Janus Henderson Investors has launched its second actively managed fixed income exchange-traded fund (ETF), with the new offering investing in credit securities issued by companies engaged in positive environmental, social and governance (ESG) practices.
The Janus Henderson Sustainable Credit Active ETF, listed on the Australian Securities Exchange under the code GOOD, is a diversified credit portfolio that offers investors a fixed income investment via securities issued by companies promoting decarbonisation, aiding the circular economy, supporting social equality, working to alleviate poverty and encouraging inclusion and social diversity.
The fund will be jointly managed by Janus Henderson Investors head of Australian fixed interest Jay Sivapalan and portfolio manager Shan Kwee, with input from the firm’s wider Australian fixed interest team and a global team of 16 dedicated ESG investment experts.
“The complexity of modern ESG challenges require a deep understanding of, and regular interaction, with companies,” Sivapalan said.
“We take an active approach to sustainable investing and working with companies and issuers that are trying to effect 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.”
Janus Henderson Investors head of Australia Matt Gaden added: “Along with our established sustainability strategies in global equities and natural resource equities, 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.
“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.”