Remy: Back-to-back record closes in the first half of this week, and as we approach late September, ETF flows are on a record pace.
U.S.-listed ETFs have pulled in a massive $1.47 trillion in year-to-date net inflows, and equity funds continue to act as the primary engine, pulling in well over $700 billion.
Meanwhile, high yields and macro uncertainties have funneled over $400 billion into bond funds, on pace to break last year's record.
So how can values-aligned strategies deliver competitive performance and risk-adjusted returns?
Joining me live here at the New York Stock Exchange to weigh in on aligning capital with personal values is Cole Pearson, president of OneAscent.
Cole, great to have you here.
Thank you so much for joining me.
Cole Pearson: Yes, thanks for having me.
Remy: Well, first and foremost, let's talk about where we stand right now when it comes to the ETF landscape.
What do you make of what we've seen so far in 2026?
Cole Pearson: Yes, well, in the values-based investing space, we're seeing lots of growth, lots of opportunity for investors to choose to align their investments with their values from different providers, different categories, different asset classes.
So we're seeing lots of opportunity in the ETF space.
Remy: Yes, and we have to keep in mind that the UN General Assembly, the high-level meetings, are taking place this week, but also Climate Week.
So there are a lot of conversations that are taking place on the ground here in New York City as we speak.
So tell us what values-based investing actually looks like.
Cole Pearson: Yes, well, it's quite simply this: it's letting our values, which are deeply personal to us, also inform the way we make investment decisions.
So that could look like the things that we choose not to invest in, that could look like the things we choose to invest in, the way that we engage, the way we vote proxies.
It's letting our values, which influence who we spend our time with, how we spend our money, also inform our investment-making decisions.
Remy: Yes, and when it comes to investments, when we think about this landscape, a lot has changed over the years.
It's not just exclusion but also based on our values.
So what is the performance telling you when it comes to this type of investing?
Cole Pearson: Yes, I think the performance is telling us that our values and our performance aren't at odds, that you don't have to choose between your convictions or your results.
You can choose to do so in an exclusionary screening way, or you can also focus on companies that are bringing blessing, which is one of the things that we do.
We want to invest in companies that, at OneAscent, are elevating the people and places that they're serving, and we think that's showing out in long-term performance.
Remy: Yes, and I do want to talk about this space because it is a crowded market.
So how are you differentiating yourself at OneAscent?
Cole Pearson: I think in the values-based category specifically, there are two ways we can differentiate.
First is our commitment to our conviction.
There are traditional asset managers that are starting to see this as an opportunity maybe to exploit a different investor base to gather assets.
Our difference from them is conviction.
Just like ESG kind of went away quickly and quietly.
For us, this is why we exist within the space of faith-based or values-based investors.
It's not conviction that we're trying to differentiate on.
It's, I would say, maybe our commitment to excellence.
I think that shows up in our people, the talent that we've been able to recruit, people who've been at the highest levels in our industry but for the first time are able to incorporate their faith and their values into the way that they work.
And so that flows through to results.
So we're differentiating from traditional asset managers on conviction, and then within our space really on our commitment to excellence, raising the bar for what values-based investing means.
Remy: Yes, and Cole, you just mentioned ESG.
So there has been ESG as well as impact investing, and we're talking about values-based investing here.
So can you walk us through your methodology?
Cole Pearson: Sure.
For us, when we say values, it's faith that informs what we do and why.
We've created a process for this.
We need to be defensible and repeatable.
So we have three E's.
First is we eliminate from our investable universe companies that we believe are causing harm, companies and industries or sectors that are extracting value from their customers or society.
Second, though, is evaluate.
We've got to be good investors.
Values-based investing is still very much investing.
So are we finding great investments?
And then third and finally, the last E is elevate.
I mentioned that before.
How do we elevate companies that are bringing blessing?
And hopefully, when we do all three of those well, the portfolio value can be elevated as well.
Remy: And I do have to ask you about your recent AUM because you did cross a key threshold here.
So what have been the growth drivers?
Cole Pearson: Yes, we just passed the billion-dollar mark in our ETF suite.
And I would say the growth markers have been that people are realizing this is an option.
For a long time, values and investments were not in the same conversation, and now investors are realizing that this is an option.
There are tools and solutions for me to do it, and I can do it well.
So I think investors are waking up to this.
Advisors who serve investors and clients are also seeing the need for this in their practices.
And so we're seeing demand both places.
Remy: And for investors, potential investors out there who might be interested in values-aligned strategies, but they haven't yet taken the plunge, what would you say to them?
Cole Pearson: I would ask you a question.
Think about your values, and do you have any that you hold so dear that you wouldn't want to violate those values just to make profit or return?
And if that's true, my second question would be: do you know if your current portfolio is aligned with what you say that you believe deeply?
We have built tools to help you uncover that.
There are others in the space as well, where we hope to be a leader in the movement but not the only player.
So do you have values that you want to reflect, and are you in alignment?
And start there with just understanding where you stand.
Remy: And there's always something behind a name.
So tell us what's behind OneAscent and also your core offerings.
Cole Pearson: Yes, sure.
The name OneAscent, again, we're a faith-based firm.
It comes from the passage in the Bible, John 3:13-15, where we talk about essentially our purpose is to lift up the name of Jesus.
No one has ascended except he who descended, the Son of Man.
So that's where our name comes from.
It's core to who we are.
Our products, we do offer investment solutions.
We offer five ETFs listed here on the New York Stock Exchange, but we offer more than that too.
We're a full ecosystem.
We've built tools and technology that help with planning, with generous giving, as well as a corporate RIA for advisors who are looking for a home to integrate faith and values into every part of their business.
Remy: Well, Cole, I really appreciate your time today.
Thank you so much for joining us here at the New York Stock Exchange, and thank you so much for breaking all of this down for us.
Cole Pearson: Yes, thank you, Remy.
Thanks for having me.
Remy: Thank you, Cole.
