alongside strong winds will make travel very difficult over the festive period.

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Golden Gate Bridge is covered with dense fog near Fort Point as rainy weather and an atmospheric river hit the San Francisco Bay Area on Saturday. Photograph: Anadolu/Getty Images

Heavy rain, lightning and strong winds are forecast across large parts of Zimbabwe leading up to Christmas. A level 2 weather warning has been issued by the Meteorological Services Department from Sunday 21 December to Wednesday 24 December. Some areas are expected to see more than 50mm of rainfall within a 24-hour period. The rain will be accompanied by hail, frequent lightning, and strong winds. These conditions have been attributed to the interaction between warm, moist air with low-pressure systems over the western and northern parts of the country.

Australia will see some large variations in temperatures over the festive period. Sydney, which is experiencing temperatures above 40C, is expected to tumble down to about 22C by Christmas Day, about 5C below average for this time of year. Perth is going to see temperatures gradually creep up, reaching a peak of 40C around Christmas Day. This is about 10C above average for this time of year.

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Lawmakers threaten Attorney General Bondi with contempt over incomplete Epstein files

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Lawmakers threaten Attorney General Bondi with contempt over incomplete Epstein files

Attorney General Pam Bondi, accompanied by Deputy Attorney General Todd Blanche (L) and FBI Director Kash Patel (R), speaks during a news conference at the Justice Department on Nov. 19. Some lawmakers said the department’s release of files relating to Jeffrey Epstein had too many redactions as well as missing information.

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Two lawmakers are threatening a seldom-used congressional sanction against the Department of Justice over what they say is a failure to release all of its files on convicted sex offender Jeffrey Epstein by a deadline set in law.

Reps. Ro Khanna and Thomas Massie spearheaded the effort to force the Epstein files’ release by co-sponsoring the Epstein Files Transparency Act, but both have said the release had too many redactions as well as missing information.

“I think the most expeditious way to get justice for these victims is to bring inherent contempt against Pam Bondi,” Massie, a Republican from Kentucky, told CBS’s Face the Nation on Sunday. “Basically Ro Khanna and I are talking about and drafting that right now.”

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Inherent contempt refers to Congress’ authority to fine or arrest and then bring to trial officers who are obstructing legislative functions. It was last successfully used in the 1930s, according to the American Bar Association.

Khanna, a California Democrat, noted that the House would not need the Senate’s approval to take such action, which he said would result in a fine for Attorney General Pam Bondi.

“I believe we’re going to get bipartisan support in holding her accountable,” he told Face the Nation.

Justice Department defends partial release

The Justice Department on Sunday defended its initial, partial release of documents, some of which were heavily redacted.

“The material that we released on Friday, or the material that we’re going to release over the next a couple of weeks, is exactly what the statute requires us to release,” said Deputy Attorney General Todd Blanche on NBC’s Meet the Press, referring to the Epstein Files Transparency Act.

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Blanche said the administration has hundreds of lawyers going through the remaining documents to ensure that victims’ information is protected. Still, lawmakers from both parties remain unsatisfied.

“Any evidence or any kind of indication that there’s not a full reveal on this, this will just plague them for months and months more,” said Republican Sen. Rand Paul of Kentucky on ABC’s This Week. “My suggestion would be — give up all the information, release it.”

Blanche told NBC he was not taking the threats of contempt seriously.

“Not even a little bit. Bring it on,” he said, adding that lawmakers who have spoken negatively about Bondi and FBI Director Kash Patel “have no idea what they’re talking about.”

Back and forth over Trump photo

The trove of documents released Friday contained little new information about Epstein, prompting accusations that the department wasn’t complying with the law. There was a photograph included in Friday’s release that showed a desk full of photos, including at least one of President Trump. It was among more than a dozen photographs no longer available in the Justice Department’s “Epstein Library” by Saturday, NPR found.

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On Sunday, the Justice Department re-uploaded the photo of the desk, and provided an explanation on X.

“The Southern District of New York flagged an image of President Trump for potential further action to protect victims,” the post read. “Out of an abundance of caution, the Department of Justice temporarily removed the image for further review. After the review, it was determined there is no evidence that any Epstein victims are depicted in the photograph, and it has been reposted without any alteration or redaction.”

The Justice Department did not offer an explanation for the other photos whose access had been removed.

Blanche told NBC the Justice Department was not redacting information around Trump or any other individual involved with Epstein. He said the Justice Department had removed photos from the public files “because a judge in New York has ordered us to listen to any victim or victim rights group, if they have any concerns about the material that we’re putting up.

“And so when we hear concerns, whether it’s photographs of women that we do not believe are victims, or we didn’t have information to show that they were victims, but we learned that there are concerns, of course, we’re taking that photograph down and we’re going to address it,” he said.

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Earlier Sunday, the Justice Department also posted to X a new version of the 119-page transcript of grand jury proceedings in the case of Epstein associate Ghislaine Maxwell. The original version had been entirely redacted.

“Here is the document now with minimal redactions. Documents and photos will continue to be reviewed consistent with the law and with an abundance of caution for victims and their families,” the Justice Department wrote in its post.

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