Macquarie Asset Management (MAM) has today announced the launch of two new fixed income ETFs, enhancing its platform offering to provide full active ETF investment capability to investors across equity and fixed income markets.
Available now via the ASX, the Macquarie Global Yield Maximiser Active ETF (ASX:MQYM) is the first ETF of its kind to provide access to actively managed global high yield markets for Australian investors and the Macquarie Subordinated Debt Active ETF (ASX:MQSD) is one of the first actively managed predominantly Australian subordinated debt ETFs available on the ASX.
The launch of the two new fixed income ETFs builds on an existing range of MAM ETFs available in Australia and via MAM’s global active ETF platform. Launched in 2023, following strong investor appetite for ease of access to fixed income and equity markets through actively managed ETFs, the platform now has four fixed income and three equity ETFs with over $A300m in assets under management.
Brett Lewthwaite, CIO and Global Head of Fixed Income, Macquarie Asset Management said: “Fixed income markets can offer attractive returns whilst providing defensive and diversification benefits for investors, across what is a global and complex investment opportunity set. Against a backdrop of higher yields, central bank and regulatory changes, investors are increasingly seeking active managers to help navigate these market conditions and capture the array of attractive opportunities.”
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Macquarie said the fixed income ETF market in Australia has continued to grow in recent years, with assets under management more than doubling in size to $A28.0bn in 2024, up from $A13.4bn in 2021, making it the third largest ETF asset class in Australia after international and Australian equities.
Blair Hannon, ETF Investment Strategist at Macquarie Asset Management said: “Active fixed income ETFs can provide a simple and accessible high yielding solution with access to the expertise of professional asset managers in fixed income markets.
“In addition, actively managed fixed income ETFs can provide the extra benefit of hands at the wheel helping to diversify across issuers, maturities, credit ratings and capital structure, with low barriers to entry.”
About Macquarie’s new active fixed income ETFs:
- Macquarie Global Yield Maximiser Active ETF (ASX:MQYM) seeks to provide exposure to high yielding credit opportunities, boost portfolio yield and deliver high levels of monthly income, using a multi-sector fixed income approach. Designed to be highly flexible with an actively managed and agile strategy, the ETF provides the ability to access a diverse and global investment universe across varying market conditions.
- Macquarie Subordinated Debt Active ETF (ASX:MQSD) offers a diversified portfolio of subordinated bonds, with significant exposure expected to be to those issued by Australian major banks and other financial institutions. With the current phasing out of bank hybrids in the Australian market, subordinated debt ETFs can provide an alternative solution to exchange traded hybrids.
