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Amundi expands Prime range with bond fund launch

The ETF will track the Solactive US Dollar Investment Grade Corporate Bond index


Amundi has announced a new addition to its Prime exchange traded fund range, with a new US Dollar Investment Grade Corporate Bond ETF.

The Amundi Prime US Corporates Ucits ETF tracks the Solactive US Dollar Investment Grade Corporate Bond index, which has some 5,845 constituents.

In announcing the launch of the fund, the French asset manager said that this ETF will allow investors to mirror the behaviour of the largest corporate bond market in the world.

“The launch of the Amundi Prime US Corporates Ucits ETF DR appeases the demand of investors looking for alternative fixed income vehicles in today’s low-interest-rate environment,” said Timo Pfeiffer, head of research at Solactive.

“The new ETF is a logical extension of the existing Prime ETF range, and we are grateful that Amundi puts its trust in Solactive’s work and chooses us yet again to set up this new benchmark ETF to enhance its benchmark ETF offering.”

Amundi said that the company’s Prime range has already enjoyed substantial popularity with investors, having attracted some €500m of assets since its launch.

“The Amundi Prime range has shown that it is the right solution for investors looking for simple and cost efficient portfolio building blocks,” said Fannie Wurtz, head of Amundi ETF, Indexing and Smart Beta.

She added: “Adding US corporates to the range demonstrates our ongoing commitment to clients, and our ability to help them navigate challenging market conditions.”

The new ETF started trading on Xetra on 24 September 2019, with future listings planned for the London Stock Exchange and Borsa Italia.