Gurtin California Municipal Opportunistic Value Fund

GCMFX

Updated December 04, 2019

Objective

The Fund seeks to provide current income exempt from regular federal income tax and California state personal income taxes while seeking to preserve capital and liquidity.

Primary Portfolio

High-grade municipal securities (maintaining an investment-grade rating from at least one of the three major credit ratings agencies or Gurtin Municipal Bond Management's credit research team) that are exempt from federal and state income tax

Overview

Prior to 07/01/2019 the fund's benchmark was ICE BofAML 7-12 Year U.S. Miscellaneous Municipal Securities Index.

Fund Overview

Higher potential tax-free income for California investors

The Fund seeks to provide current income exempt form regular federal income tax and California state personal income taxes while seeking to preserve capital and liquidity.

Why Invest In This Fund

A flexible approach to unlocking alpha

The Fund maintains a patient, disciplined, and opportunistic approach to finding value in high quality municipal bonds (i.e. maintaining an investment-grade rating from at least one of the three major credit ratings agencies or as rated internally by the sub-adviser, Gurtin Municipal Bond Management) and has the ability to invest across the entire municipal yield curve. Duration of the Fund will vary based on where along the yield curve there is perceived value in the market.

Disciplined discovery of high-grade opportunities in volatile markets

Using proprietary quantitative and credit research, the Fund seeks to take advantage of inefficiencies within the municipal bond market to identify value in mispriced callable bonds and in credits that the firm considers to be financially resilient yet misunderstood by the market. By capitalizing on periods of market dislocation, the Fund maintains a long-term goal of capturing value, while patiently waiting for opportunities to selectively purchase high-quality bonds which meet higher yield targets.

Minimizing exposure to excess fund flows for approved investors

Available to investors only through a select group of approved advisors, the Fund seeks to avoid the potential negative effects of excess mutual fund flows on fund investors. Through an approval process that involves advisor education, the Fund is structured to support coinvestment with like-minded buy-and-hold investors who understand the fund’s disciplined management approach.

Our Expertise

The Fund is jointly managed by Jim Grandinetti, Bill Gurtin, Michael Johnson, Brian Hannibal, and Myles Grenier of Gurtin Municipal Bond Management (“Gurtin”), a PIMCO company. Mr. Grandinetti, head of portfolio management, is responsible for fund management and oversight. Mr. Gurtin, Founder, oversees fund strategy and defines structure parameters. Mr. Johnson, chief risk officer, defines the strategic forward vision of the Research and Portfolio Management departments. Mr. Hannibal, CFA, and Mr. Grenier, CFA, conduct trades and analyses. Gurtin serves as a sub-adviser to the Funds.

PRIMARY BENCHMARK

Bloomberg Barclays California Municipal Bond Index

PRIMARY BENCHMARK DESCRIPTION

The Bloomberg Barclays California Municipal Bond Index is the California component of the Bloomberg Barclays Municipal Bond Index, which consists of a broad selection of investment-grade general obligation and revenue bonds of maturities ranging from one year to 30 years. It is an unmanaged index representative of the tax-exempt bond market. The index is made up of all investment-grade municipal bonds issued after 12/31/90 having a remaining maturity of at least one year. It is not possible to invest directly in an unmanaged index.

DIVIDEND FREQUENCY

Monthly with Daily Accrual

SHARE CLASS INCEPTION

03/18/2019

CUSIP

72202G323

RELATED

A brief monthly update on what's happening in the municipal bond market.

Read More