BOSTON (TheStreet) -- Followers of bond-fund maven Bill Gross of Pimco will be able to get a gander at his trading strategy once the firm launches its first exchange traded fund later this year. But that doesn't mean investors can replicate Gross' big wins on their own.

That's because of a regulatory wrinkle that will preclude the do-it-yourselfer from matching his moves trade for trade, at least for now.

Pimco fund manager bill Gross to tip his hand at new ETF

Gross has built a reputation as a brilliant manager of the world's largest mutual fund, the $253 billion

Pimco Total Return Fund

(PTTAX) - Get Report

, which has a five-year average annual return of 8.5%, more than twice that of the S&P 500 Index.

An ETF, which trades throughout the day like a stock, discloses its portfolio holdings on a more regular basis than a mutual fund to provide greater transparency, per Securities and Exchange Commission regulations. And that got some investors excited that they'll be able to match Gross' moves without buying the ETF.

But his Pimco Total Return mutual fund uses derivatives to massage returns, something the new ETF won't be able to do, which means the best a camp follower will be able to do is take cues from the direction of his trades, which can be market moving given the size of the assets he and his management team oversees.

The SEC is reviewing the use of derivatives, such as futures, options and swaps agreements so investors will be fully aware of the degree of risk involved in such practices. It may decide derivatives are too risky for investors in the rapidly moving funds, but it hasn't given a deadline on when it will decide.

And therein lies the rub for those seeking to match Gross' strategy by reviewing his portfolio moves at the ETF.

"It would not have an identical strategy," given the absence of derivatives, said Todd Rosenbluth, a mutual fund industry analyst for Standard & Poor's.

If the SEC OKs the practice, the Total Return ETF would invest in derivatives, Pimco said in an SEC filing.

Nevertheless, the Gross-managed ETF is likely to gather assets quickly upon its launch. The reason: Analyst Eric Jacobson of fund-tracking firm Morningstar says "manager Bill Gross and Pimco's team are among the best in the business."

At the Total Return Fund, "Gross couples Pimco's long-term macroeconomic outlook with its take on short-term cyclical factors to determine this fund's sector weightings and duration (a measure of interest-rate sensitivity)," Jacobson writes in a research note.

Rosenbluth said Pimco has a "grand brand" that will pique investor interest in an already hot investment tool. "Investors are flocking to existing ETFs and ETF providers are launching new ones. There are 1,000 ETF products that available now and over 100 have been launched this year so there continues to be demand from end users and new supply."

Over 70% of ETFs are equity funds, many tied to indices, while about 14% are tied to fixed-income indices, Rosenbluth said.

The biggest ETF is the

SPDR S&P 500

(SPY) - Get Report

, with $98 billion in assets. Its performance tracks the Standard & Poor's 500 Index.

There is more than $1 trillion in ETFs today, up about 30% in the past year. But only a $5 billion sliver of that is in actively managed ETFs, according to Morningstar.

The Pimco Total Return Exchange-Traded Fund will trade under the ticker symbol "TRXT." It is expected to launch within a few months. The fund will charge annual fees of 0.55%.

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