PIMCO Enters ETF Market

Bond giant Pacific Investment Management Company or PIMCO has launched an ETF Platform to provide a new way to access the firm’s investment expertise.

The first in a series of ETF solutions is the the PIMCO 1-3 Year U.S. Treasury Index Fund (TUZ), a short-duration bond portfolio for investors that are focused on relatively stable principal value and avoiding credit risk.

TUZ tracks track the Merrill Lynch 1-3 Year U.S. Treasury Index. This fund primarily invests in U.S. Treasury Securities, which are backed by the full faith and credit of the U.S. government. With maturities ranging from one to three years, price fluctuations may be low relative to longer-dated bonds, yet yields may be generally higher than shorter-term instruments such as Treasury bills or government money market funds.

See the ETF Directory for a complete listing of PIMCO ETFs.