PIMCO, a leading global investment management firm, and Source, a leading European provider of Exchange Traded Products (ETPs), are launching the first ETFs in Europe that provide actively managed exposure to the short-dated segment of the investment grade corporate bond market.

According to Jim Cielinski, Head of Fixed Income at Threadneedle Investments, investors should brace themselves for low returns in traditional core bonds markets. A holistic view of global fixed income markets is essential and Flexible strategies are key to generate superior returns in the current environment...

Regional differences in growth and policy will drive international financial markets next year. This is the view of Asoka Wöhrmann, Chief Investment Officer (CIO) of Deutsche Asset & Wealth Management in his outlook for 2015.

Today's launch represents one of the industry's first UCITS advanced beta multi-factor funds combining three factors: low valuation, low volatility and high quality. All three strategies demonstrate increased risk-adjusted returns over a long-term investment horizon when compared to the MSCI World index.

The aim of this ETF is to improve the stability of a portfolio of European equities, thereby optimising its performance. The index strategy is therefore founded on a two-pronged risk management approach that considers “qualitative risk” by filtering the investment universe in accordance with SRI criteria as well as “financial risk” via a selection process aimed at identifying low-volatility stocks.