Ticker: GHYB Stock Exchange: NYSE Arca
Before you invest, you may want to review the Goldman Sachs Access High Yield Corporate Bond ETFs (the Fund) Prospectus, which contains more
information about the Fund and its risks. You can find the Funds Prospectus, reports to shareholders and other information about the Fund online at www.gsamfunds.com/ETFfunds. You can also get this information at no cost by calling 800-621-2550 or by sending an e-mail request to gs-funds-document-requests@gs.com. The
Funds Prospectus and Statement of Additional Information (SAI), both dated December 27, 2019, are incorporated by reference into this Summary Prospectus.
It is our intention that beginning on January 1, 2021, paper copies of the Funds annual and semi-annual shareholder reports will no longer be sent
by mail, unless you specifically request paper copies of the reports from your financial intermediary. Instead, the reports will be made available on a website, and you will be notified by mail each time a report is posted and provided with a
website link to access the report.
If you already elected to receive shareholder reports electronically, you will not be affected by this change and you
need not take any action. At any time, you may elect to receive reports and certain communications from the Fund electronically by contacting your financial intermediary.
You may elect to receive all future shareholder reports in paper free of charge. You can inform your financial intermediary that you wish to receive paper
copies of reports by contacting your financial intermediary. Your election to receive reports in paper will apply to all Goldman Sachs Funds held in your account.
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance
of the FTSE Goldman Sachs High Yield Corporate Bond Index (the Index).
|
|
|
FEES AND EXPENSES OF THE FUND
|
|
|
The following table describes the fees and expenses that you may pay if you buy and hold Shares of the Fund. The
table does not take into account brokerage commissions that you may pay on your purchases and sales of Shares of the Fund.
ANNUAL FUND OPERATING EXPENSES (expenses that you pay each year as a percentage of the value of your investment)
|
|
|
|
|
Management Fee
|
|
|
0.34
|
%
|
Distribution and Service (12b-1) Fee
|
|
|
0.00
|
%
|
Other Expenses
|
|
|
0.00
|
%
|
Total Annual Fund Operating Expenses
|
|
|
0.34
|
%
|
2 SUMMARY PROSPECTUS GOLDMAN SACHS ACCESS HIGH YIELD CORPORATE BOND ETF
This Example is intended to help you compare the cost of owning Shares of the Fund with the cost of investing in
other funds. The Example assumes that you invest $10,000 in the Fund for the time periods indicated and then sell all of your Shares at the end of those periods. The Example also assumes that your investment has a 5% return each year and that the
Funds operating expenses remain the same. The Example does not take into account brokerage commissions that you may pay on your purchases and sales of Shares of the Fund. Although your actual costs may be higher or lower, based on these
assumptions your costs would be:
|
|
|
|
|
|
|
|
|
|
|
1 Year
|
|
3 Years
|
|
5 Years
|
|
10 Years
|
Shares
|
|
$ 35
|
|
$ 109
|
|
$ 191
|
|
$ 431
|
The Fund may pay transaction costs when it buys and sells securities or instruments (i.e., turns
over its portfolio). A high rate of portfolio turnover may result in increased transaction costs, including brokerage commissions, which must be borne by the Fund and its shareholders, and is also likely to result in higher short-term capital
gains for taxable shareholders. These costs are not reflected in total annual fund operating expenses or in the expense example above, but are reflected in the Funds performance. The Funds portfolio turnover rate for the fiscal year
ended August 31, 2019 was 23% of the average value of its portfolio.
|
|
|
PRINCIPAL INVESTMENT STRATEGIES
|
|
|
The Fund seeks to achieve its investment objective by investing at least 80% of its assets (exclusive of
collateral held from securities lending) in securities included in its underlying index.
The Index is a rules-based index that is designed to measure the
performance of high yield corporate bonds denominated in U.S. dollars (USD) that meet certain liquidity and fundamental screening criteria. High yield bonds are bonds that are rated below investment grade and are commonly
referred to as junk bonds. As of December 2, 2019, there were 695 constituents in the Index and the Index had a weighted average maturity of 5.65 years.
The Index is a custom index that is owned and calculated by FTSE Fixed Income LLC (FTSE), a trading name of the London Stock Exchange Group plc and
its group undertakings (collectively, the LSE Group or the Index Provider). The Index is based on the FTSE US High-Yield Market Index (the Reference Index) using concepts developed with Goldman Sachs Asset
Management, L.P. (GSAM).
