Janus Henderson Investors has announced the launch of an active fixed income exchange-traded fund (ETF) in Europe.

The Janus Henderson Tabula Euro Short Duration Income UCITS ETF (JHES) aims to provide enhanced yield and capital preservation across various market cycles by investing in an actively managed portfolio of primarily short duration, investment-grade debt securities.

Investments can be across multiple sectors, such as certificates of deposit, treasury bills, government and government-related bonds, commercial paper, corporate bonds, and ABS/MBS.

These investments will have a focus on developed markets, Janus Henderson noted.

JHES is managed by Janus Henderson head of global short duration and liquidity, Daniel Siluk, portfolio manager on the global short duration and liquidity team, Addison Maier, and head of investment grade credit, Tim Winstone.

Janus Henderson said that the team’s volatility management, dynamic investment strategy, and global approach to security selection for the fund will aim to build an optimally liquid portfolio that generates income throughout all market cycles.

Commenting on the fund launch, Janus Henderson head of EMEA and LatAm client group, Ignacio De La Maza, said: “Short duration fixed income is an attractive proposition for investors as it offers higher income potential and the ability to lock-in higher yields if cash rates fall, the opportunity for capital appreciation through moderate use of duration, and exhibits lower volatility and lower interest rate sensitivity than traditional fixed income."

Janus Henderson head of global short duration and liquidity, Daniel Siluk, added: “Capital preservation and income generation serve as the driving force behind everything we do. We believe diversifying through short-duration bonds as well as having a global opportunity set results in better client outcomes.

“Our adaptive view to duration, our ability to find the best opportunities globally, and our robust framework for portfolio construction are designed to deliver consistent performance and effective yield for our clients.”

The fund will initially list on Xetra with ticker JHES and will be available in all major European markets.

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