PIMCO International Bond (U.S. Dollar-Hedged) C (PFOCX)

Overview

The company manages a specialized investment fund focused on achieving its investment objective by dedicating at least 80% of its assets to Fixed Income Instruments. Its investment strategy emphasizes global diversity, as it requires investments to be economically connected to at least three countries outside of the United States. Despite its concentration in investment-grade debt securities, the fund retains the flexibility to allocate up to 10% of its total assets towards high-yield, or "junk," bonds. The determination of whether these securities meet the fund’s standards involves reliance on ratings from recognized agencies such as Moody's, S&P, or Fitch, or internal assessments made by the company for unrated securities. The fund operates with a non-diversified status, indicating a potential for higher risk and return by concentrating investments more narrowly than diversified funds.

Products and Services

• Fixed Income Instruments

  The core of the fund's investments lies in Fixed Income Instruments that are connected to economies outside of the U.S. This international focus allows for diversification of investment risk and the potential for returns uncorrelated with United States markets. These instruments typically include government and corporate bonds, providing regular income through interest payments.

• Investment Grade Debt Securities

  A significant portion of the fund's portfolio is invested in investment grade debt securities. These are bonds rated at a high credit quality by rating agencies, indicating a lower risk of default. Investing in these securities aims to provide stable and consistent returns, making them a fundamental component of the fund’s investment strategy.

• Junk Bonds

  Up to 10% of the fund's total assets may be allocated to junk bonds, which are rated below investment grade. Despite their higher risk of default, these bonds offer the potential for higher yields, making them an attractive option for diversifying investment strategies and seeking enhanced returns. The selection of junk bonds is determined by the ratings from Moody’s, S&P, Fitch, or the fund’s own assessment for unrated securities, ensuring a rigorous evaluation process.