While many investors have historically used ETF vehicles as a way to access passive investment strategies, PIMCO believes that these investors may be losing out on opportunities to enhance their returns through active management while also benefitting from the structure of the ETF vehicle.

Smart beta specialists Research Affiliates has unveiled a new index strategy that integrates climate transition considerations within its existing multi-factor equity approach.

BlackRock has launched a new fixed income ETF providing exposure to Treasury STRIPS at the far end of the maturity spectrum.

By Nicholas Johnson, PIMCO Portfolio Manager, Commodities.

Gold prices hit new highs earlier this month, propelled by record low interest rates in many regions, inflation worries, and mounting government debt. Yet PIMCO’s valuation model indicates gold remains attractively valued, even at these levels.

Fixed income ETF specialist PIMCO has announced the end of its European distribution partnership with rival asset manager Invesco with plans to continue on the continent solely under its own brand. Craig Dawson, Managing Director and Head of PIMCO EMEA, commented, “Integrating our European UCITS ETF business with our global platform will enable us to continue to offer superior fixed income ETF solutions to clients and prospects throughout EMEA.”

By PIMCO. The conditions for a relatively quick and robust rebound rest on the success in containing the virus within a reasonable horizon, and a well-calibrated economic policy response.

PIMCO has teamed up with smart beta index specialists Research Affiliates to launch a multi-factor US equity ETF with ESG considerations. The PIMCO RAFI ESG US ETF (RAFE US) has launched on NYSE Arca and comes with an expense ratio of 0.29%. Andrew Pyne, Executive Vice President and strategist focused on PIMCO’s equity solutions, commented, “The PIMCO RAFI ESG US ETF marries the performance potential of fundamental indexing with a unique approach to ESG, helping to drive the potential for improved returns over the broader market and social responsibility for investors.”

PIMCO has unveiled the PIMCO Enhanced Short Maturity Active ESG ETF (EMNT US). The fund, which has listed on NYSE Arca, offers actively managed exposure to short-duration debt instruments while focusing on issuers with strong environmental, social, and governance (ESG) practices. For all intents and purposes, the ETF presents an ESG alternative to the $13.6bn PIMCO Enhanced Short Maturity Active ETF (MINT US), PIMCO’s flagship ETF. Jerome Schneider, Head of Short-Term Portfolio Management at PIMCO, said, “This active ETF is designed to provide capital preservation, daily liquidity, and attractive return potential to investors who seek to invest in companies with best-in-class ESG practices.”

Ten new ETFs or ETF share classes were listed on the London Stock Exchange in October 2019, according to the exchange’s latest ETP monthly update, taking the total number of ETF listings on the exchange to 1,245, available through 1,794 different share classes. ETF providers issuing products during the month included Amundi, DWS, Goldman Sachs Asset Management, Invesco, State Street Global Advisors, and UBS.

Invesco has launched a currency-hedged share class for the PIMCO US Dollar Short Maturity Source UCITS ETF on London Stock Exchange. The new share class trades under the ticker MIST LN and hedges exposure between the US dollar and the share’s trading currency, pound sterling. The fund was one of the first actively managed ETFs to be listed in Europe and offers investors access to PIMCO’s global cash management expertise.