PIMCO submitted a filing with the Securities and Exchange Commission on Wednesday seeking permission to roll out a similar version of its popular PIMCO Total Return Retail mutual fund in an exchange-traded fund wrapper.
As reported by Morningstar ETF Analyst Robert Goldsborough, PIMCO, which has been building out a footprint in the ETF space over the past several years, is proposing the actively managed PIMCO Total Return Exchange-Traded Fund, which would disclose portfolio holdings daily.
“When you first hear of something like this you think, ‘OK, actively managed ETFs have arrived,’ ” Goldsborough said in an interview with AdvisorOne. “No one can say they still need to be tested as a product class when someone like Bill Gross [left] gets in the game. This is big.”
While Goldsborough noted PIMCO already offers actively managed ETFs—PIMCO Intermediate Municipal Bond Strategy Fund and PIMCO Enhanced Short Maturity Strategy—he expects the new ETF to attract “a tremendous amount of investor interest."