PIMCO or Pacific Investment Management Company, LLC is a well-known global investment management firm. It offers a broad lineup of investment solutions that encompass the entire gamut of equities, bonds, currencies, real estates, alternative investments and risk management.
Though the firm manages a large number of mutual funds across a wide range, it is best known for fixed income mutual funds. It boasts more than 2,200 employees working in 12 countries and trading operations in North America, Europe and Asia.
The company had around $1.77 trillion of assets under management as of Mar 31, 2018.
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.
Mutual Funds to Buy From the PIMCO Portfolio: PIMCO Foreign Bond (Unhedged) Fund (PFUAX)
PIMCO Foreign Bond (Unhedged) Fund (MUTF:PFUAX) seeks growth of returns through preservation of capital and effective investment management.
PFUAX invests a major portion of its assets in Fixed Income Instruments which are economically based in foreign countries. The fund may also invest around one-tenth of its assets in preferred securities.
PIMCO Foreign Bond (Unhedged) A has three-year annualized returns of 2.2%.
Andrew Balls is one of the fund managers of PFUAX since 2014.
Mutual Funds to Buy From the PIMCO Portfolio: PIMCO Municipal Bond Fund (PMLAX)
PIMCO Municipal Bond Fund (MUTF:PMLAX) seeks a high level of income free from federal income tax as well as preservation of capital.
PMLAX invests a bulk of its assets in debt securities whose interest is exempted from federal income tax like muni bonds. The fund may also invest around one-fifth of its assets in money market instruments and U.S. government securities.
PIMCO Municipal Bond A has three-year annualized returns of 3.2%.
As of December 2017, PMLAX held 238 issues, with 2.56% of its assets invested in Buckeye Ohio Tob Settlement Fi To 5.125%.
Mutual Funds to Buy From the PIMCO Portfolio: PIMCO High Yield Municipal Bond Fund (PYMAX)
PIMCO High Yield Municipal Bond Fund (MUTF: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 three-year annualized returns of 5.2%.
PYMAX has an expense ratio of 0.85% compared with the category average of 0.94%.
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 >>