Commodities are a distinct asset class with returns that are largely independent of stock and bond returns. Therefore, adding broad commodity exposure can help diversify a portfolio of stocks and bonds, potentially lowering the risk of an overall portfolio and boosting returns. Given their impact on consumer goods prices, commodities can also offer a hedge against inflation.

See how the year-to-year movement of the markets demonstrate the importance of maintaining a diversified portfolio.

Investors are more likely to reach their long-term goals if they remain invested and avoid short-term decisions that may take them off course.

Learn how a diversified portfolio can be prepared for a number of economic scenarios.

The currency market is the largest and most liquid financial market in the world. Currencies like the U.S. dollar, the British pound and the euro trade in the foreign exchange (FX) market 24 hours a day, fluctuating in value relative to each other almost constantly – and there are several paths to potential profits in the FX market.

High yield bonds – defined as corporate bonds rated below BBB− or Baa3 by established credit rating agencies – can play an important role in many portfolios. They typically offer higher coupons than government bonds or high grade corporate bonds (or, corporates) and have the potential for price appreciation in the event of an improvement in the economy, or performance of the issuing company (of course, if these conditions worsen, then prices can also go down). Because the high yield sector generally has a low correlation to other sectors of the fixed income market along with less sensitivity to interest rate risk, an allocation to high yield bonds may provide portfolio diversification benefits. In addition, high yield bond investments have historically offered similar returns to equity markets, but with lower volatility.

An interval fund is a type of closed-end fund that is not listed on an exchange that periodically offers to repurchase a limited percentage of outstanding shares, as defined in its prospectus, from its shareholders. Interval funds can provide investors with access to less liquid investment strategies than open-end funds in an attempt to enhance risk-adjusted returns and can be used as an alternative source of return and/or income.

Originally formed to provide banks with the means to transfer credit exposure, CDS has grown as an active portfolio management tool. The performance of CDS, like that of corporate bonds, is closely related to changes in credit spreads. This makes them an effective tool for hedging risk, and efficiently taking credit exposure.

After government bonds, the corporate bond market is the largest section of the global bond universe. With a vast array of maturities, yields and credit quality available, investing in corporate bonds has the potential to provide higher yields than government bonds and diversification benefits for investors.

Tax risk within the tax-exempt market escalates in a rising rate environment. Buying premium bonds is one way PIMCO seeks to help protect client portfolios from this risk.

Commodities are a distinct asset class with returns that are largely independent of stock and bond returns. Therefore, adding broad commodity exposure can help diversify a portfolio of stocks and bonds, potentially lowering the risk of an overall portfolio and boosting returns. Given their impact on consumer goods prices, commodities can also offer a hedge against inflation.

An interval fund is a type of closed-end fund that is not listed on an exchange that periodically offers to repurchase a limited percentage of outstanding shares, as defined in its prospectus, from its shareholders. Interval funds can provide investors with access to less liquid investment strategies than open-end funds in an attempt to enhance risk-adjusted returns and can be used as an alternative source of return and/or income.

Passive strategies strive to match the performance of a market index. Portable alpha strategies go further, combining key benefits of active and passive management in an effort to enhance returns while also seeking to manage risk – especially important goals in today’s lower-return markets.

A benchmark serves a crucial role in investing. Often a market index, a benchmark typically provides a starting point for a portfolio manager to construct a portfolio and directs how that portfolio should be managed on an ongoing basis from the perspectives of both risk and return. It also allows investors to gauge the relative performance of their portfolios.

Learn about risk factors and the benefits of applying risk factor-based diversification to your portfolio.

See how various investments offer incremental opportunities for potential returns while still mitigating market risks.

See how challenging it may be to recover from a major portfolio decline.

Learn about “tail risk” and how portfolios can be managed to minimize losses without curtailing growth.

Inflation-hedging strategies can be critical in protecting purchasing power.

Learn how inflation spikes over the last century have demonstrated a need for inflation-hedged portfolios.

Learn how TIPS guard against inflation and the benefits of adding them to your portfolio.

Learn how a diversified portfolio can be prepared for a number of economic scenarios.

Learn about Fed policy cycles and how they affect TIPS’ performance.