Fund Description

The fund was incepted in January 1997 and is managed by PIMCO Adviser. The objective of this fund is to seek maximum real return consistent with preservation of real capital and prudent investment management. The fund invests primarily in investment grade securities, but may invest up to 10% of its total assets in high yield securities ('junk bonds') rated B or higher by Moody's or S&P or, if unrated, determined by PIMCO to be of comparable quality. The fund may also invest up to 20% of its total assets in securities denominated in foreign currencies, and invests beyond this limit in U.S. dollar denominated securities of foreign issuers. The fund normally hedge at least 75% of its exposure to foreign currency to reduce the risk of loss due to fluctuations in currency exchange rates. The fund is non-diversified, which means that it may concentrate its assets in a smaller number of issuers than a diversified fund. The fund offers dividends monthly.