Bonds You Can Build On

Learn what a global leader in active fixed income can do for you.

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Why Bonds

Today, market uncertainty is no longer the exception, but the norm. In times like these, bonds matter more than ever, offering important benefits to investors.

Generate Steady Income

Earning income is an important goal for many investors, and they have often relied on bonds to help them achieve it. At over $120 trillion1, the vast global bond market offers your clients a range of opportunities to pursue attractive income and total return potential, depending on their tolerance for risk.

Pursue Income Opportunities

The Possibilities of Fixed Income: A Vast Opportunity Set

Source: SIFMA, Bank of International Settlement (BIS), IMF as of 31 December 2020.

Preserve Principal and Diversify

Historically, bonds have offered greater stability than riskier investments such as stocks. Explore how bonds can help diversify portfolios and mitigate the potential impact of market volatility.

Learn More About Core Bonds

Bond Drawdowns Have Been Much Less Severe

Stocks

Worst Year: 2008

0%

Bonds

Worst Year: 1994

0%

Source: PIMCO. As of 31 December 2020. Worst calendar year returns for the 1977-2020 period. Stocks and bonds represented by the S&P 500 Index and Bloomberg Barclays U.S. Aggregate Index, respectively. Past performance is not a guarantee or a reliable indicator of future results. It is not possible to invest directly in an unmanaged index.

Pursue Stronger Returns

While many investors are familiar with government bonds, such as U.S. Treasuries, fixed income is an immense asset class that spans the risk-reward spectrum. For skilled active managers, this universe represents a world of possibilities for pursuing return potential.

Explore Strategies

Range of Targeted Returns Compared to Expected Risk

Targeted Net Returns
Low Relative Expected Risk High
Source: PIMCO. For illustrative purposes only.

At the Forefront of Fixed Income

For 50 years, PIMCO has navigated shifting market conditions to become the global fixed income leader we are today.

Rock climbing
Rock climbing

78% of Assets Outperforming For Our Clients

Above benchmark performance over a 5-year period (after fees).*

*As of 30 September 2023. SOURCE: PIMCO Based on PIMCO managed portfolios with at least a 5-years history. The after-fees performance of each portfolio was compared to the portfolio's primary benchmark. If the after-fees portfolio performance was greater than the benchmark performance for a given period, the assets in that portfolio were included in the outperforming data. Benchmark outperformance indicates the performance of a portfolio as compared to its benchmark. As such, it does not indicate that a portfolio's performance was positive during any given period. For example, if a portfolio declined 3% during a given period, and its benchmark declined 4%, the portfolio would have outperformed its benchmark, even though it lost value during the period. Certain absolute return oriented portfolios contained within the data may inflate the data either positively or negatively due to the low return/volatility characteristics of the primary benchmark. For example a portfolio measured against 3-month USD Libor would be more likely to out- or underperform its benchmark. Past performance is not a guarantee or a reliable indicator of future results.
Dog House

A Process Tested For 50 years

Our process has helped millions of investors pursue returns and manage risks over meaningful timeframes.

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ACTIVELY INVESTING TO HELP YOU SUCCEED

88% of active core bond funds* outperform their benchmark vs. only 20% of active large blend equity funds.

Based on Morningstar U.S. Fund categories (Institutional shares only) over a 10 year period, as of 30 June 2022.
*Combines the Morningstar U.S. Fund Intermediate Core and Core-Plus categories.
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Deepen Your Knowledge

Explore insights and resources to help you learn more about the possibilities of fixed income.

Factoring in the Human Factor
Behavioral Science

Factoring in the Human Factor

At PIMCO, we are always striving to give our clients an edge and achieve the best possible outcomes. And, we’ve long believed that behavioral science can make us better investors and help our clients make better investment decisions.

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Introduction to Bonds
Video

Introduction to Bonds

Refresh your fixed income understanding with Introduction to Bonds. This video is designed to help financial professionals unpack the basics of the asset class and build a portfolio.

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PIMCO ESGFootnote* Bond Funds
Investments

PIMCO ESG* Bond Funds

We believe the size of bond markets and recurring nature of debt issuance make fixed income investors a meaningful force in driving sustainable change.

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*PIMCO is committed to the integration of Environmental, Social and Governance ("ESG") factors into our broad research process and engaging with issuers on sustainability factors and our climate change investment analysis. At PIMCO, we define ESG integration as the consistent consideration of material ESG factors into our investment research process, which may include, but are not limited to, climate change risks, diversity, inclusion and social equality, regulatory risks, human capital management, and others. Further information is available in PIMCO's Environmental, Social and Governance (ESG) Investment Policy Statement.
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What's Next?

