On Thursday, PIMCO, one of the world’s premier fixed income investment managers, launched the PIMCO Municipal Income Opportunities Active Exchange-Trade Fund (MINO), an actively managed ETF that aims to invest primarily in attractive tax-advantaged investments across the U.S. municipal bond market. The fund is designed to be the company’s highest income and return strategy among their municipal ETFs.
The fund is managed by David Hammer, Managing Director and PIMCO Head of Municipal Bond Portfolio Management; Rachel Betton, Senior Vice President and Portfolio Manager; and Kyle Christine, Vice President and Portfolio Manager.
The core-plus municipal bond strategy allows the fund to invest in investment-grade and put up to 30% in high-yield municipal bond markets, giving managers the flexibility to find attractive risk-adjusted returns even when the broader interest-rate environment is challenging. The dynamic strategy will draw upon PIMCO’s deep credit capabilities, established institutional presence in the municipal bond market, and decades of experience in actively managing fixed income investments.
“The lower-for-longer interest rate environment coupled with an evolving municipal bond market has created opportunities for those who can actively invest in bonds across the risk spectrum,” said Hammer. “By broadening the investable universe to include a larger portion of the municipal market, the fund aims to generate attractive risk-adjusted returns without concentrating investments in the riskiest tiers of the market.”
PIMCO is one of the world’s premier fixed-income investment managers. With their launch in 1971 in Newport Beach, California, PIMCO introduced investors to a total return approach to fixed income investing. In the 50 years since, they have continued to bring innovation and expertise to their partnership with clients seeking the best investment solutions. Today, they have offices across the globe and professionals united by a single purpose: creating opportunities for investors in every environment. PIMCO is owned by Allianz S.E., a leading global diversified financial services provider.
For more information, visit www.pimco.com.