I am wondering if I should hold or sell my stake in this fund. My dilemma is similar to the post by goofy below. I thought this fund is supposed to be good in an environment with lots of head winds for stocks. Thoughts?
From my little PAAIX "owner's manual":
The fund normally invests all of its assets in Institutional Class or Class M shares of any funds of the Trust or PIMCO Equity Series, an affiliated open-end investment company, except other funds of funds ("Underlying PIMCO funds"). It invests its assets in shares of the Underlying PIMCO funds and does not invest directly in stocks or bonds of other issuers. While the fund is non-diversified, it invests in diversified underlying holdings.
Who May Want To Invest
Someone who is seeking to invest in a fund that invests in both domestic and international stocks and bonds.
Someone who is seeking the potential both for income and for long-term share-price appreciation and who is willing to accept the potentially greater volatility of the foreign bond and stock markets.
YES, I NEED TO GET BOTH BOB AND BILL ON THE PHONE...HA!
I share in your dilemma. Understood PAAIX to be far more diversified than PTTRX and that why I decided to slap money into PAAIX. Did anyone else read the prospectus and understand PAAIX to be an ALL ASSETS fund investment? Obviously, this is heavily WEIGHTED in bonds.
Call to my equally confused "advisor" tomorrow (Thursday) morning to get a grip and understanding on what the heck this is all about. If it's 90% bonds, yep, I'll be done with it about 4 minutes after the phone call.
I have a large chunk of money in this fund and I am sitting tight. This fund has dipped more than this before (look at the chart). everything is going down right now so it is better to take the dividends and reinvest at this lower price.... I believe it will as always go back up.
Dear edinvestit, when you placed this large chunk of money in PAAIX, did you understand it to be a 100% BOND fund? The prospectus states it quite differently. Or, did you know what you were buying into with PAAIX? Just curious and CONCERNED.