New York, NY – February 10, 2022 – Goldman Sachs Asset Management today announced the launch of the Goldman Sachs Bloomberg Clean Energy Equity ETF (“GCLN” or the “Fund”). The new Fund offers access to the $100 Trillion+, multi-decade clean energy investment opportunity1 by seeking to track the Bloomberg Goldman Sachs Global Clean Energy Index (the “Index”), an equity index designed by Goldman Sachs Asset Management and Bloomberg energy sector specialists.
Compared to other clean energy ETFs, GCLN offers 3 key potential advantages:
- Captures the full universe of clean energy companies, which may result in a more diverse portfolio and lower volatility
- Drives capital to companies with the greatest potential exposure to clean energy growth through an impact-weighted portfolio construction process
- Systematically evolves alongside the energy transition using forward looking datasets and analyst insights to capture new clean energy businesses and potential alpha opportunities
Ultimately, GCLN is designed for investors interested in owning “clean energy enablers2,” companies that are seizing the secular growth opportunity to combat climate change and provide clean, affordable and reliable energy. The vehicle seeks to track the Index, which focuses capital in companies with the greatest exposure to the clean energy transition. These clean energy exposures are measured using proprietary asset-level datasets and insights from the 200+ global analysts at BloombergNEF (BNEF), a premier energy transition research and advisory service provider for governments, corporations and financiers.
Katie Koch, Chief Investment Officer of Public Equity at Goldman Sachs Asset Management said, “We are delighted to launch GCLN under the corporate mission jointly announced by David Solomon and Michael Bloomberg last year – to help investors capitalize on the opportunities generated by the shift to clean energy in both developed and emerging markets. The ETF and its underlying index build on the strength of our partnership with Bloomberg to direct capital and utilize data in the fight against climate change.”
Vikrum Vora, Portfolio Manager on the Energy Infrastructure & Renewables Team at Goldman Sachs Asset Management said, “We are seeing global investors demand investment solutions with a dynamic investment approach that goes beyond the backward-looking revenue screens typical in most passive vehicles. As such, we are excited to have partnered with Bloomberg to incorporate BNEF intelligence into GCLN. The BloombergNEF inputs are a key differentiator for GCLN, ensuring that it evolves alongside the energy transition and is a useful tool for investors who are increasingly reallocating capital to align with their long-term climate and financial goals.”
Dave Gedeon, Global Head of Multi-Asset Indices at Bloomberg said, “With a continuously evolving market, clean energy companies needed a new benchmark to better understand the performance within the sector. We believe our proprietary approach fueled by BloombergNEF data and analytics has met our objectives and we’re proud to have Goldman continue to support our joint efforts with the launch of their ETF.”
Michael Crinieri, Global Head of ETFs at Goldman Sachs Asset Management, “We pride ourselves on our ability to deliver innovative products that meet client demand and market need, as we have continued to do with this new clean energy equity ETF. GCLN will provide investors with intelligent exposure to this increasingly important segment of the market, backed by the global platform and resources of Goldman Sachs.”
More broadly, Goldman Sachs’ commitment to sustainable finance goes beyond this ETF and spans all business segments as the firm has made a pledge to deploy $750 billion in financing, investing and advisory activity by 2030 to accelerate climate transition and advance inclusive growth.
The Fund is an ETF, which is one that trades on an exchange like other publicly-traded securities, and it will trade on the Cboe BZX Exchange, Inc. under the ticker symbol “GCLN”.
For more information on the Goldman Sachs Bloomberg Clean Energy Equity ETF visit gsam.com/etfs
Additional Index Information
The Bloomberg Goldman Sachs Global Clean Energy Index was developed jointly by Bloomberg and Goldman Sachs Asset Management using a proprietary approach informed by insights from BloombergNEF (BNEF) analysts who identify companies that are active and impactful in their respective clean energy sectors. The universe of eligible securities for the index is developed by using a data driven approach to select securities from the broader Bloomberg World Index based on BNEF estimates of a company’s value that is attributable to its activities across clean energy. The following sectors have been defined as having an upside exposure to clean energy for the index universe: wind energy, energy storage, clean power, networks, digitalization, bioenergy, solar energy and hydrogen energy.
Bloomberg clients can access the underlying index using the ticker BGSCEN Index
About Goldman Sachs Asset Management
Bringing together traditional and alternative investments, Goldman Sachs Asset Management provides clients around the world with a dedicated partnership and focus on long-term performance. As the primary investing area within Goldman Sachs (NYSE: GS), we deliver investment and advisory services for the world’s leading institutions, financial advisors and individuals, drawing from our deeply connected global network and tailored expert insights, across every region and market – overseeing more than $2 trillion in assets under supervision worldwide as of December 31, 20213. Driven by a passion for our clients’ performance, we seek to build long-term relationships based on conviction, sustainable outcomes, and shared success over time. Follow us on LinkedIn.
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