Today, the Goldman Sachs India Equity ETF (GIND) joined the growing lineup of active ETFs from Goldman Sachs Asset Management.
For its investors, GIND seeks to tap into robust long-term capital appreciation. This fund has an expense ratio of 75 basis points.
As the fund’s title implies, the majority of GIND’s portfolio is focused on providing exposure to the India equity market. This includes common and preferred stocks, ADRs, and GDRs across the cap spectrum. Additionally, GIND may also invest in other ETFs that provide similar exposure to India.
Eligible equity securities for GIND include those trading on India’s exchanges, along with those denominated in the rupee. Notably, GIND may also use derivatives to bolster portfolio return and hedge overall risk. A smaller selection of the fund’s net assets may also be invested in equities and fixed income securities that are not tied to the country.
While many global equity strategies may be exposed to market uncertainty, Goldman Sachs notes that India’s equity market is historically less correlated to other global equities. As such, investors looking to branch out their portfolio might find great appeal within India’s market.
Tapping Into Local Expertise
Crucially, Goldman Sachs uses an on-the-ground research team based out of Mumbai. This team can apply its years of investment experience to look into compelling investment opportunities across the cap spectrum. With a finger on the pulse of India’s market, GIND could very well end up outperforming many other India-focused ETFs currently available on U.S. markets.
All these perks are made even more compelling due to the advantages of active management. With an active portfolio team at the helm, GIND can capitalize on market trends while offering defensive flexibility amid volatility.
“Goldman Sachs has been building out their ETF lineup in recent years with success,” added Todd Rosenbluth, head of research at VettaFi. “We think an active approach to emerging markets will have appeal to advisors that want to lean on experts.”
Goldman Sachs Asset Management currently has more than 40 ETFs listed in the U.S. One of the firm’s largest funds, the Goldman Sachs ActiveBeta International Equity ETF (GSIE), has over $3.6 billion in assets under management.
For more information, please visit VettaFi.com | ETF Trends.
