Pimco is to switch managers on the Pimco Total Return active exchange-traded fund (ETF) and change its name.

According to a Securities and Exchange Commission filing, the current managers -  Citywire +rated Scott Mather, AA-rated Mark Kiesel and A-rated Mihir Worah - will be replaced by David Braun, A-rated Jerome Schneider and AA-rated Daniel Hyman.

The fund will be renamed the Pimco Active Bond ETF. The changes are expected to take place on May 8. It will keep the ticker BOND.

According to a spokewoman for Pimco, the firm is changing the fund's guidelines in an effort to address investors growing demand for income. 

‘The new portfolio manager team for, which includes Jerome Schneider who manages Pimco’s largest actively managed ETF, brings the right mix of expertise and experience in an evolving ETF investing environment where clients are seeking more income,’ she said. 

Schneider is the manager of the $6 billion Pimco Enhanced Short Maturity active ETF, which has the ticker MINT.

The Total Return ETF, which was at one time run by the firms co-founder Bill Gross, has seen its assets fall to $2 billion from its peak in 2013, $5.2 billion.

The fund hit headlines last December when the firm agreed to pay $20 million to settle charges that it misled investors about the performance of the ETF and failed to accurately value certain securities.

According to the SEC, Pimco’s Total Return ETF gained popularity with investors in its first four months, having launched in February 2012, due to performance based on buying smaller-sized bonds, known as odd lots.

However, the regulator said that in monthly and annual reports to investors, the Newport Beach-based asset manager provided other, misleading reasons for the ETF’s early success and failed to disclose that the resulting performance from the odd lot strategy was not sustainable as the fund grew in size.

Newport Beach, California-based Pimco manages $1.47 trillion of assets.