Goldman Sachs Global Green Bond UCITS ETF GBP-hedged (Dist)

Issuer: Goldman Sachs

Asset Class: Fixed Income

TER: 22bps

Trading Currency: GBP

Pays Income: False

Listing Date: 15 Feb 2024

Ticker: GREN

ISIN: IE0004IR5U82

This actively managed fund offers a dedicated strategy for investing in the global green bond market, which focuses on financing projects with positive environmental impacts. The investment approach is built on a fundamental, research-driven process that aims to identify bonds that not only meet stringent green criteria but also offer attractive risk-adjusted returns. By actively managing the portfolio, the investment team seeks to capitalize on market inefficiencies and mispricings within the green bond universe, with the objective of outperforming the Bloomberg MSCI Global Green Bond Index. This involves careful security selection as well as managing key risks such as duration, credit quality, and sector exposures across a globally diversified portfolio.

The strategy is designed for investors who wish to align their fixed-income allocation with sustainability goals, specifically those related to the global transition to a low-carbon economy. By investing in projects related to renewable energy, energy efficiency, clean transportation, and sustainable water management, the fund provides a tangible way to contribute to climate solutions. The portfolio provides exposure to a mix of corporate and quasi-sovereign issuers, offering diversification benefits. This particular share class is hedged, which is designed to minimize the impact of currency fluctuations between the fund's base currency and the investor's local currency, making it a suitable option for those looking to manage foreign exchange risk within their bond holdings.