Goldman Sachs Asset Management plans to launch three new fixed income exchange-traded funds (ETFs), according to Security and Exchange Commission filings.
The firm has filed for the Goldman Sachs Access Emerging Markets Local Currency Bond ETF, the Goldman Sachs Access High Yield Corporate Bond ETF and the Goldman Sachs Access Investment Grade Corporate Bond ETF.
All three funds are managed by Joshua Kruk and Jason Singer. They will complement the firm's nine other US-listed ETFs.
The Goldman Sachs Access Emerging Markets Local Currency Bond ETF will invest in sovereign debt issued in local currency with a minimum of one year to maturity and at least a C rating from Standard & Poor.
It will select debt which its index provider, Citi Goldman Sachs Emerging Markets Local Currency Government Bond Index, identifies.
Its manager's will select up to 20% of its assets they believe to be correlated with the index.
The Goldman Sachs Access High Yield Corporate Bond ETF will invests in US and Canadian domiciled high yield corporate bonds with a minimum of one year to maturity and rated BB+ by Standard & Poor.
The Citi Goldman Sachs High yield Corporate Bond Index will determine which debt is available for investing in. The index will also identify issuers with a minimum size of $1 billion and a minimum of $400 million outstanding in order to include debt rated at least CCC+ by S&P or Caa by Moody’s.
This fund will also hold the same 20% rule, whereby its managers have the ability to actively pick securities correlated to the index.
The Goldman Sachs Access Investment Grade Corporate Bond ETF will invest in investment grade corporate bonds with a minimum of one year to maturity and a rating of at least BBB- by Standard & Poor.
Its debt selection is determined by the Citi Goldman Sachs Investment Grade Corporate Bond Index. The same 20% rule applies for active portfolio management.
Kruk is responsible for fixed income ETF portfolio management within the global fixed income team at Goldman Sachs, where he has been since 2012. Prior to joining Goldman Sachs, he was head of portfolio management at Dwight Asset Management.
Singer is a senior portfolio manager on the fixed income team and also responsible for global oversight of the fixed income ETF business. He joined Goldman Sachs in 1999 and had previously covered fixed income pricing, mortgage analytics, and hedge fund financing.
Goldman Sachs could not be reached in time for publication.