PIMCO StocksPLUS TR Short Strategy
Short selling basically allows an investor to make a profit when a stock falls. It’s a practice that’s often subject to controversy and even scorn, but still, many of the world’s top investors — such as George Soros, Jim Rogers and Ray Dalio — engage in the practice.
Another avid short seller is the “Bond King” Bill Gross, manager of the PIMCO StocksPLUS TR Short Strategy (MUTF:PSSAX) fund, which takes a short position in the S&P 500.
As one would expect, the returns of a fund that goes short on the market have been miserable of late; PSSAX has lost 7% in the past year. But when markets fall, the PSSAX can provide some comfort. Case in point, 2008: While the S&P 500 plunged 41%, PSSAX ripped off 47% returns.
PSSAX charges 1.04% in expenses and requires a small minimum investment of just $1,000.