PIMCO RealPath 2040 Fund INSTL (PROIX)

PIMCO
Prior to 16 January 2015 the PIMCO RealPath 2040 Fund was named the PIMCO RealRetirement 2040 Fund.

Objective
Seeks maximum real return, consistent with preservation of real capital during the accumulation years and current income during the retirement years
Primary Portfolio
Access to 50 PIMCO-managed mutual funds
At a Glance
SymbolPROIX
CUSIP Number 72201F326
Total Fund Assets (in millions) $109.0
Share Class Inception Date 03/31/2008
Dividend Frequency Quarterly
Maximum Sales Charge -
Net Operating Expenses 0.7 %

Daily Price

NAV Day Return
$7.98 $0.08 1.01%
YTD Return
3.49%
As of 03/30/15

Historical Prices

03/25/15

$7.94

03/26/15

$7.90

03/27/15

$7.90

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
A risk-managed approach to retirement investing

A suite of target-date funds designed to capture global growth opportunities while actively guarding against inflation, loss of purchasing power and the market shocks that can derail retirement savings.


Why Invest In This Fund
Build and maintain purchasing power

RealPath funds seek to build purchasing power by investing across a more broadly diversified range of asset classes, and defend against the loss of purchasing power by investing in asset classes that have historically performed well during inflationary phases, including investments such as TIPS, real estate and commodity-linked investments.


Manage risk

While actively targeting growth opportunities, RealPath funds take a measured approach to equity risk exposure, emphasizing capital preservation and carefully managing risk allocations over the entire course of an investor’s life – especially near retirement.


Guard against shocks

In addition to a conservative mix of investments, RealPath funds employ hedging strategies specifically designed to curb the effects of severe market stress on a retirement portfolio. If left unchecked, the losses caused by market setbacks can be devastating, especially in the years directly before retirement.


Our Expertise

RealPath funds are managed by Vineer Bhansali, Ph.D., a global authority on risk management and PIMCO’s head of quantitative investment. RealPath funds invest in other PIMCO funds, an approach that provides investors with the advantages of PIMCO’s vast intellectual capital, global research network and sophisticated risk-management capabilities.

Managers

Vineer Bhansali

Dr. Bhansali is a managing director and portfolio manager in the Newport Beach office. He currently oversees PIMCO's quantitative investment portfolios. From 2000, he also headed PIMCO's firmwide analytics department. Prior to joining PIMCO in 2000, he was a proprietary trader in the fixed income trading group at Credit Suisse First Boston and in the fixed income arbitrage group at Salomon Brothers in New York. Previously, he was head of the exotic and hybrid options trading desk at Citibank in New York. He is the author of numerous scientific and financial papers and of the books "Bond Portfolio Investing and Risk Management," "Pricing and Managing Exotic and Hybrid Options," "Fixed Income Finance: A Quantitative Approach" and the most recent book, "Tail Risk Hedging". He has 24 years of investment experience and holds a Ph.D. in theoretical particle physics from Harvard University. He has a master's degree in physics and an undergraduate degree from the California Institute of Technology.

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 investment professional 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 invests in other funds and performance is subject to underlying investment weightings which will vary. Investing in the bond market is subject to certain risks including market, interest-rate, issuer, credit, and inflation risk; investments may be worth more or less than the original cost when redeemed. Mortgage and asset-backed securities may be sensitive to changes in interest rates, subject to early repayment risk, and their value may fluctuate in response to the market’s perception of issuer creditworthiness; while generally supported by some form of government or private guarantee there is no assurance that private guarantors will meet their obligations. Investing in foreign denominated and/or domiciled securities may involve heightened risk due to currency fluctuations, and economic and political risks, which may be enhanced in emerging markets. Sovereign securities are generally backed by the issuing government, obligations of U.S. Government agencies and authorities are supported by varying degrees but are generally not backed by the full faith of the U.S. Government; portfolios that invest in such securities are not guaranteed and will fluctuate in value. Inflation-linked bonds (ILBs) issued by a government are fixed-income securities whose principal value is periodically adjusted according to the rate of inflation; ILBs decline in value when real interest rates rise. Commodities contain heightened risk including market, political, regulatory, and natural conditions, and may not be suitable for all investors. Income from municipal bonds may be subject to state and local taxes and at times the alternative minimum tax: a strategy concentrating in a single or limited number of states is subject to greater risk of adverse economic conditions and regulatory changes. The cost of investing in the Fund will generally be higher than the cost of investing in a fund that invests directly in individual stocks and bonds. High-yield, lower-rated, securities involve greater risk than higher-rated securities; portfolios that invest in them may be subject to greater levels of credit and liquidity risk than portfolios that do not. Investing in securities of smaller companies tends to be more volatile and less liquid than securities of larger companies. Equities may decline in value due to both real and perceived general market, economic, and industry conditions. Derivatives and commodity-linked derivatives may involve certain costs and risks such as liquidity, interest rate, market, credit, management and the risk that a position could not be closed when most advantageous. Commodity-linked derivative instruments may involve additional costs and risks such as changes in commodity index volatility or factors affecting a particular industry or commodity, such as drought, floods, weather, livestock disease, embargoes, tariffs and international economic, political and regulatory developments. Investing in derivatives could lose more than the amount invested.

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.® 2015. 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.


PIMCO