Putnam Investments announced that on Friday, September 30, it will launch two new transparent, actively managed, equity exchange traded funds: the Putnam BDC Income ETF PBDC, concentrating on business development companies (BDCs), and the Putnam BioRevolution ETF SYNB, centered on companies operating at the intersection of technology and biology in the “biology revolution.”
PBDC will represent the first actively managed BDC ETF in the marketplace, investing in a host of BDC opportunities with an eye toward generating income for investors.
“Putnam is excited to bring these two dynamic new strategies to market as we seek to address the long-term investment needs of advisors and their clients,” said Robert L. Reynolds, president and CEO of Putnam Investments, in a news release. “Our firm is focused on providing unique and differentiated offerings – delivered through a variety of vehicles – that tap Putnam’s deep investing expertise and exceptional research capabilities.”
PBDC invests in exchange traded BDCs based in the U.S. and registered with the SEC. BDCs generally invest in, lend capital to, or provide services to privately held U.S. companies or thinly traded U.S. public companies. Putnam has managed a similar non-public BDC-focused strategy for nearly five years. The fund is managed by Michael Petro.
SYNB, meanwhile, invests in companies that seek to capitalize on the convergence of technological developments in the life sciences sector, including technology-enabling companies, synthetic biology companies, and companies that operate in industries that are likely to benefit from the biology revolution. The fund is managed by William Rives.
“We have identified BDCs and advances in the biology sector as providing distinctive opportunities for investors in rapidly evolving sectors of the economy,” added Carlo Forcione, head of product and strategy at Putnam Investments. “Our new ETFs represent innovative, early-to-market offerings that will align well with the portfolio construction needs of our clients and the broader marketplace.”
The new ETFs will join Putnam’s existing suite of four active ETFs that the firm launched in May 2021: the Putnam Focused Large Cap Growth ETF (PGRO ), the Putnam Focused Large Cap Value ETF (PVAL ), the Putnam Sustainable Future ETF (PFUT ), and the Putnam Sustainable Leaders ETF (PLDR ).
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