Given the Funds investment objective of attempting to track the Index, the Fund does not follow traditional
methods of active investment management, which may involve buying and selling securities based upon analysis of economic and market factors.
The Index
Provider constructs the Index in accordance with a rules-based methodology that involves two steps.
Step 1
◾
|
In the first step, the Index Provider defines a universe of potential index constituents (the Universe) by applying
specified criteria to the constituents of the Reference Index. The Reference Index includes high yield corporate bonds issued by companies domiciled in the United States or Canada that have a minimum of one year to maturity and are rated a maximum
of BB+ by Standard & Poors Ratings Services (S&P) and Ba1 by Moodys Investors Service, Inc. (Moodys) and a minimum of C by S&P and Ca by Moodys. Only constituents of the Reference
Index that (i) have a minimum of $400 million outstanding, a minimum issuer size of $1 billion and a maximum final maturity of 15 years and (ii) if neither fundamental factor described below is available, are rated at least CCC+
by S&P or Caa1 by Moodys, are included in the Universe. A maturity bucketing process is used to approximate the average effective duration of the Reference Index.
|
Step 2
◾
|
In the second step, the Index Provider applies a fundamental screen to the Universe. Issuers are first grouped into three broad
industry groups: financials, industrials and utilities. Within each industry group, issuers are measured by two fundamental factors, debt service and leverage. The Index Provider ranks each issuer based on the two fundamental factors, equally
weighted. The Index is constructed by including the highest ranking eligible securities in each industry group, screening out lowest ranking eligible securities.
|
The Index is rebalanced (i) monthly on the last business day of each month, to account for changes in maturities, duration, corporate actions or ratings
migration, and (ii) quarterly, to account for updates to the constituents on the basis of the fundamental factors (as described above).
The
Investment Adviser uses a representative sampling strategy to manage the Fund. Representative sampling is an indexing strategy in which the Fund invests in a representative sample of constituent securities that has a collective
investment profile similar to that of the Index. The securities selected for investment by the Fund are expected to have, in the aggregate, investment characteristics, fundamental characteristics and liquidity measures similar to those of the Index.
The Fund may or may not hold all of the securities in the Index.
The Fund may concentrate its investments (i.e., hold more than 25% of its total assets)
in a particular industry or group of industries to the extent that the Index is concentrated. The degree to which components of the Index represent certain sectors or industries may change over time.
|
|
|
PRINCIPAL RISKS OF THE FUND
|
|
|
Loss of money is a risk of investing in the Fund. An investment in the Fund is not a bank deposit and is not
insured or guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any government agency. The Fund should not be relied upon as a complete investment program. There can be no assurance that the Fund will achieve its investment
objective. Investments in the Fund involve substantial risks which prospective investors should consider carefully before investing.
3 SUMMARY PROSPECTUS GOLDMAN SACHS ACCESS HIGH YIELD CORPORATE BOND ETF
Calculation Methodology Risk. The Index relies on various sources of information to assess the
criteria of issuers included in the Index (or the Reference Index), including fundamental information that may be based on assumptions and estimates. Neither the Fund, the Investment Adviser nor the Index Provider can offer assurances that the
Indexs calculation methodology or sources of information will provide a correct valuation of securities, nor can they guarantee the availability or timeliness of the production of the Index.
Call/Prepayment Risk. An issuer could exercise its right to pay principal on an obligation held by the Fund earlier than expected. This may
happen when there is a decline in interest rates, when credit spreads change, or when an issuers credit quality improves. Under these circumstances, the Fund may be unable to recoup all of its initial investment and will also suffer from
having to reinvest in lower-yielding securities.
Credit/Default Risk. An issuer or guarantor of fixed income securities or instruments held
by the Fund may default on its obligation to pay interest and repay principal or default on any other obligation. Additionally, the credit quality of securities may deteriorate rapidly, which may impair the Funds liquidity and cause
significant deterioration in net asset value (NAV). These risks are more pronounced in connection with the Funds investments in non-investment grade fixed income securities.
Extension Risk. An issuer could exercise its right to pay principal on an obligation held by the Fund later than expected. This may
happen when there is a rise in interest rates. Under these circumstances, the value of the obligation will decrease, and the Fund will also suffer from the inability to reinvest in higher yielding securities.
Financial Services Industry Group Risk. An adverse development in the financial services industry group, including U.S. and foreign banks,
broker-dealers, insurance companies, finance companies (e.g., automobile finance) and related asset-backed securities, may affect the value of the Funds investments more than if the Fund were not invested to such a degree in this
industry group. Companies in the financial services industry group may be particularly susceptible to certain economic factors such as interest rate changes, fiscal, regulatory and monetary policy and general economic cycles.
