Emerging Markets Currency and Short-Term Investments Fund


Updated August 07, 2020


Seeks maximum total return, consistent with preservation of capital and prudent investment management

Primary Portfolio

Currencies or fixed income securities denominated in currencies of non-U.S. countries (0-2 yr. avg. duration)



Fund Overview

Active exposure to EM currencies

For investors looking to enhance their emerging markets (EM) allocations or hedge against the U.S. dollar, the fund provides actively managed access to a broad range of currencies.

Why Invest In This Fund

Attractive return and hedging potential

The fund invests primarily in currencies of EM countries, and is actively managed to capture the growth potential of their strengthening economies and fiscal reforms. The fund may also serve as a hedge against the U.S. dollar, which is expected to weaken over the long term.

Enhanced portfolio diversification

EM local currency instruments have had low historical correlations with other fixed income assets, such as U.S. Treasuries, and may help enhance overall portfolio diversification. While diversification can reduce risk, it does not guarantee a profit or necessarily protect against loss.

EM and foreign currency expertise

PIMCO has a long history analyzing EM bonds, as well as significant expertise in currency hedging and investment. The fund’s team draws on our global infrastructure and macroeconomic forecasts to evaluate relative country prospects and position for anticipated changes.

Our Expertise

The fund is managed by Pramol Dhawan, a managing director and co-chair of the emerging markets portfolio committee with 15 years of experience and