Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

State Street to Open Active ETF Run by Jeffrey Gundlach

Don't Miss Out —
Follow us on:

May 30 (Bloomberg) -- State Street Corp. and Jeffrey Gundlach’s DoubleLine Capital LP have teamed to open their first actively managed bond exchange-traded fund to compete with Bill Gross’ Pimco Total Return ETF.

SPDR DoubleLine Total Return Tactical ETF will invest in fixed-income securities and be run by Gundlach and Philip Barach, Boston-based State Street said today in a filing with the U.S. Securities and Exchange Commission. The fund, if approved, would list on the NYSE Arca exchange.

Gross’ Pacific Investment Management Co. has led the industry in developing actively managed bond ETFs, offering eight funds with $7.9 billion, or about 61 percent of the market. The new offering from State Street would be the first ETF for Los Angeles-based DoubleLine, which manages about $49 billion in assets through mainly mutual funds and closed-end funds.

“We’ve always been open to the idea of ETFs,” Ronald Redell, president of DoubleLine Funds Trust, said in a telephone interview. “State Street is the best in class among ETF providers.” Redell declined to comment on the fund’s strategy citing regulatory restrictions.

The SPDR DoubleLine ETF will invest as much as 25 percent in corporate and sovereign high-yield debt, up to 15 percent in foreign-currency securities and a maximum of 25 percent in emerging markets, according to the filing.

To contact the reporter on this story: Christopher Condon in Boston at ccondon4@bloomberg.net

To contact the editors responsible for this story: Christian Baumgaertel at cbaumgaertel@bloomberg.net Sree Vidya Bhaktavatsalam, Pierre Paulden

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.