Foreign Risk. Foreign securities may be subject to risk of loss because of more or less foreign government regulation, less public information
and less economic, political and social stability in the countries in which the Fund invests. The imposition of exchange controls, sanctions, confiscations, trade restrictions (including tariffs) and other government restrictions by the United
States or other governments, or from problems in share registration, settlement or custody, may also result in losses. Foreign risk also involves the risk of negative foreign currency rate fluctuations, which may cause the value of securities
denominated in such foreign currency (or other instruments through which the Fund has exposure to foreign currencies) to decline in value. Currency exchange rates may fluctuate significantly over short periods of time.
Index Risk. The Fund will be negatively affected by general declines in the securities and asset classes represented in the Index. In addition,
because the Fund is not actively managed, unless a specific security is removed from the Index, the Fund generally would not sell a security because the securitys issuer was in financial trouble, and the Fund does not take
defensive positions in declining markets. Market disruptions and regulatory restrictions could have an adverse effect on the Funds ability to adjust its exposure to the required levels in order to track the Index. The Index Provider may
utilize third party data in constructing the Index, but it does not guarantee the accuracy or availability of any such third party data. The Index Provider makes no guarantee with respect to the accuracy, availability or timeliness of the production
of the Index, or the suitability of the Index for the purpose to which it is being put by GSAM.
Industrial Industry Group Risk. Industrial
companies can be impacted by supply and demand for their specific product or service and for industrial company products in general. Government regulation, world events, exchange rates and economic conditions, technological developments and
liabilities for environmental damage and general civil liabilities may affect the performance of these companies.
Industry Concentration
Risk. In following its methodology, the Index from time to time may be concentrated to a significant degree in securities of issuers located in a single industry or group of industries. To the extent that the Index concentrates in the
securities of issuers in a particular industry or group of industries, the Fund also may concentrate its investments to approximately the same extent. By concentrating its investments in an industry or group of industries, the Fund may face more
risks than if it were diversified broadly over numerous industries or groups of industries. If the Index is not concentrated in a particular industry or group of industries, the Fund will not concentrate in a particular industry or group of
industries.
Interest Rate Risk. When interest rates increase, fixed income securities or instruments held by the Fund will generally decline
in value. Long-term fixed income securities or instruments will normally have more price volatility because of this risk than short-term fixed income securities or instruments. The risks associated with changing interest rates may have unpredictable
effects on the markets and the Funds investments. Fluctuations in interest rates may also affect the liquidity of fixed income securities and instruments held by the Fund.
Large Shareholder Risk. Certain shareholders, including other funds advised by the Investment Adviser, may from time to time own a substantial
amount of the Funds Shares. In addition, a third party investor, the Investment Adviser or an affiliate of the Investment Adviser, an authorized participant, a lead market maker, or another entity (i.e., a seed investor) may invest in
the Fund and hold its investment solely to facilitate commencement of the Fund or to facilitate the Funds achieving a specified size or scale. Any such investment may be held for a limited period of time. There can be no assurance that any
large shareholder would not redeem its investment, that the size of the Fund would be maintained at such levels or that the Fund would continue to meet applicable listing requirements. Redemptions by large shareholders could have a significant
negative impact on the Fund, including on the Funds liquidity. In addition, transactions by large shareholders may account for a large percentage of the
4 SUMMARY PROSPECTUS GOLDMAN SACHS ACCESS HIGH YIELD CORPORATE BOND ETF
trading volume on the NYSE Arca, Inc. (NYSE Arca) and may, therefore, have a material upward or
downward effect on the market price of the Shares.
Liquidity Risk. The Fund may invest in securities or instruments that trade in lower
volumes and may make investments that are less liquid than other investments. Also, the Fund may make investments that may become less liquid in response to market developments or adverse investor perceptions. Investments that are illiquid or that
trade in lower volumes may be more difficult to value. When there is no willing buyer and investments cannot be readily sold at the desired time or price, the Fund may have to accept a lower price or may not be able to sell the security or
instrument at all. An inability to sell one or more portfolio positions can adversely affect the Funds value. Liquidity risk may be the result of, among other things, the reduced number and capacity of traditional market participants to make a
market in fixed income securities or the lack of an active market. The potential for liquidity risk may be magnified by a rising interest rate environment or other circumstances where investor redemptions from fixed income funds may be higher than
normal, potentially causing increased supply in the market due to selling activity. Redemptions by large shareholders (including seed investors) may have a negative impact on the Funds liquidity.
