High Yield Fund

PHIYX

Updated June 20, 2018

Objective

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

Primary Portfolio

High yield bonds (2-6 yr. avg. duration)

Overview

Fund Overview

A risk-focused approach to high yield investing

By concentrating on higher credit qualities within the non-investment-grade bond universe and avoiding the riskier, more speculative lower tiers, PIMCO High Yield Fund is designed to provide an attractive risk/reward tradeoff for high yield investors.

Why Invest In This Fund

Enhanced income potential

High yield bonds are issued by corporations that lack the long-term earnings or corporate growth to earn an investment grade rating from credit rating agencies. To compensate for this additional risk, high yield bonds offer significantly higher income potential than other types of fixed income securities.

Attractive risk/reward tradeoff

Credit qualities and their contributing underlying factors can vary dramatically within the non-investment-grade bond market. Focusing on the middle and upper echelons of credit ratings, PIMCO High Yield Fund takes a more conservative approach to high yield investing.

Fundamentals remain strong

Default rates for high yield bonds have fallen sharply since 2009, remaining well below their long-term historical average. This, along with improving balance sheets and higher recovery rates when defaults do occur, should continue to bode well for corporate fundamentals.

Our Expertise

PIMCO High Yield Fund is managed by Andrew Jessop, a high yield expert with 20+ years of investing experience, and Hozef Arif, a seasoned investor with 11 years of experience. The team is supported by PIMCO’s time-tested investment process, global macroeconomic forecasts, proprietary risk-management techniques, and detailed analysis of each security represented in the fund.

PRIMARY BENCHMARK

ICE BofAML U.S. High Yield, BB-B Rated, Constrained Index

PRIMARY BENCHMARK DESCRIPTION

ICE BofAML U.S. High Yield, BB-B Rated, Constrained Index tracks the performance of BB-B Rated U.S. Dollar-denominated corporate bonds publicly issued in the U.S. domestic market. Qualifying bonds are capitalization-weighted provided the total allocation to an individual issuer (defined by Bloomberg tickers) does not exceed 2%. Issuers that exceed the limit are reduced to 2% and the face value of each of their bonds is adjusted on a pro-rata basis. Similarly, the face value of bonds of all other issuers that fall below the 2% cap are increased on a pro-rata basis. It is not possible to invest directly in an unmanaged index.

DIVIDEND FREQUENCY

Monthly with Daily Accrual

SHARE CLASS INCEPTION

12/15/1992

CUSIP

693390841

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Managers

Andrew R. Jessop

Portfolio Manager, High Yield

View Profile

Hozef Arif

Portfolio Manager, High Yield

View Profile

Yields & Distributions

Historical Prices & Distributions

Distribution Yield (At Nav) 1 as of 05/31/2018 5.52%
1 - Day Distribution Yield as of 06/20/2018 -
30 - Day SEC Yield2 as of 05/31/2018 5.10%
30 - Day SEC Yield2 as of 06/20/2018 -
Latest Dividend Distribution ($ Share)3 as of 05/31/2018 $0.040572430
Dividend Distribution (YTD) 4 as of 05/31/2018 $0.193315670
Yields & Distributions Footnotes & Disclosures

disclosures

1The distribution yield for monthly paying Funds is calculated by annualizing actual dividends distributed for the monthly period ended on the date shown and dividing by the net asset value on the last business day for the same period. The distribution yield for quarterly paying Funds is calculated by taking the average of the prior four quarterly distribution yields. The quarterly distribution yields are calculated by annualizing actual dividends distributed for the quarterly period ended on the most recent quarterly distribution date and dividing by the net asset value for the same date. The distribution yield for annual paying Funds is calculated by taking the annual distribution divided by the Fund’s net asset value on ex-date. The yield is annualized if the Fund incepted less than a year ago. The yield does not include long- or short-term capital gains distributions.
2The 30-Day SEC yield is an annualized yield based on the most recent 30 day period.
3Data does not include special cash dividends.
4Data is based on distributions since the most recent calendar year end and does not include special cash dividends.
Unless stated, the Fund does not have an unsubsidized yield.

