Pimco to launch ETF version of Gross' Total Return fund

The Pimco Total Return ETF will invest at least 65% of its total assets in a diversified portfolio of fixed income instruments of varying maturities, although it can invest up to 15% of its assets in securities that are considered illiquid. Most of the ETF's holdings will be high quality bonds, while the fund can also invest 10% of its assets in junk bonds and 15% in emerging markets, with foreign currency exposure limited to 20%. The fund will join Pimco's range of actively-managed ETFs, including the Enhanced Short Maturity Strategy, which has roughly $1bn in assets. Unlike tradi...