Fund Rationale: PIMCO GIS Global Real Return Fund

PIMCO GIS Global Real Return Fund (the “Fund”)
SGD Hedged Institutional Accumulation Shares (ISIN: IE00B29WLV81) | Daily Price & Charts (SGD)
GBP Hedged Institutional Accumulation Shares (ISIN: IE0034235527) | Daily Price & Charts (USD)
USD Institutional Accumulation Shares (ISIN: IE003359174) | Daily Price & Charts (GBP)
Fund Manager Page

Endowus has selected the Fund for its diverse exposure to inflation-linked bonds issued by governments and corporations around the world, executed by an experienced management team under competitive costs.

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Key Information

Fund Objective: Seeks to maximise real return by investing at least two-thirds of its assets in a diversified portfolio of inflation-indexed fixed income instruments of varying maturities issued by governments, their agencies or instrumentalities and corporations.

Suitability: Investors who are looking to maximise real return through a combination of both income and capital growth, are seeking a protection against inflation rates, are looking for a diversified exposure to global fixed income markets and are willing to accept the risks and volatility associated with investing in such markets, and have an investment horizon over the medium to long term.

Cost (SGD, USD, GBP):

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  1. Total Fund-level Fees include fund management fee of 0.49%.
  2. This is an institutional share class that offers the lowest possible fees. There are no trailer fees for this institutional share class. 
  3. Endowus does not charge a preliminary sales charge or any other additional fees, other than the all-in Endowus Access Fee.

Fund Characteristics

Fund Inception: 12 March 1998
Share Class Inception: 7 August 2021
Benchmark: Bloomberg Barclays Global Aggregate Index

Fund AUM: SGD 4.34bn
Source: MorningStar as of 30 June 2021. Please refer to the FMC page for the most updated AUM.

Regional Allocation:

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Sector Allocation:
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Source: MorningStar as of 31 March 2021. Allocation data indicate actual exposure as a percentage of the Fund's total Net Asset Value. Please refer to the Fund Manager Page for the most updated information on Fund Holdings and Breakdown. 

Selection Criteria

Endowus has selected the PIMCO GIS Global Real Return Fund for its diversified portfolio of inflation-linked bonds issued by governments and corporations around the world, its robust execution and competitive price, and experienced management team. The access to the Fund’s low-cost institutional share class through Endowus makes the price even more competitive, comparable to its passive peers.

An important tool that the strategy has at its disposal is to invest beyond the benchmark and the Fund has benefited from the flexibility of investing up to one third of its assets in other sectors, which leverages from the insights of PIMCO’s broad, deep bench of global bond experts.

Despite some noteworthy team turnover in late 2019, the strategy remains in capable hands - its current management team includes Lorenzo Pagani, former Head of the European Rates, who now oversees the ex-US inflation-lined effort, while PIMCO veteran Steve Rodosky, who led the firm's US Treasury trading desk in earlier years, contributes to this portfolio's US positioning. The team is rounded off by former agency mortgage specialist Daniel He, who joined the desk in early 2019 to support Rodosky. The strategy’s processes and resources remain similar, which is a source of comfort for a Fund that has consistently outperformed its benchmark since 2009, and has beaten 98-99% of its Morningstar peers over the past 3, 5, and 10 years.

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Updated by Endowus: September 2021

** Disclaimer (as of 31 August 2021): All content found on this page is for information purposes only and should not be considered as an offer, solicitation or advice for the purchase or sale of any investment products. It is recommended that you seek financial advice as to the suitability of any investment. Whilst Endow.us Pte. Ltd. (“Endowus”) has tried to provide accurate and timely information, there may be inadvertent delays, omissions, technical or factual inaccuracies or typographical errors. Any opinion or estimate above is made on a general basis and none of Endowus, nor any of its affiliates, representatives or agents have given any consideration to nor have made any investigation of the objective, financial situation or particular need of any user, reader, any specific person or group of persons. Opinions expressed herein are subject to change without notice.  

Investment involves risk. The value of investments and the income from them can go down as well as up, and you may not get the full amount you invested. Past performance is not an indicator nor a guarantee of future performance. Rates of exchange may cause the value of investments to go up or down. Individual stock performance does not represent the return of a fund. 

Please note that the above information does not purport to be all-inclusive or to contain all the information that you may need in order to make an informed decision. The information contained herein is not intended, and should not be construed, as legal, tax, regulatory, accounting or financial advice.