Pacific Investment Management Company (Pimco) has unveiled an actively managed ETF on the NYSE Arca platform.
The Enhanced Short Maturity Strategy fund is designed to protect capital while seeking yields higher than those earned from money market funds. In order to achieve this, the ETF primarily invests in short duration investment grade debt securities, as well as longer maturity bonds and short-term instruments similar to money markets. The fund is managed by Pimco executive vice president and deputy head of the money market desk Jerome Schneider. He says: "Investors are holding a lot of cash, and are compelled to look for something beyond the near-zero yields that money market funds offer...
To continue reading this article...
Join Professional Adviser for free
- Unlimited access to real-time news, industry insights and market intelligence
- Stay ahead of the curve with spotlights on emerging trends and technologies
- Receive breaking news stories straight to your inbox in the daily newsletters
- Make smart business decisions with the latest developments in regulation, investing retirement and protection
- Members-only access to the editor’s weekly Friday commentary
- Be the first to hear about our events and awards programmes