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.
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.
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.
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.
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