RealEstateRealReturn Strategy Fund

PETCX

Updated August 19, 2019

Objective

Seeks maximum real return, consistent with prudent investment management

Primary Portfolio

Real estate-linked derivatives backed by a portfolio of inflation indexed and other fixed income securities

Overview

Fund Overview

Capture the inflation-hedging potential of real estate

Harnessing PIMCO’s innovative Double Real® approach, the fund seeks to capture the performance potential of a broad real estate investment trust (REIT) index backed by a collateral portfolio of Treasury Inflation-Protected Securities (TIPS).

Why Invest In This Fund

A Double Real inflation hedge

The fund seeks to capture the performance potential of real estate through derivative exposure to the broad-based Dow Jones U.S. Select Real Estate Investment Trust (REIT) Index. This exposure is collateralized with a portfolio of TIPS that provide additional return and inflation hedging potential.

Diversification potential

Real estate has a low correlation, or tendency not to move in lockstep, with stock and bond returns. This gives real estate the potential to enhance returns and lower risk in a diversified investment portfolio. Of course, diversification cannot guarantee a pr