By focusing on ultra-short, high quality fixed income securities, PIMCO Global Short Maturity Fund (Canada) offers higher income potential than traditional cash investments, with modest additional risk.
Why Invest in This Fund?
High quality portfolio
An actively managed enhanced cash strategy that seeks to dynamically manage risk and liquidity, the fund invests in a wide range of short-dated securities such as U.S. Treasury and agency securities, investment grade credit and high quality structured credit.
Lower potential volatility
The fund’s ultra-short duration is more resistant to interest rate fluctuations than longer-term bonds, resulting in generally lower price volatility. The fund’s investment guidelines prohibit investing in high yield securities and limits exposure to other fixed income sectors, which may increase volatility in periods of financial stress.
Access to proven expertise
PIMCO has been managing short-term strategies since 1986 and the fund is part of a suite of solutions that can meet a broad range of investor needs. We work with a variety of investors – including individuals, corporations, pension plans, foundations and universities – to create liquidity portfolios that best align with their investment objectives.
PIMCO investment philosophy and process
Founded on the principle of diversification, PIMCO believes no single strategy or position should dominate returns. The firm’s investment process utilizes both top-down and bottom-up approaches to selecting investments with the goal of combining perspectives from an economic, big-picture standpoint (top-down) and security level (bottom-up) in an effort to consistently add value over time within acceptable levels of portfolio risk. The investment management team evaluates the following:
Top-down strategies focus on duration, yield curve positioning, volatility and sector rotation. These strategies are driven by our secular outlook of the forces likely to influence the economy and financial markets over the next three to five years as well as our cyclical views over a six to nine month time horizon.
Bottom-up strategies drive our security selection process and facilitate the identification and analysis of undervalued securities. Here, we employ advanced proprietary analytics and expertise in all major fixed income sectors.
PRIMARY BENCHMARK DESCRIPTION
The 3-month CDOR is the average bid-side rate for Canadian bankers acceptances determined daily from a survey of market makers and can be used as a proxy for the cost of 3-month bank funding. It does not reflect deductions for fees, expenses or taxes. It is not possible to invest directly in an unmanaged index.
Monthly with Daily Accrual