Namely, the Lazard Global Listed Infrastructure Active ETF (GIFL) will be listed on Cboe Global Markets.
GIFL is a unit class of the Lazard Global Listed Infrastructure Fund, which was launched in 2005 and has $2 billion of funds under management.
Moreover, GIFL will be implemented by the same team that launched its global infrastructure fund almost two decades ago.
According to Lazard, the ETF is made up of 25 to 50 companies from a select subset of the global infrastructure market that the firm believes provide higher revenue predictability, profitability, and lower volatility.
“By investing in the equities of listed infrastructure operators, such as electricity networks, toll roads, and other essential assets and related services, investors can gain exposure to predictable long-term earnings streams,” commented Warryn Robertson, portfolio manager and analyst on Lazard’s global listed infrastructure team.
“In our view, not all infrastructure is created equal. Our unique approach focuses on a ‘preferred’ subset providing an asset class that can deliver clear benefits: diversification, lower volatility, and inflation protection,” Robertson said.
In a statement on Wednesday, Lazard clarified that its team was one of the first to manage a dedicated global listed infrastructure fund anywhere in the world.
“This is an award-winning investment capability that has long delivered outstanding risk-adjusted returns for our clients across the globe,” said Paul Cuddy, the firm’s APAC chief executive officer.
“We are pleased to now offer this fund in an ETF structure, so Australian investors can enjoy the simplicity of investing through an exchange,” Cuddy said.
In a recent infrastructure outlook, the firm said that the asset class is the “backbone” of modern society, noting the added benefit of offering investors diversification, low volatility, and inflation hedging.
“During these volatile past two decades, listed infrastructure ‘grew up’ as an asset class. It first emerged as a standalone offering in the early 2000s and has since grown into a full-fledged asset class in its own right,” Lazard said.
