Janus Henderson, which manages $20.7 billion in 12 US-issued ETFs, has entered the emerging European fixed income ETF market with a strategy that uses AAA-rated collateralized loan obligations (CLOs).
The Janus Henderson Tabula EUR AAA CLO UCITS ETF (JCL0) will list on Deutsche Boerse with a total expense ratio (TER) of 0.35%. The exchange-traded fund will be listed on the London Stock Exchange and Borsa Italiana in due course.
JCL0 will be managed by Colin Fleury, head of secured credit, and secured credit portfolio managers Denis Struc and Ian Bettney.
The ETF will invest primarily in AAA-rated European CLO issues and up to 30% in non-European AAA CLOs that comply with European securitized regulations.
Janus launched the Janus Henderson AAA CLO ETF (JAAA) in 2020 in the US and has amassed $17.3 billion in assets. Over the past year it has increased by 7.4%.
Janus Henderson’s securitized investment team consists of six portfolio managers responsible for more than $36 billion in assets under management (AUM) globally, with CLOs representing a “substantial portion” of these assets, the firm said.
Fleury noted: “AAA CLOs are an attractive alternative to investment-grade corporate bonds, typically offering higher yields and greater credit spread for better quality assets with lower sensitivity to interest rate volatility. They can significantly increase clients’ potential to achieve higher levels of income from their fixed income or cash allocations.”
Michael John Lytle, CEO of Tabula, added: “AAA CLO ETFs have been one of the most significant innovations in the global ETF market in recent years. The specialist expertise required to build robust CLO portfolios means that A dedicated team like Janus Henderson is crucial to making this asset class accessible to a wider audience.”
JCL0 becomes the latest addition to Janus Henderson’s European active ETF rollout, following compelling equity issues in Japan and Europe in October and November respectively.
It also comes as CLOs become a launch focus for ETF issuers in Europe, with Invesco applying to launch a pair of CLO ETFs with the Central Bank of Ireland (CBI), after understanding the regulator is about to change his position on exposure.
This article was original published on etf.com sister publication ETF Stream.
Permanent link | © Copyright 2025 etf.com. All rights reserved
