Clearstream - a Deutsche Börse Group company - offers investors for the first time direct access to an actively managed PIMCO Source exchange-traded fund (ETF) through Vestima, the largest global fund processing platform.
The PIMCO Covered Bond Source UCITS ETF is listed on Deutsche Börse as of 13 January 2014 and is the first ETF directly available on Vestima at end-of-day net asset value (NAV), thus providing additional access to this fund. Investors are now able to directly buy and sell shares in this ETF through Vestima in the same way as for a mutual fund, thereby benefiting from Vestima's proven efficiencies.
ETFs continue to enjoy growing popularity as investors increasingly value and benefit from unique features of these instruments.
Howard Chan, Vice President and Product Manager for PIMCO's ETF products in EMEA commented: "ETFs are generally recognised as a highly attractive instrument for both retail and institutional investors. The availability on Vestima extends access to this ETF to a larger and new group of investors. Vestima reduces the execution complexities for those investors who utilize both ETFs and mutual funds in their investment portfolios."
Philippe Seyll, Member of the Executive Board of Clearstream and Head of Investment Funds Services, said: "We are pleased to introduce the first actively managed covered bond ETF, managed by PIMCO, onto our Vestima platform, which currently gives access to more than 125,000 mutual funds. Our objective is to provide investors with a standardised process for all their fund transactions - from mutual funds to ETFs and hedge funds - by using the same platform."
Clearstream is currently working with the broader community of ETF promoters to enable direct access to a broader range of ETFs, thereby replicating the model of the PIMCO Source ETF launch.
The improved access to ETFs on Vestima is part of Clearstream's wider efficiency agenda for ETF issuance and processing. The recent announcement of the collaboration with Capita Asset Services to make cross-border transactions for Irish ETFs more secure and streamlined in the German market constituted another key milestone.