PIMCO Tax Managed Real Return Fund instl (PTMIX)

PIMCO
Objective
Seeks to provide after-tax inflation-protected return, consistent with prudent investment management.
Primary Portfolio
Intermediate-term, investment grade bonds.
At a Glance
SymbolPTMIX
CUSIP Number 72201P266
Total Fund Assets (in millions) $66.5
Share Class Inception Date 10/30/2009
Dividend Frequency Accrues Daily; Distributes Monthly
Maximum Sales Charge -
Net Operating Expenses 0.45 %

Daily Price

NAV Day Return
$9.97 -$0.02 -0.19%
YTD Return
-0.19%
As of 03/27/15

Historical Prices

03/24/15

$9.97

03/25/15

$9.99

03/26/15

$9.99

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
Help protect long-term purchasing power, tax efficiently

Inflation and taxes can be a double threat to many investors. This fund presents a high quality solution to investors concerned about both high taxes and dwindling purchasing power.


Why Invest In This Fund
A more tax efficient construct with high quality tools

This actively managed fund invests primarily in high quality municipal bonds, which offer income that is generally exempt from federal income tax, and in some cases, state income tax. It also seeks to avoid bonds subject to the AMT (alternative minimum tax). Investors may still incur tax liabilities and should consult with a tax professional for specific advice.


Designed to be an inflation hedge

The fund complements its municipal bond exposure with an "overlay" of inflation-indexed securities that enable the fund to receive higher payments when inflation rises. This may involve swaps that carry certain costs, deflation risk and counterparty risk. Rising rates may negatively impact bond funds and cause bonds to decrease in value.


Time-tested expertise

PIMCO, one of the world’s leading asset managers, has extensive experience managing both municipal bond portfolios and real return strategies.


Our Expertise

The fund is jointly managed by Joe Deane and Jeremie Banet. Mr. Deane is the lead portfolio manager and is responsible for the fund’s municipal bond investments. Mr. Banet is responsible for the fund’s investments in inflation hedging strategies. PIMCO’s time-tested investment process and our portfolio managers’ expertise may give this fund a distinct edge in navigating the municipal bond and inflation-indexed securities markets.

Managers

Joseph Deane

Mr. Deane is an executive vice president in the New York office and head of municipal bond portfolio management. Prior to joining PIMCO in 2011, he was co-head of the tax-exempt department at Western Asset (WAMCO). Mr. Deane was previously a managing director and head of tax-exempt investments from 1993-2005 at Smith Barney/Citigroup Asset Management. Earlier in his career, he held senior portfolio management positions with Shearson and E.F. Hutton. Morningstar named him Fixed-Income Manager of the Year in 1996 and a finalist in 1995 and 2007. He has 43 years of investment experience and holds a bachelor's degree from Iona College.

Jeremie Banet

Mr. Banet is an executive vice president in the Newport Beach office and a portfolio manager on the real return team. Prior to joining PIMCO in 2011, he traded inflation-linked investments at Nomura Fixed Income. Prior to that, he was with BNP Paribas, most recently as head of U.S. inflation trading. He has 14 years of investment and financial services experience and holds a master's degree in applied economics and an undergraduate degree from Paris IX Dauphine 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 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.

Jeremie Banet began managing the fund on 19 December 2014.

A word about risk:
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. 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. Income from municipal bonds may be subject to state and local taxes and at times the alternative minimum tax. Certain U.S. Government securities are backed by the full faith of the 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. 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. Investing in derivatives could lose more than the amount invested. Please consult your tax and/or legal counsel for specific tax questions and concerns.

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