Lazard Wealth Management has launched its first exchange-traded fund (ETF) in Australia, providing exposure to global companies focused on infrastructure development.
Specifically, the Lazard Global Listed Infrastructure Active ETF (GIFL) was listed on the Cboe Global Markets platform today with an annual management fee of 0.98 per cent of the fund’s net asset value. The ETF will aim to achieve total returns that outperform inflation, as measured by the Australian consumer price index, by five percent annually across rolling five-year periods.
Lazard global listed infrastructure portfolio manager Warryn Robertson pointed out the fund offers exposure to an attractive asset class with historically strong returns and lower risk compared to global equities.
“By investing in the equities of listed infrastructure operators, such as electricity networks, toll roads, and other essential assets and related services, investors can gain exposure to predictable long-term earnings streams,” Robertson said.
“In our view, not all infrastructure is created equal. Our unique approach focusses on a “preferred” subset providing an asset class that can deliver clear benefits: diversification, lower volatility and inflation protection.”
The actively managed ETF is a seperate class of units within Lazard’s Global Listed Infrastructure Fund, which invests in publicly traded companies primarily based in North America, the United Kingdom, and Europe.
Lazard Asset Management Asia-Pacific chief executive Paul Cuddy noted the move to offer the ETF to Australian investors was driven by the success of the fund, which was launched in 2005 and holds over $2 billion in assets under management.
“This is an award-winning investment capability that has long delivered outstanding risk-adjusted returns for our clients across the globe. We are pleased to now offer this fund in an ETF structure, so Australian investors can enjoy the simplicity of investing through an exchange,” he said.