Fees & Expenses

Total Annual Operating Expenses 0.56%

Prices & Performance

Daily Statistics

All data as of 06/20/2018

NAV $8.72 One Day Return 0.13%
Daily Change $0.01 Daily YTD Return -0.22%
Click here to view Historical Prices
  • Average Annual Returns
  • Cumulative Returns

All data as of

  • Daily
  • Month End
  • Quarter End

All data as of

  • Daily
  • Month End
  • Quarter End
Performance quoted represents past performance and is not a guarantee or a reliable indicator of future results. Investment return and the principal value of an investment will fluctuate. Shares may be worth more or less than original cost when redeemed. Current performance may be lower or higher than average annual returns shown. Performance quoted does not reflect any sales charges, if applicable, and performance would be lower if it did.

Differences in the Fund’s performance versus the index and related attribution information with respect to particular categories of securities or individual positions may be attributable, in part, to differences in the pricing methodologies used by the Fund and the index.

No assurance is being made that any fund that may have experienced high or unusual performance for one or more periods will continue to experience such performance. High performance is defined as an unusual growth in alpha between reporting periods or total return when measured to historical returns. Unusual performance is defined as an unusual change in performance (+/-) between reporting periods and the portfolio experienced unusual performance for one or more periods.

Calendar Year Returns %

All data as of

Growth of $10,000 (hypothetical)

Morningstar and Lipper

  • Morningstar Ratings
  • Lipper Rankings
Prices & Performance Footnotes & Disclosures

disclosures

Performance figures presented reflect the total return performance after fees and reflect changes in share price and reinvestment of dividend and capital gain distributions on the payable date. All periods longer than one year are annualized.
Total return performance does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. The minimum initial investment for Institutional class shares is $1 million; however, it may be modified for certain financial intermediaries who submit trades on behalf of eligible investors.

The index launched on 12/31/1996. The index performance shown prior to that date is calculated using the BofA Merrill Lunch U.S. High Yield, Cash Pay BB-B Rated Index, which was the Fund’s primary benchmark index from 12/31/1992 until 12/31/1996.
Daily YTD return is from the most recent calendar year end.
Growth of $10,000 is calculated at NAV and assumes that all dividend and capital gain distributions were reinvested. It does not take into account sales charges or the effect of taxes. Results are not indicative of future performance.
A rating is not a recommendation to buy, sell or hold a fund. © 2017 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.Past performance is not a guarantee or a reliable indicator of future results.
Morningstar Rating™ for funds, or "star rating", is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods. Morningstar, Inc.® 2017. All rights reserved. The information contained herein: (1) is proprietary to Morningstar (2) may not be copied or distributed and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.
The Lipper Category returns and rankings are calculated by Lipper Inc., a Reuters Company, which is a nationally recognized organization that compares the performance of mutual funds with similar investment objectives. The Category returns represent the average performance of included funds, while rankings compare an individual fund's returns to those of the other funds in its category. Both are based on total return performance, with capital gains and dividends reinvested, with annual operating expenses deducted, but without including front- or back-end sales charges. Rankings begin with the actual share class inception. Rankings are relative to a peer group and do not necessarily mean that the fund had high total returns.

Portfolio Composition

All data as of unless otherwise stated

Maturity %

0-1 yrs 4.00
1-3 yrs 8.64
3-5 yrs 29.19
5-10 yrs 54.08
10-20 yrs 2.91
20+ yrs 1.18
Effective Maturity (yrs) 5.92

Duration in Years

Effective Duration (yrs) 3.78

Risk Characteristics
(Trailing 3 Years)

Standard Deviation 4.69
Sharpe Ratio5 0.75
Information Ratio6 -0.31
Tracking Error7 1.00

Top Industry Sectors
Market Value %