4 PIMCO Mutual Funds For A Healthy Portfolio

Founded in 1971, Pacific Investment Management Company, LLC or PIMCO is an internationally acclaimed investment management firm. The company provides a wide range of financial services across the globe with the help of more than 2,500 employees. PIMCO had around $1.66 trillion assets under management as of Dec 31, 2018.

PIMCO offers a broad lineup of investment solutions for 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 four top-ranked PIMCO mutual funds. Each has earned a Zacks Mutual Fund Rank #1 (Strong Buy) or 2 (Buy) and is expected to outperform its peers in the future. Investors can click here to see the complete list of PIMCO funds.

PIMCO Credit Opportunities Bond Fund Class A PZCRX seeks maximization of total return consistent with preservation of capital and judicious investment management. The fund invests the lion’s share of its assets in a diverse portfolio of Fixed Income Instruments having different maturities. Additionally, PZCRX may also invest up to 50% of its assets in investment grade as well as high-yield securities that are rated below B- by Moody's, S&P or Fitch. If the security is unrated, PIMCO determines if it is of comparable quality. PIMCO Credit Opportunities Bond Fund Class A has three-year annualized returns of 6.2%.

As of Dec 31, 2018, PZCRX held 461 issues, with 15.49% of its assets invested in US 10 Year Note (CBT) Mar19.

PIMCO High Yield A PHDAX aims for maximum total return consistent with capital preservation and prudent investment management. The fund invests the majority of its net assets in equity securities of high-yield securities. The fund may also invest in derivative instruments such as futures contracts, options and asset-backed securities etc. PIMCO High Yield A has three-year annualized returns of 7.5%.

PHDAX has an expense ratio of 0.92% compared with the category average of 1.02%.

PIMCO StocksPLUS A PSPAX seeks returns higher than that of the S&P 500 Index. The fund focuses on fixed income instruments like bonds, debt securities and other similar instruments issued by various domestic and foreign public- or private-sector entities. PSPAX normally invests about 30% of its assets in securities denominated in foreign currencies. PIMCO StocksPLUS A has three-year annualized returns of 15.3%.

Mohsen Fahmi is one of the fund managers of PSPAX since 2018.

PIMCO Global Bond (USD-Hedged) A PAIIX invests the majority of its assets in Fixed Income Instruments that are economically linked to a minimum of three nations including the U.S. PAIIX generally invests at least 25% of its assets in Fixed Income Instruments, which are economically tied to non-U.S. countries. PAIIX may also invest in derivative instruments. The PIMCO Global Bond (USD-Hedged) A has three-year annualized returns of 3.3%.

As of Dec 31, 2018, PAIIX held 1,143 issues, with 152.25% of its assets invested in Irs Usd 3.20000 10/01/19-1y* (Red) Cme.

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

Want key mutual fund info delivered straight to your inbox?

Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing mutual funds, each week. Get it free >>