Mutual Fund to ETF Conversion Data Boosts Active Fixed Income ETF Case

Key trends like AI investing, geopolitical risk, and Fed narratives all dominate the market headlines. However, savvy investors know that sometimes, the big stories fly under the radar. With the dust settled on 2025, the data show the year saw a record number of mutual fund to ETF conversions. Significant on its own, that news speaks to the growing appeal of active fixed income ETF investing, as with the recent DSCO conversion from mutual fund DBLX.

See more: 2025 Marked a Record Number of Mutual Fund to ETF Conversions

The DoubleLine Securitized Credit ETF (DSCO) officially converted from the DoubleLine Securitized Credit Fund (DBLIX) this week. The move brings the fund’s active income and total return strategy to the ETF wrapper, adding the latter’s flexibility and tax efficiency.

“An ETF structure broadens access to our Securitized Credit strategy to investors in a transparent and efficient vehicle,” DoubleLine President Ron Redell said in a press release. “DoubleLine continues to enhance our mutual funds, separate accounts, ETFs, collective investment trusts and other vehicles to suit the preferences of our clients.”

Mutual Funds Converting to Active Fixed Income ETFs

DSCO is not the only fund to recently convert to an ETF wrapper. It is not the only active fixed income ETF conversion in recent months, either. AllianceBernstein (AB) converted two muni bond funds to the ETF wrapper in November. The Eaton Vance Mortgage Opportunities ETF (EVMO) converted to the ETF wrapper in August from a mutual fund wrapper, too.