The two companies announced plans to work together to launch and distribute fixed income exchange-traded funds to the European market at the end of 2010, and since early this year they have launched a series of euro-denominated and US dollar-denominated Mint propositions.
This actively managed range is designed to appeal to investors looking for better-than-cash returns while also looking to maintain capital preservation and liquidity.
The Pimco sterling Short Maturity Source ETF is registered for sale in the UK and Ireland and is in the process of being passported to Austria, France, Finland, Germany, Italy (for institutional investors only), Netherlands, Norway and Sweden.
Explaining some of the thinking behind the launch, Mike Amey, head of sterling portfolios at Pimco and fund manager of Sterling Mint, said: "We believe that short-dated sterling risk-free rates will remain low for a multi-year period and as such, investors will increasingly look to achieve higher yields within a secure portfolio.”
