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3 Zacks Rank #1 PIMCO Mutual Funds To Invest In

Published 09/12/2017, 09:56 PM
Updated 07/09/2023, 06:31 AM

Pacific Investment Management Company, LLC (commonly called PIMCO) is an internationally acclaimed investment management firm. The company provides a wide range of financial services in 11 countries with the help of more than 2,100 employees. PIMCO had around $1.61 trillion assets under management as of Jun 30, 2017.

PIMCO offers a broad lineup of investment solutions to its clients that encompass the entire gamut of equities, bonds, currencies, real estates, alternative investments and risk management. Though the firm manages an array of mutual funds, it is best known for those based on fixed income.

Below we share with you three top-ranked PIMCO mutual funds. Each has earned a Zacks Mutual Fund Rank #1 (Strong Buy) and is expected to outperform its peers in the future. Investors can click here to see the complete list of PIMCO funds.

PIMCO Income Fund A PONAX seeks growth of income and capital. PONAX invests a minimum of 65% of its assets in fixed income securities from a wide range of sectors. These securities may include options, futures contracts and swap agreements. The fund may invest not more than half of its assets in securities that are rated below investment grade. PIMCO Income Fund A has returned almost 9% in a year.

Alfred Murata is one of the fund managers of PONAX since 2013.

PIMCO High Yield Municipal Bond A PYMAX invests a major portion of its assets in debt obligations that are expected to provide income free from federal income tax. PYMAX may invest in investment grade municipal bonds and not more than 30% of its assets in "private activity" bonds. PIMCO High Yield Municipal Bond A has returned of 2.3% in a year’s time.

As of June 2017, PYMAX held 404 issues with 2.44% of its assets invested in Buckeye Ohio Tob Settlement Fi To 5.125%.

PIMCO High Yield Spectrum Fund D PHSDX seeks maximization of returns. PHSDX invests a bulk of its assets in a portfolio of junk bonds or high-yield securities. These debt securities include convertibles, forwards or derivatives that are rated below investment grade by Moody's, or equivalently by the S&P or Fitch. PIMCO High Yield Spectrum Fund D has returned 9.3% in a year’s time.

PHSDX has an expense ratio of 0.95% compared with the category average of 1.05%.

To view the Zacks Rank and past performance of all PIMCO mutual funds, investors can click here to see the complete list of funds.

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Zacks Investment Research

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