RAE PLUS International Fund

PTSOX

Updated October 21, 2019

Objective

Seeks total return which exceeds that of its benchmark

Primary Portfolio

Equity exposure of the RAE International portfolio is obtained using equity-linked instruments, allowing the fund to generate additional returns from a flexible bond alpha strategy.

Overview

Fund Overview

Time-tested, systematic approach to international equity investing

The fund invests in a diversified portfolio that captures the returns of international companies using the Research Affiliates Equity (RAE) investment strategy – a systematic approach designed to outperform the MSCI EAFE Value Index – plus an additional source of return potential.

Why Invest In This Fund

Systematically capitalizes on market inefficiencies

RAE selects and weights international stocks based on non-price measures of company size including sales, cash flow, dividends and book value. The strategy then refines these weights by incorporating active insights into quality, momentum, style and size with the goal of further enhancing returns. By removing price from the portfolio construction process, this value fund aims to buy low and sell high, outperforming cap-weighted indexes over time.

Offers two independent sources of potential excess returns

The fund’s unique rules-based approach to value investing seeks to outperform using a diversified, economically representative equity strategy. The fund provides an additional source of excess return potential by employing PIMCO’s “PLUS” implementation to equity investing. Using equity-linked instruments to gain equity exposure, the fund aims to generate additional returns from an actively managed bond alpha strategy.

Award-winning equity performance

The fund benefits from exposure to the proprietary