If the Fund is forced to sell securities at an unfavorable time and/or under unfavorable conditions, such sales may adversely affect the Funds NAV.
Market Risk. The value of the securities in which the Fund invests may go up or down in response to the prospects of governments and/or general
economic conditions throughout the world due to increasingly interconnected global economies and financial markets.
Market Trading Risk. The
NAV of the Fund and the value of your investment may fluctuate. Market prices of Shares may fluctuate, in some cases significantly, in response to the Funds NAV, the intraday value of the Funds holdings and supply and demand for Shares.
The Fund faces numerous market trading risks, including disruptions to creations and redemptions, the existence of extreme market volatility or potential lack of an active trading market for Shares. Any of these factors, among others, may result in
Shares trading at a significant premium or discount to NAV, which will be reflected in the intraday bid/ask spreads and/or the closing price of Shares as compared to NAV. In addition, because liquidity in certain underlying securities may fluctuate,
Shares may trade at a larger premium or discount to NAV than shares of other kinds of ETFs. If a shareholder purchases Shares at a time when the market price is at a premium to the NAV or sells Shares at a time when the market price is at a discount
to the NAV, the shareholder may sustain losses. Additionally, in stressed market conditions, the market for Shares may become less liquid in response to deteriorating liquidity in the markets for the Funds underlying portfolio holdings.
Non-Investment Grade Fixed Income Securities Risk. Non-investment
grade fixed income securities and unrated securities of comparable credit quality (commonly known as junk bonds) are considered speculative and are subject to the increased risk of an issuers inability to meet principal and
interest payment obligations. These securities may be subject to greater price volatility due to such factors as specific issuer developments, interest rate sensitivity, negative perceptions of the junk bond markets generally and less liquidity.
Sampling Risk. The Funds use of a representative sampling approach will result in its holding a smaller number of securities than are
in the Index. As a result, an adverse development respecting a security held by the Fund could result in a greater decline in NAV than would be the case if the Fund held all of the securities in the Index. Conversely, a positive development relating
to a security in the Index that is not held by the Fund could cause the Fund to underperform the Index. To the extent the assets in the Fund are smaller, these risks will be greater.
Tracking Error Risk. Tracking error is the divergence of the Funds performance from that of the Index. The performance of the Fund may
diverge from that of the Index for a number of reasons. Tracking error may occur because of transaction costs, the Funds holding of cash, changes to the Index or the need to meet new or existing regulatory requirements. Unlike the Fund, the
returns of the Index are not reduced by investment and other operating expenses, including the trading costs associated with implementing changes to its portfolio of investments. Tracking error risk may be heightened during times of market
volatility or other unusual market conditions. In addition, the Funds use of a representative sampling approach may cause the Funds returns to not be as well correlated with the return of the Index as would be the case if the Fund
purchased all of the securities in the Index in the proportions in which they are represented in the Index. These risks may be greater given the Funds investment in non-investment grade securities with
more volatility in price and liquidity. The Fund may be required to deviate its investments from the securities and relative weightings of the Index to comply with the Investment Company Act of 1940, as amended (the Investment Company
Act), to meet the issuer diversification requirements of the Internal Revenue Code of 1986, as amended (the Code), applicable to regulated investment companies, or as a result of market restrictions or other legal reasons,
including regulatory limits or other restrictions on securities that may be purchased by the Investment Adviser and its affiliates.
Utilities
Industry Group Risk. Securities in the utilities industry group can be very volatile and can be impacted significantly by supply and demand for services or fuel, government regulation, conservation programs, commodity price fluctuations and
other factors. Government regulation of utility companies may limit those companies profits or the dividends they can pay to investors. In addition, utility companies may face regulatory restrictions with respect to expansion to new markets,
limiting their growth potential. Technological developments may lead to increased competition, which could impact a companys performance.
Valuation Risk. The sale price the Fund could receive for a security may differ from the Funds valuation of the security and may differ
from the value used by the Index, particularly for securities that trade in low volume or volatile markets or that are valued using a fair value methodology. Because non-U.S. exchanges may be open on days when
the Fund does not price its Shares, the value of the securities or assets in the Funds portfolio may change on days when investors will not be able to purchase
5 SUMMARY PROSPECTUS GOLDMAN SACHS ACCESS HIGH YIELD CORPORATE BOND ETF
or sell the Funds Shares. The Fund relies on various sources to calculate its NAV. The information may be
provided by third parties that are believed to be reliable, but the information may not be accurate due to errors by such pricing sources, technological issues or otherwise. NAV calculation may also be impacted by operational risks arising from
factors such as failures in systems and technology.
