John Hancock is moving closer to launching its first actively managed ETF, according to regulatory filings and media reports.
In August of 2011, John Hancock filed with the Securities and Exchange Commission to market a “Global Balanced ETF.”
Now, in a recent filing, the money manager has updated the prospectus for its proposed fund.
The John Hancock Global Balanced ETF will provide a “balance between a high level of current income and growth of capital, with a greater emphasis on growth of captial,” according to the filing.
The fund will hold 60% of its assets in equity securities and about 40% in fixed-income assets. Additionally, the percent allocations between equities and income securities may vary up to 10% in either direction.
Equity allocations will come from both domestic and foreign stock markets of various market capitalizations.
The ETF will also hold both U.S. and non-U.S. fixed-income investments, including investment grade and below investment-grade debt and various debt instruments, like corporate bonds and mortgage-backed securities.
John Hancock’s entry into the active ETF space comes as the industry takes a closer look at the actively managed space in light of PIMCO‘s successful ETF adaption of its flagship Total Return Fund.
According to a previous filing, the firm is also considering a passively managed “Global Infrastructure ETF.”
For more information on active funds, visit our actively managed ETFs category.
Max Chen contributed to this article.