Macquarie AM adds ‘first of its kind’ active ETF to platform

Macquarie Asset Management (MAM) has added to its growing suite of exchange traded funds (ETFs), launching two new fixed income funds, including a ‘first of its kind’ high yield offering.

The “simple and accessible” funds, available on the Australian Securities Exchange (ASX), promise full active ETF investment capability across equity and fixed income markets.

The just-launched Macquarie Global Yield Maximiser Active ETF (MQYM) is touted as the first ETF of its kind to provide access to actively managed global high-yield markets for Australian investors.

According to Macquarie, the “highly flexible” MQYM uses a multi-sector fixed income approach to deliver “high levels of monthly income”.

Complementing the launch of the high yield fund is the newly launched Macquarie Subordinated Debt Active ETF (MQSD), among the first actively managed predominantly Australian subordinated debt ETFs available on the ASX, according to Macquarie.

The MQSD is expected to offer significant exposure to the subordinated debts of Australian major banks and other financial institutions.

Commenting on the launch of the new funds, Macquarie AM CIO and global head of fixed income Brett Lewthwaite noted that, “in the backdrop of higher yields, central bank and regulatory changes, investors are increasingly seeking active managers to help navigate challenging market conditions”.

He added that fixed income markets can offer attractive returns whilst providing defensive and diversification benefits for investors.

Macquarie AM, part of the Macquarie Group, is among the largest active fixed income managers in Australia.

The firm’s launch of the new fixed income ETFs builds on its existing range of ETFs available via its global active ETF platform, itself launched in 2023.

The platform now boasts four fixed income and three equity ETFs with over $300 million in assets under management (AUM).

The fixed income ETF market is the third largest ETF asset class in Australia after international and Australian equities.

AUM in fixed income ETFs has more than doubled since 2021, growing from $13.4 billion to $28.0 billion in 2024.