PIMCO Short-Term Fund INSTL (PTSHX)

All data as of 04/30/13, unless otherwise indicated.
Inception Date: 10/07/1987**


PIMCO
Objective
Seeks maximum current income, consistent with preservation of capital and daily liquidity
Primary Portfolio
Short-term, investment grade bonds (average duration is less than or equal to 1 yr)
At a Glance
SymbolPTSHX
CUSIP Number 693390601
Total Fund Assets (in millions) $11,953.1
Share Class Inception Date 10/07/1987
Dividend Frequency Accrues Daily; Distributes Monthly
Maximum Sales Charge -
Net Operating Expenses 0.45 %
Total Annual Operating Expenses 0.46 %

Daily Price
NAV Day Return
$9.92 $0.00 0.01%
YTD Return
0.83%
As of 05/17/13

Historical Prices

05/14/13

$9.91

05/15/13

$9.91

05/16/13

$9.92
Performance quoted represents past performance and is not a guarantee or a reliable indicator of future results. Investment return and the principal value of an investment will fluctuate. Shares may be worth more or less than original cost when redeemed. Current performance may be lower or higher than average annual returns shown. Performance quoted does not reflect any sales charges, if applicable, and performance would be lower if it did. Click Performance tab for performance current to the most recent month-end.
Fund Overview
Potential to outperform cash investments with moderate volatility

By focusing on ultra-short, high quality fixed income securities, PIMCO Short-Term Fund offers higher income potential than traditional cash investments – with modest additional risk. The fund also has a history of lower volatility, making it a sensible long-term capital preservation vehicle. Note that the fund is not designed for short-term trading.


Why Invest In This Fund
Potential to provide a steady source of current income

Short-term bonds can function as an attractive option for investors who are looking for a higher level of income than savings accounts and CDs typically provide. However, unlike those investments, short-term bond funds do not seek to maintain stable values and offer no guarantees.


Lower potential volatility than longer-term bond funds

The fund generally offers lower price volatility than longer-term bond funds. In fact, the fund’s net asset value (NAV) has fluctuated only moderately since its 1987 inception. This low volatility is the result of the fund’s overall ultra-short duration. (The shorter the duration, the more resistant a bond or bond fund is to interest rate fluctuations.)


Expert management

The portfolio manager for PIMCO Short-Term Fund is Jerome Schneider, a PIMCO executive vice president who started his investment career in 1996. Mr. Schneider is responsible for supervising all of the firm’s short-term investment strategies.

View All Fund Literature

Managers

Jerome M. Schneider

Mr. Schneider is a managing director in the Newport Beach office and head of the short-term and funding desk. Prior to joining PIMCO in 2008, Mr. Schneider was a senior managing director with Bear Stearns. There he most recently specialized in credit and mortgage-related funding transactions and helped develop one of the first "repo" conduit financing companies. Additionally, during his tenure at Bear Stearns he held various positions on the municipal and fixed income derivatives trading desks. He has 17 years of investment experience and holds an undergraduate degree in economics and international relations from the University of Pennsylvania and an MBA from the Stern School of Business at New York University.

Investors should consider the investment objectives, risks, charges and expenses of the funds carefully before investing. This and other information are contained in the fund’s prospectus and summary prospectus, if available, which may be obtained by contacting your financial advisor or PIMCO representative.  Click here for a complete list of the PIMCO Funds prospectuses and summary prospectuses. Please read them carefully before you invest or send money.

A word about risk:
The Fund may invest in fixed income securities, with portion of its assets in securities denominated in foreign currencies and a percentage of assets in high-yield securities, and in mortgage related securities. Investing in non-U.S. securities may entail risk due to foreign economic and political developments; this risk may be enhanced when investing in emerging markets. High-yield bonds typically have a lower credit rating than other bonds. Lower rated bonds generally involve a greater risk to principal than higher rated bonds. Mortgage-backed securities are subject to prepayment risk. The value of some mortgage-related or asset-backed securities may be particularly sensitive to interest rate changes, and there is no assurance that private insurers of the underlying mortgages or assets will meet their obligations. When interest rates rise, the value of fixed income securities generally declines. This Fund may use derivative instruments for hedging purposes or as part of its investment strategy. Use of these instruments may involve certain costs and risks such as liquidity risk, interest rate risk, market risk, credit risk, management risk and the risk that a fund could not close out a position when it would be most advantageous to do so. Portfolios investing in derivatives could lose more than the principal amount invested in those instruments.

The credit quality of the investment in the portfolio does not apply to the stability or safety of the fund. Duration is a measure of the fund's price sensitivity expressed in years. Savings accounts and CDs are guaranteed as to repayment of principal and interest by an agency of the US government. In an environment where interest rates may trend upward, rising rates will negatively impact most bond funds, and fixed income securities held by a fund are likely to decrease in value. Bond funds and individual bonds with a longer duration (a measure of the expected life of a security) tend to be more sensitive to changes in interest rates, usually making them more volatile than securities with shorter durations.

However, the investment return and principal value of bonds and bond funds will fluctuate. Money market funds are not insured or guaranteed by the FDIC or any other government agency. Although money market funds seek to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in them.

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Quarterly Schedule of Portfolio Holdings, Form N-Q »

Past performance is not a guarantee or a reliable indicator of future results. For funds with at least a 3-yr history, Morningstar calculates a Morningstar Rating based on a risk-adjusted return measure that accounts for variation in a fund’s monthly performance (including the effects of sales charges, loads and redemption fees) with an emphasis on downward variations and consistent performance. The top 10% of funds in each category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars and the bottom 10% receive 1 star. The Overall Morningstar Rating is a weighted average of the performance figures for its 3-, 5- and 10-yr (if applicable) Morningstar Rating metrics. Morningstar, Inc.® 2011. All rights reserved. The information contained herein; (1) is proprietary to Morningstar and/or its affiliates; (2) may not be copied or distributed; (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. Hollow stars represent a class of shares with inception dates that is different than the inception date of the fund. For the period prior to the inception date of these shares, performance information is based on the performance of the fund’s Institutional Class shares, adjusted to reflect the actual distribution and/or service (12b-1) fees and other expenses paid by the newer share class.


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