StocksPLUS® Short Fund

PSNNX

Updated August 21, 2019

Objective

Seeks total return through the implementation of short investments positions on the S&P 500 Index

Primary Portfolio

Short S&P 500 Index derivatives backed by an actively managed portfolio of fixed income securities with an absolute return orientation

Overview

Fund Overview

Efficient inverse exposure to the S&P 500 Index

The Lipper-Award-winning strategy provides passive short exposure to the S&P 500 Index, plus an additional source of return potential.

Why Invest In This Fund

An innovative way to gain short S&P 500 exposure

For investors seeking to hedge against a potential downturn in stocks, the fund invests in short index positions to gain daily inverse exposure to the S&P 500 Index. The fund may benefit when the index is declining, but may not perform as well when rising. The fund does not replicate the inverse performance of the S&P 500 Index. See "A word about risk."

A structural advantage to gaining short equity

The fund’s returns are driven by the daily inverse of the S&P 500 Index; by selling forward contracts, the fund earns a financing rate in exchange for selling the index returns short. In contrast shorting stocks directly incurs a borrowing cost. This difference provides a structural advantage versus traditional inverse index funds.

Award winning performance

PIMCO has been recognized multiple times by Lipper as Best Group Large Equity for the time-tested and consistently strong risk-adjusted performance of our StocksPLUS strategies.

Our Expertise

PIMCO helped pioneer the innovative StocksPLUS strategy in 1986 –the same award-winning approach used across our “PLUS” portfolios, which capitalizes on the depth and breadth of PIMCO’s global resources. Today, we manage “PLUS” portfolios across a range of objectives and market exposures.

PRIMARY BENCHMARK

S&P 500 Index

PRIMARY BENCHMARK DESCRIPTION

S&P 500 Index is an unmanaged market index generally considered representative of the stock market as a whole. The Index focuses on the large-cap segment of the U.S. equities market. It is not possible to invest directly in an unmanaged index.

SECONDARY BENCHMARK

Inverse of S&P 500 Index

SECONDARY BENCHMARK DESCRIPTION

Inverse of S&P 500 Index is the negative equivalent of the return of the S&P 500 index. The S&P 500 Index is an unmanaged market index generally considered representative of the stock market as a whole. The Index focuses on the large-cap segment of the U.S. equities market It is not possible to invest directly in an unmanaged index.

DIVIDEND FREQUENCY

Quarterly

SHARE CLASS INCEPTION

04/27/2018

CUSIP

72202E229

RELATED

In late-cycle markets, our nontraditional equity approaches may offer investors more reliable and diversifying sources of alpha potential.

Read More

StocksPLUS offers an innovative solution for investors’ equity allocations by tapping opportunities in bonds – rather than stocks – to seek alpha.

Read More

Managers