Low Duration ESG Fund


Updated September 25, 2020


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

Primary Portfolio

Short- and intermediate-term fixed income securities with a concentration on socially conscious companies



Fund Overview

A conservative core bond investment designed to make an impact

Focused on shorter-term securities, the fund employs a core bond strategy incorporating PIMCO’s signature total return philosophy within a socially conscious framework; provides broad market exposure with lower sensitivity to interest rate movements; and proactively engages with issuers to achieve environmental-, social- and governance-related (ESG) objectives.

Why Invest In This Fund

Enhanced return and volatility profile

Focused on short- and intermediate-term fixed income securities with a concentration on socially conscious companies, the fund has a one- to three-year duration range, which typically offers a yield advantage over short-term bond funds. It also uses multiple value-added strategies in an effort to enhance returns and manage risk, an approach that has helped deliver solid results. Historically, the fund has provided steadier returns than intermediate- or long-term bond funds, although it may not generate the return potential of longer-term bonds..

Investing for sustainability and impact as well as returns

The fund seeks to encourage positive social change while using its time-tested investment process to deliver attractive long-term performance. PIMCO’s approach to sustainable investing integrates dedicated ESG research with a robust credit research process to identify relative value opportunities while optimizing the portfolio based on ESG-based criteria. This approach also seeks to actively engage with issuers with the goal of improving their ESG-related business practices.

Impressive long-term track record

Credit analysis and sector emphasis strategies have helped boost long-term returns and manage overall risk; the fund has delivered attractive returns since inception.

Our Expertise

The fund’s expert portfolio management team - ScottMather, CIO U.S. Core Strategies, Mike Amey, head ofPIMCO’s ESG strategies, and Jerome Schneider, headof the short-term and funding desk - is supported bythe full spectrum of PIMCO’s global resources and ourfour decades of active bond management experience.


ICE BofAML 1-3 Year U.S. Treasury Index


The ICE BofAML 1-3 Year U.S. Treasury Index is an unmanaged index comprised of U.S. Treasury securities, other than inflation-protection securities and STRIPS, with at least $1 billion in outstanding face value and a remaining term to final maturity of at least one year and less than three years. It is not possible to invest directly in an unmanaged index.


Monthly with Daily Accrual






Is this health crisis turned economic shock the ESG inflection point that markets needed? In this Q&A, we discuss the outlook for ESG and PIMCO’s approach to sustainable investing.

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The health crisis creates opportunities to unite historically disparate investor groups to help build economic and market sustainability and resiliency.

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Jelle Brons began managing the fund on 1 April 2019.

Scott A. Mather

CIO U.S. Core Strategies

View Profile for Scott A. Mather

Jerome M. Schneider

Head of Short-Term Portfolio Management

View Profile for Jerome M. Schneider

Jelle Brons

Portfolio Manager, Global Investment Grade Credit

View Profile for Jelle Brons

Yields & Distributions