PIMCO is committed to active bond management within a long-term framework. Our investment process begins with our annual Secular Forum, where we develop our three- to five-year outlook for the global economy, inflation and interest rates. Through our quarterly cyclical forums, we assess the more short-term trends – those in the next 6 to 12 months – within our long-term outlook.
The investment forums help guide exposures in portfolios to specific factors, including interest rate sensitivity and credit risk. Rigorous bottom-up analysis, using advanced proprietary tools and the firm’s expertise across fixed income markets, drives the security selection process and facilitates the identification and analysis of undervalued securities.
The objective is to combine perspectives at both the portfolio and security levels to consistently add value over time with prudent acceptable levels of portfolio risk.