UBS Asset Management has launched sterling-hedged and US dollar-hedged versions of its liquid corporate bond ESG ETF.

The sterling-hedged UBS ETF Bloomberg Barclays MSCI Global Liquid Corporates Sustainable UCITS ETF (GLCO) is listed on the London Stock Exchange, while the US dollar-hedged UBS ETF Bloomberg Barclays MSCI Global Liquid Corporates Sustainable UCITS ETF (CORPS) is listed on the SIX Swiss Exchange. Both products have total expense ratios (TERs) of 0.25%.

The new share classes have been launched to meet demand from UBS clients seeking sterling-hedged and US dollar-hedged versions of the existing exposure.

They complement both the unhedged and euro-hedged iterations of the strategy, which were launched in 2020.  

While GLCO tracks the Bloomberg Barclays MSCI Global Liquid Corporates Sustainable Bond hedged to GBP index, CORPS replicates the Bloomberg Barclays MSCI Global Liquid Corporates Sustainable Bond hedged to USD index.

The indices offer exposure to investment-grade debt issued in US dollars, euros, sterling, or Canadian dollars with both only including bonds issued by companies with an MSCI ESG ratings of BBB or higher.

These new share classes follow 11 ESG ETF launches by UBS AM within the last four weeks including seven Paris-aligned equity ETFs on 30 March:

  • UBS ETF MSCI EMU Climate Paris Aligned UCITS ETF (EMUPA) 
  • UBS ETF MSCI Europe Climate Paris Aligned UCITS ETF (EURPA) 
  • UBS ETF MSCI Japan Climate Paris Aligned UCITS ETF (JAPA) 
  • UBS ETF MSCI USA Climate Paris Aligned UCITS ETF (USAPA) 
  • UBS ETF MSCI World Climate Paris Aligned UCITS ETF (WOPA) 
  • UBS ETF MSCI ACWI Climate Paris Aligned UCITS ETF (ACPA) 
  • UBS ETF MSCI Emerging Markets Climate Paris Aligned UCITS ETF (EMPA)