Investment manager Franklin Templeton has launched the Franklin US Treasury 0-1 Year Ucits ETF, offering European investors a way to access the US treasury market with a focus on short term US debt.
The offering, Franklin US Treasury 0–1 Year Ucits ETF, is an index-tracking fund designed to provide exposure to short term US Treasury securities. These securities combine competitive yields with a lower-risk investment profile, shared the investment manager.
The ETF will list on the Deutsche Börse Xetra today, followed by listings on Euronext Paris, Borsa Italiana and Cboe Europe in the Netherlands tomorrow. It will be registered for distribution in Austria, Denmark, Finland, France, Germany, Ireland, Italy, Luxembourg, Netherlands, Spain and Sweden.
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The ETF tracks the Bloomberg US Short Treasury Index, which includes approximately 100 US Treasury notes, bonds and bills with maturities between one month and one year. It is positioned as a fixed income solution suitable either as a core bond portfolio holding or as a satellite allocation, shared the provider.
The fund will be managed by Albert Chan, William W. Chong and Jesse Hurwitz, co-lead portfolio managers at Franklin Templeton Fixed Income.
Caroline Baron, head of Europe, Middle East and Africa, ETF distribution, commented: “The Franklin US Treasury 0-1 Year Ucits ETF is designed to provide easy and efficient access to the US treasury market. By focusing on short-term securities, we aim to deliver a lower-risk investment option with attractive yield potential.”
Matthew Harrison, head of Americas (ex-US) Europe & UK, added: “As we aim to widen investors choices with the expansion of our offering, this new indexed ETF is an excellent building block for institutional as well as for retail clients looking to cushion their portfolios during volatile markets.”
