Nuveen has launched the NuShares ESG U.S. Aggregate Bond ETF (NUBD), a new exchange-traded fund (ETF) designed to offer exposure to the U.S. investment grade, taxable fixed income market while adhering to certain environmental, social and governance (ESG) principles. The ETF will begin trading today on the NYSE Arca. This latest offering further complements NuShares’ existing suite of ESG ETFs, making it the most comprehensive offering of domestic, international and now fixed income ESG ETFs in the asset management industry.
The ETF seeks to track the investment results of the Bloomberg Barclays MSCI US Aggregate ESG Select Index, which is maintained by Bloomberg Index Services Limited (Bloomberg) pursuant to an agreement between Bloomberg, Barclays Bank PLC and MSCI ESG Research LLC. Like the other ETFs in the ESG suite, the index methodology was created with the assistance of TIAA Investments, one of the largest managers of responsible investment assets in the U.S. across multiple asset classes.
“We are pleased to offer investors the opportunity to build a full asset allocation portfolio that incorporates RI principles and helps to align their full portfolio with their values in a transparent, tax-efficient and low-cost solution,” said Martin Kremenstein, Senior Managing Director and Head of Exchange-Traded Funds at Nuveen.
“Our experience managing ESG fixed income investments dates back to 1990. We are pleased to leverage that deep body of knowledge, the talents of our dedicated ESG fixed income analysts and traders and expertise from across our asset management complex to offer a competitive and innovative ESG fixed income solution to investors,” said Amy O’Brien, managing director and head of Responsible Investment at TIAA Investments.
For more information about the NuShares ESG ETFs, please visit Nuveen’s NuShares ETF homepage by clicking NuShares ETFs.
Nuveen offers a comprehensive range of outcome-focused investment solutions designed to secure the long-term financial goals of institutional and individual investors. As the investment management arm of TIAA, Nuveen has $929 billion in assets under management as of 6/30/17 and operations in 16 countries. Its affiliates offer deep expertise across a comprehensive range of traditional and alternative investments through a wide array of vehicles and customized strategies. For more information, please visit www.nuveen.com.
Before investing, carefully consider fund investment objectives, risks, charges and expenses. For this and other information that should be read carefully, please request a prospectus or summary prospectus from your financial advisor or Nuveen at 800-257-8787 or visit www.nuveen.com.
This document is not an offer to sell securities and is not soliciting an offer to buy securities in any jurisdiction where the offer or sale is not permitted.
Investing involves risk; principal loss is possible. There is no guarantee the ETF’s investment objectives will be achieved. This ETF seeks to generally track the investment results of an index; however, the ETF may underperform, outperform or be more volatile than the referenced index. Because the index selects securities for inclusion based on environmental, social, and governance (ESG) criteria, the ETF may forgo some market opportunities available to funds that don't use these criteria. Interest rate risk is the risk that the value of the ETF’s portfolio will decline because of rising interest rates. Credit risk is the risk that an issuer of a debt security may be unable or unwilling to make interest and principal payments when due and the related risk that the value of a debt security may decline because of concerns about the issuer’s ability or willingness to make such payments. These and other risk considerations are described in detail in the ETF's prospectus.
Shares of ETFs are bought and sold at market price as opposed to net asset value. As a result, an investor may pay more than net asset value when buying and receive less than net asset value when selling. In addition, brokerage commissions will reduce returns. ETF shares are not individually redeemable directly from the ETF, but blocks of shares may be acquired from the ETF and tendered for redemption to the ETF by certain institutional investors in Creation Units.
Nuveen and NuShares are registered trademarks of Nuveen. TIAA is a registered trademark of TIAA.
The ETF is not sponsored, endorsed, or promoted by MSCI ESG Research LLC (MSCI ESG Research), Bloomberg Index Services (Bloomberg), or Barclays Bank PLC (Barclays), and they each bear no liability with respect to the ETF or the Index the ETF seeks to track. The ETF’s prospectus contains a more detailed description of the limited relationship MSCI ESG Research, Bloomberg, and Barclays have with Nuveen, LLC and the ETF.
Securities offered through Nuveen Securities, LLC, member FINRA and SIPC.