3 Top-Ranked PIMCO Mutual Funds for 2023 & Beyond
Founded in 1971, Pacific Investment Management Company, LLC or PIMCO, is an internationally acclaimed investment management firm. Headquartered in Newport Beach, CA, the company provides a wide range of financial services across the globe, with more than 3,410 employees. PIMCO had around $1.79 trillion in assets under management as of Jun 30, 2023, and has more than 290 portfolio managers with an average of 17 years of experience. PIMCO is present in 23 locations across the Americas, Europe and Asia.
PIMCO offers a broad lineup of investment solutions for the entire gamut of equities, bonds, alternative investments, multi-asset and retirement services. With over 180 analysts and risk professionals the fund house helps individuals who wish to manage their portfolio and increase their wealth through various strategic investment funds.
Amid high volatility in the stock markets and increased geopolitical risks in the Middle East due to the conflict between Israel and the Palestine-based militant group Hamas, investors who wish to diversify in various asset classes but lack professional expertise in managing funds can consider PIMCO mutual funds. The fund house has a reputation as a trusted partner and has long-term financial success.
We have thus selected three PIMCO mutual funds that have not only preserved investors’ wealth but also generated excellent returns amid market uncertainties. These funds have the majority of their investments in sectors such as technology, finance, retail trade and industrial cyclical, which will help investors in long-term growth and preservation of wealth.
These funds boast a Zacks Mutual Fund Rank #1 (Strong Buy), have positive three-year and five-year annualized returns, minimum initial investments within $5000, and carry a low expense ratio compared to the category average. Notably, mutual funds, in general, reduce transaction costs and diversify portfolios without an array of commission charges mostly associated with stock purchases (read more: Mutual Funds: Advantages, Disadvantages, and How They Make Investors Money).
PIMCO RAE US Small PMJPX fund invests most of its net assets in securities of small-market capitalization companies that are economically tied to the United States. PMJPX sub-advisors choose to invest in companies that meet certain liquidity and capacity requirements.
Christopher J. Brightman has been the lead manager of PMJPX since Apr 14, 2015, and most of the fund’s exposure is in companies like Dillards (3.9%), Abercrombie & Fitch (3.1%) and Warrior Met Coal (3.1%) as of 6/30/2023.
PMJPX’s three-year and five-year annualized returns are almost 24.1% and 8.4%, respectively. PMJPX has an annual expense ratio of 0.6% compared to the category average of 1.16%.
To see how this fund performed compared to its category and other 1, 2, and 3 Ranked Mutual Funds, please click here.
PIMCO RAE US Fund PKAAX invests most of its net assets in a portfolio of stocks of large-cap companies that are economically tied to the United States. PKAAXsub-advisors choose to invest in companies that meet certain liquidity and capacity requirements.
Christopher J. Brightman has been the lead manager of PKAAX since Apr 14, 2015, and most of the fund’s exposure is in companies like Meta Platforms (5.2%), Cisco Systems (4.8%) and Walmart (4.5%) as of 6/30/2023.
PKAAX’s three-year and five-year annualized returns are almost 14.5% and 7.2%, respectively. PKAAX has an annual expense ratio of 0.80%, which is less than the category average of 0.94%.
PIMCO Dividend and Income PQIPX fund invests most of its net assets in a diversified portfolio of income-producing investments consisting of equity and equity-related securities. PQIPX advisors choose to invest in stocks using PIMCO’s systematic equity income strategy.
Daniel J. Ivascyn has been the lead manager of PQIPX since Oct 3, 2013, and most of the fund’s exposure is in companies like Johnson & Johnson (1.7%), Cisco Systems (1.6%) and Broadcom (1.4%) as of 6/30/2023.
PQIPX’s three-year and five-year annualized returns are almost 10% and 2.9%, respectively. PQIPX has an annual expense ratio of 0.79% compared to the category average of 1%.
Want key mutual fund info delivered straight to your inbox?
Zacks' free Fund Newsletter will brief you on top news and analysis, as well as top-performing mutual funds, each week. Get it free >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Get Your Free (PQIPX): Fund Analysis Report
Get Your Free (PKAAX): Fund Analysis Report
Get Your Free (PMJPX): Fund Analysis Report
