Low Duration ESG Fund

PLDIX

Updated July 19, 2018

Objective

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

Overview

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 - Scott Mather, CIO U.S. Core Strategies, Mike Amey, head of PIMCO’s ESG strategies, and Jerome Schneider, head of the short-term and funding desk - is supported by the full spectrum of PIMCO’s global resources and our four decades of active bond management experience.

PRIMARY BENCHMARK

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

PRIMARY BENCHMARK DESCRIPTION

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.

DIVIDEND FREQUENCY

Monthly with Daily Accrual

SHARE CLASS INCEPTION

12/31/1996

CUSIP

693390858

RELATED

We believe the bond market is uniquely suited to both benefit from and provide finance for ESG-related (environmental, social and governance) efforts.

Read More

One important objective for PIMCO’s ESG (environmental, social and governance) initiative is to incorporate the UN SDGs into our engagement activity as a framework for focus, accountability and ultimately measuring impact.

Read More

Managers

Scott A. Mather

CIO U.S. Core Strategies

View Profile

Mike Amey

Head of Sterling Portfolio Management and ESG Strategies

View Profile

Jerome M. Schneider

Head of Short-Term Portfolio Management

View Profile

Yields & Distributions

Historical Prices & Distributions

Distribution Yield (At Nav) 1 as of 06/30/2018 1.70%
1 - Day Distribution Yield as of 07/19/2018 -
30 - Day SEC Yield2 as of 06/30/2018 1.92%
30 - Day SEC Yield2 as of 07/19/2018 -
Latest Dividend Distribution ($ Share)3 as of 06/29/2018 $0.013578350
Dividend Distribution (YTD) 4 as of 06/29/2018 $0.060201480
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

Effective as of 07/31/2017
Total Expense Ratio 0.55%
The Net Expense Ratio excluding interest expense is 0.50%. Interest expense can result from portfolio investment transactions and is not paid to PIMCO.

Prices & Performance

Daily Statistics

All data as of 07/19/2018

NAV $9.43 One Day Return 0.00%
Daily Change $0.00 Daily YTD Return -0.23%
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.
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 6.61
1-3 yrs 76.23
3-5 yrs 25.00
5-10 yrs -6.52
10-20 yrs -1.61
20+ yrs 0.28
Effective Maturity (yrs) 1.00

Duration in Years

Effective Duration (yrs) 1.06

Risk Characteristics
(Trailing 3 Years)

Standard Deviation 0.97
Sharpe Ratio5