Listed credit trusts chasing Australia’s yield-hungry investors and their soon-to-be-obsolete $43 billion in bank hybrids have some new competition, with one of the world’s biggest investors making a pitch of its own.

American bond fund manager Pimco with $US1.95 trillion ($3.17 trillion) invested on behalf of clients, is getting into Australian exchange-traded bond funds. It plans to launch four ETFs and is trying to capture some of the yield-hungry wholesale and retail investor set who have loved bank hybrids for the past 15 years and the fee-hungry brokers who made a motza selling them.