M&G Investments has launched a new range of active Exchange-Traded Funds (ETFs).
M&G said this launch “underscores its commitment to meeting the evolving demands of today’s investors”.
The active ETFs are backed by £350m investment from M&G’s Life business on behalf of several underlying client funds and funds from the Multi Asset Range within Asset Management.
The initial suite of M&G’s Active ETFs will be managed by M&G’s £137bn Fixed Income business, with the launch of the M&G UK Index-Linked Gilts Active UCITS ETF, the M&G UK Gilts Active UCITS ETF and the M&G US Treasury Bond Active UCITS ETF.
All will be managed by Miles Tym and Rob Burrows.
The M&G Global Maxima Equity UCITS ETF managed by M&G’s £88bn equities business, will launch soon and will be managed by Gautham Samarth and Michael Cook.
M&G Investments chief executive Joseph Pinto said: “This is a strategic milestone for M&G as we bring our active management expertise into the ETF space with scale, combining precision portfolio construction with accessibility and efficiency for investors.
“Our longstanding track record in delivering alpha through disciplined, research-driven strategies makes us uniquely positioned to translate decades of active management expertise into the active ETF structure.
“We’re entering the market with conviction, with strategies that are unconstrained by benchmarks and built to navigate complexity.
“As demand grows for flexible and high-quality investment solutions, M&G is providing differentiated exposure and reinforcing our commitment to innovation.”
M&G Life chief investment officer Ciaran Mulligan added: “We’re excited to be allocating to three of M&G’s active ETFs, each providing targeted exposure to a different government bond market.
“This approach allows our multi-asset portfolios to tap directly into the alpha generated by our active strategies, while keeping costs low for our customers.
“The ETF structure also brings trading and liquidity efficiencies, making it a flexible solution for both long-term investment and tactical positioning.
“By combining the strengths of active management with the practical benefits of ETFs, we’re enhancing value for our Life business clients and ensuring our portfolios remain agile and competitive in today’s fast-moving markets.”