DENVER, Aug. 31, 2016 (GLOBE NEWSWIRE) -- Janus Capital Group, Inc., (NYSE:JNS) today filed a registration statement with the Securities and Exchange Commission for a global equity income exchange traded fund (ETF) with a focus on dividend paying companies with robust balance sheets and underlying businesses, seeking to provide clients an important income producing alternative in an environment of negative interest rates and yields.
The Janus SG Global Quality Income ETF (ticker: SGQI) will seek to invest in quality non-financial companies in developed countries with a free float adjusted market capitalization of at least $3 billion and a dividend yield of 4% or more.
The ETF will seek investment results that correspond generally to the performance, before fees and expenses, of the Societe Generale SGI Global Quality Income Index, which seeks to identify quality companies with attractive and sustainable dividends.
“The SGI Global Quality Income Index has been the underlying index in an ETF in Europe for more than three years due to its focus not just on high dividend paying companies, but also on high quality companies,’’ said Nick Cherney, Senior Vice President and Head of Exchange Traded Products for Janus Capital Group. “We’re very pleased to be able to bring the strategy into the U.S. market, extend its global reach and be able to offer clients a potentially important income producing alternative in an environment of negative interest rates and yields.”
Societe Generale’s proprietary SGI Global Quality Income Index applies a rules-based approach to assessing companies on a range of factors including return on assets, debt ratios, gross margin, profitability, balance sheet strength and credit metrics to seek to determine those with the financial fundamentals and sustainable businesses necessary to provide both income through reliable dividends and reduce the risk of capital loss.
The launch of this ETF will broaden a growing partnership between Janus’ Exchange Trade Products division and Societe Generale, which has significant experience developing quantitative equity strategies.
Andrew Lapthorne, Quantitative Strategist in Societe Generale’s Cross Asset Research Department said, “The culmination of over 20 years researching equity income markets, the SGI Global Quality Income Index was developed for investors interested in an investment strategy that targets higher quality companies capable of sustaining above average dividend yields over time.”
The ETF will be overseen by the Exchange Traded Products team at Janus Capital Management and is not an actively managed product. If all approvals are granted, the ETF is expected to launch in November 2016.
About Janus Capital Group Inc.
Janus Capital Group Inc. (JCG) is a global investment firm dedicated to delivering better outcomes for clients through a broad range of investment solutions, including fixed income, equity, alternative and multi-asset class strategies. It does so through a number of distinct asset management platforms, including investment teams within Janus Capital Management LLC (Janus), as well as INTECH Investment Management LLC (INTECH), Perkins Investment Management LLC (Perkins) and Kapstream Capital Pty Limited (Kapstream), in addition to a suite of exchange-traded products. Each team brings distinct asset class expertise, perspective, style-specific experience and a disciplined approach to risk. Investment strategies are offered through open-end funds domiciled in both the U.S. and offshore, as well as through separately managed accounts, collective investment trusts and exchange-traded products. Based in Denver, JCG has offices located in 12 countries throughout North America, Europe, Asia and Australia; the firm had complex-wide assets under management and ETP assets totaling $194.7 billion as of June 30, 2016.
Erin Passan, 303‐394‐7681
John Groneman, 303‐336‐7466
A registration statement relating to the ETF has been filed with the Securities and Exchange Commission but has not yet become effective. The information in the prospectus is not complete and may be changed. The security may not be sold until the registration statement filed with the securities exchange commission is effective. The prospectus is not an offer to sell the security and is not soliciting an offer to buy the security in any state where the offer is not permitted.
Please consider the investment objectives, risks, and charges and expenses of the ETF carefully before investing. The ETF prospectus will contain this and other information about the fund. You can obtain a copy of the prospectus by calling 877.33.JANUS (52687). The final prospectus should be read carefully before investing.
Investing involves risk, including the possible loss of principal and fluctuation of value. Investment return and value will fluctuate in response to issuer, political, market and economic developments, which can affect a single issuer, issuers within an industry, economic sector or geographic region, or the market as a whole. Past performance is no guarantee of future results. There is no assurance that the investment process will consistently lead to successful investing.
Foreign securities are subject to currency fluctuations, political and economic uncertainty, increased volatility and lower liquidity, all of which are magnified in emerging markets.
Performance depends upon the underlying index in which the Fund invests.
There is no assurance that tracking the underlying index will capture quality companies with attractive and sustainable dividend yields or be appropriate for every investor seeking a particular risk profile. Risks include, but are not limited to, the risk that the factors used to determine the components of the underlying index might not select securities that individually, or in the aggregate, constitute quality companies with attractive, sustainable dividend yields.
SGI Global Quality Income Index includes stocks selected from an investment universe of non-financial companies having a free-float adjusted market capitalization of at least $3 billion from developed countries and which meet certain criteria for quality, balance sheet risk, and dividend yield.
An investment cannot be made directly in an index.
ALPS Distributors, Inc. is the distributor for Janus ETFs. Mutual funds distributed by Janus Distributors LLC. ALPS is not affiliated with Janus Capital Management LLC, INTECH Investment Management LLC, Kapstream Capital Pty Limited, Perkins Investment Management LLC and VelocityShares. Janus is a registered trademark of Janus International Holding LLC. © Janus International Holding LLC.
“Societe Generale,” “SGI” and “SGI Global Quality Income Index” are service marks of Societe Generale and have been licensed for use by Janus Capital Group, Inc.
The SGI Global Quality Income Index (the “Index”) is the property of Societe Generale and is used under license. The Janus SG Global Quality Income ETF is not sponsored, endorsed, or promoted by Societe Generale. Neither Societe Generale nor any of its affiliates have passed on the Janus SG Global Quality Income ETF as to their legality or suitability, and such parties make no warranties nor bear any liability with respect to the Janus SG Global Quality Income ETF. Neither Societe Generale nor any of its affiliates acts as an investment adviser or fiduciary with respect to the Janus SG Global Quality Income ETF, Janus Capital Group, Inc. or the SGI Global Quality Income Index.
The Index is the exclusive property of Societe Generale, which has contracted with Solactive AG (“Solactive”) to maintain and calculate the Index. Solactive shall have no liability for any errors or omissions in calculating the Index.