PIMCO has teamed up with Source UK Services Ltd. to launch an exchange-traded fund to bet on the German government bond market.
The Pimco German Government Bond Index Source ETF tracks the Markit iBoxx € Germany Index. It is registered for sale in the UK and across Europe, and is listed on the Deutsche Boerse.
In a statement, Michael Surowiecki, senior vice president at PIMCO and Portfolio Manager of BUND, said: “The BUND market is over €1.1 trillion in outstanding issuance. German government bonds are a core investment position in most Europeans’ portfolios, and the BUND ETF provides access to PIMCO’s index replication and trade execution capabilities in government bonds."
The fund has a management fee of 15 basis points a year.