SAN FRANCISCO--(BUSINESS WIRE)--Hagens Berman Sobol Shapiro LLP is investigating PIMCO Total Return Active ETF (NYSEArca: BOND) (“the Fund”) and its management company, PIMCO, for possible violations of federal securities laws. If you have losses in your investments in the Fund or have knowledge relevant to the investigation, contact Hagens Berman Partner Reed Kathrein, who is leading the firm’s investigation, by calling (510) 725-3000, emailing BOND@hbsslaw.com or visiting http://hb-securities.com/investigations/BOND.
On Monday, August 3, PIMCO stated that it received a Wells Notice from the staff of the U.S. Securities and Exchange Commission (“SEC”) that relates to the PIMCO Total Return Active Exchange-Traded Fund (“BOND”). The notice indicates the staff’s preliminary determination to recommend that the SEC commence a civil action against PIMCO stemming from a nonpublic investigation relating to BOND. According to PIMCO the matter principally pertains to the valuation of smaller sized positions in non-agency mortgage-backed securities purchased by BOND between its inception on February 29, 2012 and June 30, 2012, the fund’s performance disclosures for that period, and the firm’s compliance policies and procedures related to these matters.
The SEC’s investigation has been underway for over a year. According to media reports, the SEC’s enforcement division began by examining whether the Fund bought investments at discounted prices but relied on higher valuations for the investments to calculate the value of its holdings, thus misleading investors about the Fund’s performance. If allegations that investors were provided with misleading information about valuation or performance are true and material, then PIMCO may have violated the securities laws.
Whistleblowers: Persons with non-public information regarding PIMCO Total Return Active ETF should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the SEC whistleblower program, whistleblowers who provide original information may receive rewards up to 30 percent of any successful recovery made by the SEC. For more information concerning your whistleblower options, call Reed Kathrein at (510) 725-3000 or email BOND@hbsslaw.com.
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