PIMCo Offers Hedge-Like Credit Fund

Aug 31 2011 | 2:43pm ET

Mutual fund giant Pacific Investment Management Co. has launched a hedge fund-like product investing in the firm's specialty, bonds.

Newport Beach, Calif.-based PIMCo styles its new Credit Absolute Return Fund a "go-anywhere" strategy that will employ some tactics favored by hedge funds but generally shunned by mutual funds. PIMCo said that global head of corporate bond portfolios Mark Kiesel will manage the fund.

"This strategy can pivot in order to help achieve the absolute return objective," he said. "For example, this strategy can take on greater exposure to credit when spreads are attractive and, conversely, reduce overall exposure when necessary and instead focus on relative value between credit sectors."

Credit Absolute Return is not PIMCo's first hedge fund-like mutual fund: It's Unconstrained Bond Fund has more than $17 billion in assets under management.


In Depth

Israeli Hedge Fund Harnesses Big Data

Jul 28 2014 | 8:10am ET

Apica Green is a multi-million dollar Israeli hedge fund that is based in Tel Aviv...

Lifestyle

David Yarrow On Growing His Hedge Fund And Shooting The Animals And People Of Africa - As A Photographer

Jul 23 2014 | 6:44am ET

While he’s always been a photographer, recent expeditions to Iceland, Ethiopia...

Guest Contributor

The Truth About Track Record Portability

Jul 24 2014 | 5:55am ET

The number of private funds converting to mutual funds has increased significantly...

 

Sponsored Content

    Northern Trust Helps Hedge Funds Navigate Derivatives Regulations

    Jul 8 2014 | 10:48am ET

    The surge in derivatives regulation is among the most complex challenges facing the financial services industry today. Northern Trust’s Joshua Satten recently spoke with FINalternatives to share insights into the challenges presented by new regulation and explore how the industry is responding. Read more…

Publisher's Note