The bar chart and table below provide an indication of the risks of investing in the Fund by showing:
(a) changes in the performance of the Funds shares from year to year; and (b) how the average annual total returns of the Funds shares compare to those of the Funds Index, a broad-based securities market index. The
Funds past performance, before and after taxes, is not necessarily an indication of how the Fund will perform in the future. Updated performance information is available at no cost at www.gsamfunds.com/performance or by calling the appropriate
phone number on the back cover of the Prospectus.
AVERAGE ANNUAL TOTAL RETURN
|
|
|
|
|
|
|
|
|
For the period ended
December 31, 2018
|
|
1 Year
|
|
|
Since
Inception
|
|
Goldman Sachs Access High Yield Corporate Bond ETF (Inception
09/05/17)
|
|
|
|
|
|
|
|
|
Returns Before Taxes
|
|
|
-2.15%
|
|
|
|
-0.92%
|
|
Returns After Taxes on Distributions
|
|
|
-4.28%
|
|
|
|
-3.01%
|
|
Returns After Taxes on Distributions and Sale of Fund Shares
|
|
|
-1.24%
|
|
|
|
-1.55%
|
|
FTSE Goldman Sachs High Yield Corporate Bond Index (reflects no deduction for fees or
expenses)
|
|
|
-1.80%
|
|
|
|
-0.46%
|
|
Bloomberg Barclays High Yield Very Liquid Index (Total
Return, Unhedged, USD)
|
|
|
-2.57%
|
|
|
|
-1.31%
|
|
After-tax returns are calculated using the historical highest individual federal
marginal income tax rates and do not reflect the impact of state and local taxes. Actual after-tax returns depend on an investors tax situation and may differ from those shown. In addition, the after-tax returns shown are not relevant to investors who hold Fund shares through tax-deferred arrangements such as 401(k) plans or individual retirement accounts.
6 SUMMARY PROSPECTUS GOLDMAN SACHS ACCESS HIGH YIELD CORPORATE BOND ETF
Goldman Sachs Asset Management, L.P. is the investment adviser for the Fund (the Investment Adviser or
GSAM).
Portfolio Managers: Jason Singer, Managing Director, has managed the Fund since 2017; and David Westbrook, Vice
President, has managed the Fund since 2018.
|
|
|
BUYING AND SELLING FUND SHARES
|
|
|
The Fund will issue and redeem Shares at NAV only in a large specified number of Shares each called a
Creation Unit, or multiples thereof. A Creation Unit consists of 50,000 Shares.
Individual Shares of the Fund may only be purchased and sold
in secondary market transactions through brokers. Shares of the Fund are listed and traded on NYSE Arca. Shares trade at market prices rather than NAV; therefore, Shares of the Fund may trade at a price greater than or less than NAV.
The Funds distributions are taxable, and will be taxed as ordinary income or capital gains, unless you are
investing through a tax-deferred arrangement, such as a 401(k) plan or an individual retirement account. Investments made through tax-deferred arrangements may become
taxable upon withdrawal from such arrangements.
|
|
|
PAYMENTS TO BROKER-DEALERS AND OTHER FINANCIAL INTERMEDIARIES
|
|
|
If you purchase Shares of the Fund through a broker-dealer or other financial intermediary (such as a bank), GSAM
or other related companies may pay the intermediary for the sale of Fund Shares or related services. These payments may create a conflict of interest by influencing the broker-dealer or other intermediary and your salesperson to recommend the Fund
over another investment. Ask your salesperson or visit your financial intermediarys website for more information.
7 SUMMARY PROSPECTUS GOLDMAN SACHS ACCESS HIGH YIELD CORPORATE BOND ETF
[THIS PAGE LEFT INTENTIONALLY BLANK]
8 SUMMARY PROSPECTUS GOLDMAN SACHS ACCESS HIGH YIELD CORPORATE BOND ETF
ACCESSETFSUM3-19
Goldman Sachs Just Us La... (AMEX:JUST)
Historical Stock Chart
From Jun 2024 to Jul 2024
Goldman Sachs Just Us La... (AMEX:JUST)
Historical Stock Chart
From Jul 2023 to Jul 2024