AXA Investment Managers (AXA IM) is expanding its range of fixed income ETFs with the launch of long and short-duration US treasury bond ETFs, ETF Stream can reveal.
The AXA IM ICE US Treasury +25Y UCITS ETF (ADLU) is listed on Deutsche Boerse, Borsa Italiana and will list on SIX Swiss Exchange “soon”.
Meanwhile, the AXA IM ICE US Treasury 0-1Y UCITS ETF (A01U) will also list on Deutsche Boerse, Borsa Italiana and SIX Swiss Exchange “in the coming weeks”.
ADLU tracks the ICE US Treasury 25+ Year Bond index comprised of US dollar denominated US Treasury issuance with at least 25 years to maturity. The ETF becomes the longest duration available capturing this market.
A01U tracks the ICE BofA 0-1 Year US Treasury index, providing exposure to US sovereign debt with under a year to maturity and denominated in US dollars.
Olivier Paquier (pictured), global head of ETF sales at AXA IM said: “US Treasuries are recognised as a safe haven and a core building block for many investors, not least because of their high liquidity.
“By offering our clients and prospects two ETFs positioned at the extreme ends of the curve, these products complete our range of bond ETFs, providing investors with dynamic products to build their portfolios. In this way, they can easily capture the rise and fall of US interest rates, at a low cost.”
Last month, AXA IM launched the AXA IM Emerging Markets Credit PAB UCITS ETF (AICU), marking its third Paris-Aligned Benchmark (PAB) fixed income ETF.
