BlackRock Expands Active ETF Platform with Launch of a Global Government Bond Hedged ETF

Business Wire

2 days ago

NEW YORK--(BUSINESS WIRE)--Today, BlackRock announced the launch of the iShares Global Government Bond USD Hedged Active ETF (NYSE: GGOV), the industry's first hedged government bond active ETF 1, designed to help investors access a globally diversified portfolio of government bonds.
"USD-hedged global government bonds have historically generated higher yields with lower volatility compared to comparable US-only bond indices,' 2 said Tom Becker, Lead Portfolio Manager of GGOV. 'Through the convenience of the ETF wrapper, GGOV aims to deliver our durable active investment process with this differentiated global benchmark. We believe that GGOV will be an important tool for many US asset allocators in the current environment of elevated inflation, large budget deficits, and rising issuance.'
The global diversification across sovereign issuers in GGOV may help investors mitigate the rising exposures and risks of long dated US Treasuries within many fixed income allocations. GGOV uses a currency hedge on the non-US bonds that seeks to raise the yield on those exposures when US policy rates are elevated relative to global peers and aims to lower overall portfolio risk.
Managed by the BlackRock Global Tactical Asset Allocation team, the Fund seeks to offer a more diversified alternative to conventional US-centric bond allocations and provides a similar combination of systematic and discretionary active management found in the BlackRock Tactical Opportunities Fund (PBAIX). The investment process leverages the team's macroeconomic expertise and proven alpha generation across $50B in global assets.
GGOV combines the best of BlackRock's active investment insights with the convenience and transparency of an ETF and joins BlackRock's over $52 billion US active ETF platform and $1 trillion global bond ETF franchise 3.
About BlackRock
BlackRock's purpose is to help more and more people experience financial well-being. As a fiduciary to investors and a leading provider of financial technology, we help millions of people build savings that serve them throughout their lives by making investing easier and more affordable. For additional information on BlackRock, please visit www.blackrock.com/corporate | Twitter: @blackrock | LinkedIn: www.linkedin.com/company/blackrock
About iShares
iShares unlocks opportunity across markets to meet the evolving needs of investors. With more than twenty years of experience, a global line-up of 1500+ exchange traded funds (ETFs) and $4.3 trillion in assets under management as of March 31, 2025, iShares continues to drive progress for the financial industry. iShares funds are powered by the expert portfolio and risk management of BlackRock.
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Carefully consider the Funds' investment objectives, risk factors, and charges and expenses before investing. This and other information can be found in the Funds' prospectuses or, if available, the summary prospectuses, which may be obtained by visiting the iShares Fund and BlackRock Fund prospectus pages. Read the prospectus carefully before investing.
Investing involves risk, including possible loss of principal.
The Fund is actively managed and does not seek to replicate the performance of a specified index. The Fund may have a higher portfolio turnover than funds that seek to replicate the performance of an index.
Fixed income risks include interest-rate and credit risk. Typically, when interest rates rise, there is a corresponding decline in the value of debt securities. Credit risk refers to the possibility that the debt issuer will not be able to make principal and interest payments.
International investing involves risks, including risks related to foreign currency, limited liquidity, less government regulation and the possibility of substantial volatility due to adverse political, economic or other developments. These risks often are heightened for investments in emerging/developing markets or in concentrations of single countries.
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