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If investors are looking at the Diversified Bonds fund category, PIMCO Commodity Real Retail Strategy A (PCRAX - Free Report) could be a potential option. PCRAX bears a Zacks Mutual Fund Rank of 2 (Buy), which is based on nine forecasting factors like size, cost, and past performance.
Objective
We classify PCRAX in the Diversified Bonds category, an area that is rife with potential choices. Diversified Bonds funds offer exposure to a wide variety of fixed income types, stretching across various issuers, credit levels, and maturities. Generally speaking, bond funds here will have sizable exposure to government debt, as well as modest holdings in the corporate bond market too.
History of Fund/Manager
PCRAX is a part of the PIMCO Funds family of funds, a company based out of Newport Beach, CA. Since PIMCO Commodity Real Retail Strategy A made its debut in June of 2002, PCRAX has garnered more than $310.09 million in assets. The fund is currently managed by a team of investment professionals.
Performance
Investors naturally seek funds with strong performance. This fund has delivered a 5-year annualized total return of 3.37%, and is in the top third among its category peers. But if you are looking for a shorter time frame, it is also worth looking at its 3-year annualized total return of 5.26%, which places it in the top third during this time-frame.
When looking at a fund's performance, it is also important to note the standard deviation of the returns. The lower the standard deviation, the less volatility the fund experiences. Compared to the category average of 15.4%, the standard deviation of PCRAX over the past three years is 18.8%. Looking at the past 5 years, the fund's standard deviation is 15.28% compared to the category average of 12.8%. This makes the fund more volatile than its peers over the past half-decade.
Expenses
Costs are increasingly important for mutual fund investing, and particularly as competition heats up in this market. And all things being equal, a lower cost product will outperform its otherwise identical counterpart, so taking a closer look at these metrics is key for investors. In terms of fees, PCRAX is a load fund. It has an expense ratio of 1.19% compared to the category average of 0.85%. So, PCRAX is actually more expensive than its peers from a cost perspective.
This fund requires a minimum initial investment of $1,000, and each subsequent investment should be at least $50.
Bottom Line
Overall, PIMCO Commodity Real Retail Strategy A ( PCRAX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, average downside risk, and higher fees, PIMCO Commodity Real Retail Strategy A ( PCRAX ) looks like a good potential choice for investors right now.
For additional information on the Diversified Bonds area of the mutual fund world, make sure to check out www.zacks.com/funds/mutual-funds. There, you can see more about the ranking process, and dive even deeper into PCRAX too for additional information. If you are more of a stock investor, make sure to also check out our Zacks Rank, and our full suite of tools we have available for novice and professional investors alike.
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Is PCRAX a Strong Bond Fund Right Now?
If investors are looking at the Diversified Bonds fund category, PIMCO Commodity Real Retail Strategy A (PCRAX - Free Report) could be a potential option. PCRAX bears a Zacks Mutual Fund Rank of 2 (Buy), which is based on nine forecasting factors like size, cost, and past performance.
Objective
We classify PCRAX in the Diversified Bonds category, an area that is rife with potential choices. Diversified Bonds funds offer exposure to a wide variety of fixed income types, stretching across various issuers, credit levels, and maturities. Generally speaking, bond funds here will have sizable exposure to government debt, as well as modest holdings in the corporate bond market too.
History of Fund/Manager
PCRAX is a part of the PIMCO Funds family of funds, a company based out of Newport Beach, CA. Since PIMCO Commodity Real Retail Strategy A made its debut in June of 2002, PCRAX has garnered more than $310.09 million in assets. The fund is currently managed by a team of investment professionals.
Performance
Investors naturally seek funds with strong performance. This fund has delivered a 5-year annualized total return of 3.37%, and is in the top third among its category peers. But if you are looking for a shorter time frame, it is also worth looking at its 3-year annualized total return of 5.26%, which places it in the top third during this time-frame.
When looking at a fund's performance, it is also important to note the standard deviation of the returns. The lower the standard deviation, the less volatility the fund experiences. Compared to the category average of 15.4%, the standard deviation of PCRAX over the past three years is 18.8%. Looking at the past 5 years, the fund's standard deviation is 15.28% compared to the category average of 12.8%. This makes the fund more volatile than its peers over the past half-decade.
Expenses
Costs are increasingly important for mutual fund investing, and particularly as competition heats up in this market. And all things being equal, a lower cost product will outperform its otherwise identical counterpart, so taking a closer look at these metrics is key for investors. In terms of fees, PCRAX is a load fund. It has an expense ratio of 1.19% compared to the category average of 0.85%. So, PCRAX is actually more expensive than its peers from a cost perspective.
This fund requires a minimum initial investment of $1,000, and each subsequent investment should be at least $50.
Bottom Line
Overall, PIMCO Commodity Real Retail Strategy A ( PCRAX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, average downside risk, and higher fees, PIMCO Commodity Real Retail Strategy A ( PCRAX ) looks like a good potential choice for investors right now.
For additional information on the Diversified Bonds area of the mutual fund world, make sure to check out www.zacks.com/funds/mutual-funds. There, you can see more about the ranking process, and dive even deeper into PCRAX too for additional information. If you are more of a stock investor, make sure to also check out our Zacks Rank, and our full suite of tools we have available for novice and professional investors alike.