New ETF Meets Demand For Sustainable Credit

New ETF Meets Demand For Sustainable Credit

Janus Henderson Investors has announced the launch of the Janus Henderson Sustainable Credit Active ETF (Managed Fund) (ASX ticker: ‘GOOD’).

Janus Henderson’s fourth active ETF, and second actively managed fixed income ETF, GOOD is a diversified credit portfolio designed to provide investors with an avenue to manage the fixed income portion of their portfolio with a sense of purpose.

Jointly managed by Melbourne-based Head of Australian Fixed Interest Jay Sivapalan and Portfolio Manager Shan Kwee, GOOD invests in credit securities which aim to make positive contributions to people and the planet by promoting decarbonisation, aiding the circular economy, supporting social equality, working to alleviate poverty and encouraging inclusion and social diversity.

Mr Sivapalan said, “We’re incredibly proud to introduce GOOD to Australian investors today. The complexity of modern ESG challenges require a deep understanding of, and regular interaction, with companies.

Also read: Why Investors Should Be Overweight Credit In 2023

“At Janus Henderson, we take an active approach to sustainable investing and working with companies and issuers that are trying to affect positive change while also aiming to enhance investment returns for Australian investors. The sustainable bond market in Australia is evolving rapidly and as such, nuanced analysis and decision making is required to select issuers that are best in class, which is critical to the success of our strategy.

“To that end, GOOD will invest in debt securities issued by companies with robust sustainable practices and the potential to enhance outcomes for society’s wellbeing and the protection of our planet.”

Matt Gaden, Head of Australia at Janus Henderson Investors, added: “Janus Henderson is committed to expanding and extending our local product offering to meet the growing demands of investors seeking responsible investment opportunities.

“Along with our established sustainability strategies in global equities (Global Sustainable Equity Active ETF (Managed Fund) (‘FUTR’)) and natural resource equities (Net Zero Transition Resources Active ETF (Managed Fund) (‘JZRO’)), the launch of GOOD provides Australian investors with an all-important fixed income option to build portfolios around sustainable investments in a cost-efficient and flexible way.”

Mr Gaden noted the launch of GOOD marked Janus Henderson’s commitment to increase the accessibility of actively managed strategies for Australian investors.

“To date we’ve launched four active ETFs in Australia, enabling investors to take advantage of our deep pool of global investment expertise, with the ease of a simple stock market trade,” he said.