New Listing

Goldman Sachs AM unveils global green bond ETF

GSGR will be labelled Article 9 under SFDR

Lauren Gibbons

Bram Bos

Goldman Sachs Asset Management (GSAM) has expanded its fixed income ESG range with the launch of its first UCITS ETF since October 2022, ETF Stream can reveal.

The Goldman Sachs Global Green Bond UCITS ETF (GSGR) is listed on the London Stock Exchange, the Swiss Exchange, Deutsche Boerse, and the Borsa Italiana, with a total expense ratio (TER) of 0.22%.

GSGR tracks the Solactive Global Green Bond Select index which offers exposure to green bond issuance from companies in G10 countries.

The index screens both the issuers and bonds on sustainable criteria based on controversy exclusion, project and sector exclusions, alongside an analysis of issuers’ climate transition policies.

The index adopts a capital weighted methodology which means each security is weighted according to the total market value of its outstanding bonds.

The ETF is classified as Article 9 under the Sustainable Finance Disclosure Regulation (SFDR).

Bram Bos, global head of green, social and impact bonds at GSAM, said: “Today's green bond investors include a growing number of traditional fixed income clients, not just those focused primarily on impact and ESG criteria.

“Green bonds are an important source of investment to drive the climate transition, reflected in record issuance last year.”

Amundi currently offers the largest green bond ETF, the Amundi Euro Government Titled Green Bond UCITS ETF (CB3), which has €2.2bn assets under management (AUM).

This is the latest launch from GSAM since it unveiled its Paris-aligned climate global equity ETF in October 2022, which followed the launch of its UK gilts ETF with a duration of one to 10 years.

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