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A history of excellence

Learn how we've helped investors around the world navigate decades of market change.

Who We Are

Any Additional Questions

Please reach out directly if you have any further questions for our team.

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Disclosures

  1. Source: SIMFA, Bank of International Settlement (BIS), IMF as of 31 December 2020.
  2. INTERMEDIATE-TERM BOND
    Intermediate-term bond portfolios invest primarily in corporate and other investment-grade U.S. fixed-income issues and typically have durations of 3.5 to 6.0 years. These portfolios are less sensitive to interest rates, and therefore less volatile, than portfolios that have longer durations. Morningstar calculates monthly breakpoints using the effective duration of the Morningstar Core Bond Index in determining duration assignment. Intermediate-term is defined as 75% to 125% of the three-year average effective duration of the MCBI.
    INTERMEDIATE-TERM CORE-PLUS BOND
    Intermediate-term core-plus bond portfolios invest primarily in investment-grade U.S. fixed-income issues including government, corporate, and securitized debt, but generally have greater flexibility than core offerings to hold non-core sectors such as corporate high yield, bank loan, emerging-markets debt, and non-U.S. currency exposures. Their durations (a measure of interest-rate sensitivity) typically range between 75% and 125% of the three-year average of the effective duration of the Morningstar Core Bond Index.

A word about risk: All investments contain risk and may lose value. Investing in the bond market is subject to risks, including market, interest rate, issuer, credit, inflation risk, and liquidity risk. The value of most bonds and bond strategies are impacted by changes in interest rates. Bonds and bond strategies with longer durations tend to be more sensitive and volatile than those with shorter durations; bond prices generally fall as interest rates rise, and low interest rate environments increase this risk. Reductions in bond counterparty capacity may contribute to decreased market liquidity and increased price volatility. Bond investments may be worth more or less than the original cost when redeemed.

PIMCO as a general matter provides services to qualified institutions, financial intermediaries and institutional investors. Individual investors should contact their own financial professional to determine the most appropriate investment options for their financial situation. This material contains the current opinions of the manager and such opinions are subject to change without notice. This material has been distributed for informational purposes only and should not be considered as investment advice or a recommendation of any particular security, strategy or investment product. Information contained herein has been obtained from sources believed to be reliable, but not guaranteed. No part of this material may be reproduced in any form, or referred to in any other publication, without express written permission. PIMCO is a trademark of Allianz Asset Management of America L.P. in the United States and throughout the world. Pacific Investment Management Company LLC, 650 Newport Center Drive, Newport Beach, CA 92660, 800-387-4626.

CMR2020-0825-1312989

PIMCO
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The information on this site is for general information only and has been prepared without taking into account the objectives, financial situation or needs of investors. Before making an investment decision investors should obtain professional advice and consider whether the information contained herein is appropriate having regard to their objectives, financial situation and needs.

Past performance is not a reliable indicator of future results. Interests in any PIMCO fund mentioned in this publication are issued by PIMCO Australia Management Limited ABN 37 611 709 507, AFSL 487 505 of which PIMCO Australia Pty Ltd ABN 54 084 280 508, AFSL 246 862 is the investment manager (together PIMCO Australia). This publication has been prepared without taking into account the objectives, financial situation or needs of investors. Before making an investment decision investors should obtain professional advice and consider whether the information contained herein is appropriate having regard to their objectives, financial situation and needs. Investors should obtain a copy of the Product Disclosure Statement (PDS) and consider the PDS before making any decision about whether to acquire an interest in any PIMCO fund mentioned in this publication. PIMCO Australia has determined the target market for this product which is set out in the target market determination (TMD) published on our website. The current PDS and TMD can be obtained via www.pimco.com.au. This publication may include economic and market commentaries based on proprietary research, which are for general information only. PIMCO Australia believes the information contained in this publication to be reliable, however its accuracy, reliability or completeness is not guaranteed. Any opinions or forecasts reflect the judgment and assumptions of PIMCO Australia on the basis of information at the date of publication and may later change without notice. These should not be taken as a recommendation of any particular security, strategy or investment product. All investments carry risk and may lose value. To the maximum extent permitted by law, PIMCO Australia and each of their directors, employees, agents, representatives and advisers disclaim all liability to any person for any loss arising, directly or indirectly, from the information in this publication. No part of this publication may be reproduced in any form, or referred to in any other publication, without express written permission of PIMCO Australia. PIMCO is a trademark of Allianz Asset Management of America LLC in the United States and throughout the world. © PIMCO, 2023.

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