Goldman Sachs Asset Management (GSAM) has expanded its ActiveBeta suite of exchange-traded funds (ETFs) with the launch of the Goldman Sachs ActiveBeta® Europe Equity ETF (GSEU) and the Goldman Sachs ActiveBeta® Japan Equity ETF (GSJY).
The funds will provide additional developed equities exposure across the globe, tracking investment opportunities in Europe and Japan, respectively. GSEU and GSJY will seek to track GSAM’s proprietary Goldman Sachs ActiveBeta® Europe Equity Index and Goldman Sachs ActiveBeta® Japan Equity Index, respectively.
“The Goldman Sachs ActiveBeta® Europe Equity ETF and the Goldman Sachs ActiveBeta® Japan Equity ETF leverage our global expertise to deliver access to slices of the European and Japanese markets in a sophisticated yet cost-effective manner,” says Michael Crinieri, GSAM’s Global Head of ETF Strategies. “We see continued investor interest in our existing ActiveBeta® ETFs, and with the launch of GSEU and GSJY, we are even better equipped to deliver investors diversified core exposure to these key markets.”
The Goldman Sachs ActiveBeta Europe Equity ETF and the Goldman Sachs ActiveBeta Japan Equity ETF began trading on the NYSE Arca today, each with USD25 million in assets, respectively. Both are priced competitively at a cost to investors of 25 basis points (“bps”), or 0.25 per cent.
GSAM also announced it has agreed to waive a portion of its management fee for the Goldman Sachs ActiveBeta® International Equity ETF (GSIE), so the total annual fund operating expenses (after fee waiver and expense limitation) have decreased to 25 bps from 35 bps, which is aligned with the pricing of these two new products.
“The expansion of our ActiveBeta suite of ETFs demonstrates our commitment to providing ETF investors true diversification through multi-factor solutions across the globe,” says Gary Chropuvka, Head of Customized Beta Strategies within the Quantitative Investment Strategies team. “As investors continue to demand a shift away from traditional exposures, we continue to look for opportunities abroad. We have been following the European recovery story, which in our view may provide a growth opportunity for long-term investors, and despite recent volatility, we believe that Japanese equities may be able to offer value to the market. The additions of GSEU and GSJY to our lineup are the latest additions to the next generation of ETF investing.”